Approved building permits posts a 17.8 percent growth

1. Approved building permits nationwide reached 27,748 during the second quarter of 2004, representing an increase of 17.8 percent compared with 23,557 approved building permits recorded during the same period of 2003.
2. An increase in applications over the same period of the previous year was observed for all types of building construction. Approved building permits for residential building construction went up by 16.7 percent to 19,786 from 16,956 during the same period of 2003. Those for non-residential building construction, on the other hand, also increased by 15.6 percent to 2,978 from 2,577. Combined approved building permits for additions, alterations and repairs similarly exhibited an increase of 23.9 percent to 4,984 from 4,024 applications. Figure 1 compares the number of building permit applications by type of building for the second quarters of 2004 and 2003 (Table A).

3. Among the provinces outside the National Capital Region (NCR), six provinces recorded approved building permits exceeding a thousand mark namely: Laguna (1,850), Batangas (1,641), Cavite (1,635), Cebu (1,555), Davao del Sur (1,199) and Bulacan (1,012). Figure 2 shows the regional distribution of approved building permits for second quarter of 2004 (Table A).

Value of construction for non-residential buildings jumps to P13.3 billion

4. Total value of construction during the second quarter of 2004 increased by 25.2 percent reaching P28.6 billion from P22.9 billion recorded during the same period of the previous year.
5. Value of construction for residential buildings remarkably went up by 26.0 percent to P13.3 billion from P10.6 billion of the same quarter of 2003. Likewise, value of construction for non-residential building significantly went up by 35.2 percent to P13.3 billion from P9.8 billion. On the other hand, combined value for additions, alterations and repairs declined by 17.9 percent to P2.0 billion from P2.5 billion during the same period of the previous year. Figure 3 compares the aggregate value of construction by type of building for the second quarters of 2004 and 2003 (Table A).

6. Across the country, value of construction in National Capital Region (NCR) consistently remained highest at P13.4 billion, accounting for 46.8 percent share of the total. Calabarzon, Central Luzon and Central Visayas ranked second, third and fourth with 15.3 percent (P4.4 billion), 7.0 percent (P2.0 billion) and 6.8 percent (P1.9 billion), respectively, in terms of share of the total value of construction.

Average cost per square meter of residential building construction is P5,692

7. Total value of residential building construction was estimated at P13.3 billion with a total floor area of 2.3 million square meters, or an average cost per square meter of P5,692. This figure represents an increase of 14.9 percent recorded during the same period of the previous year.
8. Single type residential units, comprising of 84.3 percent of total permits for residential construction topped all other types of residential construction. This type of residential construction numbered 16,687 approved permits covering a total floor area of 1.8 million square meters and an aggregate value of nearly P10.0 billion. Apartment/accesoria ranked second with 1,977 approved building permits (10 percent), valued at P998.9 million. This was followed by other residential construction and duplex/quadruplex, numbering 602 approved building permits (3.0 percent) and 512 approved building permits (2.6 percent), respectively. Residential condominium had the least share with only 8 approved building permits (0.04 percent). Figure 4 compares the number and value by type of residential building construction during the second quarter of 2004 (Table 4).

Average cost per square meter of non-residential building construction is P7,568

9. Construction for non-residential building was estimated at P13.3 billion during the second quarter of 2004 with a floor area of 1.8 million square meters. This translates to an average cost of P7,568 per square meter or an increase of 10.2 percent compared to the average cost of P6,869 per square meter recorded during the same period of 2003.
10. Commercial type of building construction constituted more than half (59.1 percent) of the total non-residential building construction. This type of construction numbered 1,759 approved building permits covering a floor area of 1.2 million square meters and valued at P10.0 billion. Institutional buildings recorded 506 approved building permits with estimated construction value of P1.5 billion. Approved permits for industrial buildings numbered 325 valued at P1.4 billion. Only 94 approved building permits were recorded for agricultural buildings with an equivalent value of P87.5 million. Figure 5 shows the number and value of non-residential building construction during the second quarter of 2004 (Table 5).

EXPLANATORY NOTES

Scope and Coverage:

Private construction statistics from approved building permits relate to data on new constructions and additions, alterations and repairs of residential and nonresidential buildings and other structures undertaken in all regions/provinces of the country.
 

Source of Information

Data are taken from the original application forms of approved building permits collected by NSO field personnel from local building officials nationwide.
 

Limitations:

1. Data on private building constructions refer to those proposed to be constructed or construction work started during the reference period and not to construction work completed during the reference period.

2. The completeness of the number of building permits collected relies on the applications filed and approved by the Offices of Local Building Officials (LBOs). Hence, private building constructions without approved building permits are not included in the tabulation of data.
 

Definition of Terms:

Building permit  a written authorization granted by the Local Building Official (LBO) to an applicant allowing him to proceed with the construction of a specific project after plans, specifications and other pertinent documents have been found to be in conformity with the National Building Code (PD 1096).

Building  any independent, freestanding structure comprised of one or more rooms or other spaces, covered by a roof and enclosed with external walls or dividing walls, which extend the foundation to the roof.

Residential building  a building for which its major parts or more than half of its gross floor area is built for dwelling purposes. This type of building can be of the single type, duplex, an apartment and/or accessoria and residential condominium.

Single house  a complete structure intended for a single family.

Duplex  a A structure intended for two households, with complete living facilities for each; it is a single structure divided into two dwelling units by a wall extending from the floor to the ceiling.

Apartment  a structure, usually of two storeys, made up of independent living quarters, with independent entrances from internal walls and courts.

Accesoria  a one or two-floor structure divided into several dwelling units, each dwelling unit having its own separate entrance from the outside.

Residential condominium  A structure, usually of several storeys, consisting of multiple dwelling units.

Other residential constructions  consist of school or company staff houses, living quarters for drivers and maids and guardhouses.

Nonresidential building  this type includes commercial, industrial, agricultural and institutional buildings.

Additions/alterations and repairs  construction works by which the utility of building or structure is raised or at least renewed or which materially extends the normal life of the building or structure.

Demolitions  the systematic dismantling or destruction of a building/structure or in part.

Street furniture  these are street structures consisting of monuments, waiting sheds, benches, plant boxes, lampposts, electric poles and telephone poles.

Floor area of building  the sum of the area of each floor of the building measured to the outer surface of the outer walls including the area of lobbies, cellars, elevator shafts and all communal spaces in multidwellings. Areas of balconies are excluded.

Total value of construction  the sum of the cost of building, electrical, mechanical, plumbing and others. The value is derived from the approved building permit and represents the estimated value of the building or structure when completed.

Unpublished Data:

Unpublished data at the municipal level may also be made available upon request from the Industry Statistics Division, National Statistics Office, 4th Floor Solicarel II, Ramon Magsaysay Blvd., Sta. Mesa, Manila, and telephone number 716-39-32.

Source:    National Statistics Office
                  Manila, Philippines