Construction Statistics from Approved Building Permits Central Luzon, Fourth Quarter 2020 Preliminary Results

Reference Number: 

2021-SRBP-Q42020-031

Release Date: 

Friday, May 28, 2021

Central Luzon’s Approved Building Permits drop by 2.4 percent

The total number of new constructions in Central Luzon in the fourth quarter of 2020 was recorded at 3,589, based on the preliminary results of construction statistics from approved building permits. This represents a decrease of 2.4 percent from the 3,677 constructions recorded during the same quarter in 2019.

Among the provinces in the region, Bulacan has the highest number of constructions at 1,383, accounting for more than one-third (38.5%) of the total. This was followed by Pampanga and Nueva Ecija with respective shares of 19.0 percent (682 constructions) and 16.3 percent (584 constructions). Figure 1 presents the distribution of the number of constructions by province for the fourth quarter of 2020.

The number of residential buildings has increased by 1.9 percent from the 2,484 registered in the fourth quarter of 2019 to 2,530 in the same period of 2020. The increase was mainly attributed to the increment in the construction of single house buildings. (see Table B)

On the other hand, the number of non-residential constructions significantly decreased from 798 reported in the fourth quarter of 2019 to 680 in the same period of 2020. This was primarily influenced by the decline in the construction of agricultural (33.3%), institutional (23.1%) and commercial buildings (22.9%).

Alteration and repair of existing structures decreased by 16.4 percent from 330 in the same period in 2019 to 276 in the 4th quarter of 2020. Further, the number of additions to existing structures have increased significantly by 58.5 percent from the posted 65 constructions during the same period in 2019. Figure 2 compares the number of constructions by type for the third quarter of 2020 and of 2019.

Total value of constructions amounts PHP9.70 billion

The total value of constructions in the fourth quarter of 2020 was estimated at
PHP8.23 billion, representing a decrease of 27.9 percent from the previous year’s construction value of PHP11.41 billion.

The construction value of residential buildings amounting to PHP3.63 billion, decreased by 20.8 percent compared with the PHP4.59 billion registered during the same period in 2019. The decrease was attributed to the significant drop in the construction value of apartment/accessoria (26.6%).

In the same manner, the non-residential constructions valued at PHP4.31 billion fell off by 32.7 percent from PHP6.40 billion recorded during the same period in 2020. This was brought about by the decrease in the construction value of all types of        non-residential buildings.

Likewise, alteration and repair of existing structures estimated at about PHP0.18 billion decreased by 46.1 percent from 2019s PHP0.33 billion. Contrarily, the value of addition to existing structures rose by 37.4 percent from PHP0.08 billion in the same period in 2019 to PHP0.11 billion in 2020. Figure 3 compares the value of constructions by type for the fourth quarters of 2020 and 2019.

Average cost per square meter of Residential constructions grew by 8.6 percent

The average cost of residential constructions was estimated at PHP10,170 per square meter, higher by 8.6 percent compared with the average cost of PHP9,361 per square meter in the 4th quarter of 2019. This was generally attributed by the increase in the average cost per square meter in apartment/accessoria (8.3%) and single house buildings (6.7%).

Non-residential constructions’ average cost per square meter went down by 19.7 percent

The non-residential constructions’ average cost per square meter went down by 19.7 percent from PHP8,674 during the same period a year ago to PHP6,964. Decrease in the average cost per square meter in all types of non-residential buildings were observed during the quarter.

 

TECHNICAL NOTES

CONSTRUCTION STATISTICS FROM APPROVED BUILDING PERMITS

This Special Release presents the preliminary data on construction statistics from approved building permits in Central Luzon for the fourth quarter of 2020. Data are presented at the provincial level by type of construction in Tables 1 to 7.  

Scope and Coverage

Construction statistics from approved building permits relate to administrative-based data on new constructions and additions, alterations and repairs of existing residential and non-residential buildings and other structures proposed to be constructed in all cities and municipalities of the country in a specific period.

Sources of Information

Construction statistics are compiled by the Philippine Statistics Authority from the copies of original application forms of approved building permits as well as from the demolition and fencing permits collected every month by PSA field personnel from the Offices of Local Building Officials (LBOs) nationwide.

 Limitations

  1. Data on building constructions refer to those approved applications 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 approval of applications filed with the LBOs. Hence, private building constructions without approved building permits are excluded in the tabulation of data.

Geographic Classification

Building constructions are classified and presented by geographic area using the Philippine Standard Geographic Classification (PSGC) as of September 2018. The PSGC contains the latest updates on the official number of regions, provinces, cities, municipalities and barangays in the Philippines.

Industry Classification

Construction statistics utilizes the 2009 Philippine Standard Industrial Classification (PSIC) to identify the industrial classification of the structure proposed for construction through its use or character of occupancy.

Statistics Generated

Construction statistics generated from approved building permits provide administrative-based data on building construction. Statistics generated are the following:

  • number
  • floor area
  • type of construction
  • value of construction

Definition of Terms (Adopted from the Revised and Updated IRR of the National Building Code)

Building permit is a written authorization granted by the 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 refers to any independent, free-standing structure comprised of one or more rooms or other spaces, covered by a roof and enclosed with external walls or dividing walls, which extend from the foundation to the roof.

Construction refers to all on-site work done from site preparation, excavation, foundation, assembly of all the components and installation of utilities, machineries and equipment of buildings/structures.

Residential building is 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 accesoria and residential condominium.

Single house is a complete structure intended for a single family or household, i.e. bungalow, 2-storey house, nipa hut.

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

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

Residential condominium is 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.

Non-residential building includes commercial, industrial, agricultural and institutional buildings.

Commercial buildings refer to office buildings and all buildings which are intended for use primarily in wholesale, retail and service trades; i.e. stores, hotels, restaurants, banks, disco houses, etc.

Industrial buildings are all buildings used to house the production, assembly and warehousing activities of industrial establishments; i.e. factories, plants, mills, repair shops, machine shops, printing press, storage plant, electric generating plants.

Institutional buildings are buildings which primarily engaged in providing educational instructions and hospital/health care; ports, airports and other government buildings; i.e. school, museums, libraries, sanitaria, churches, hospitals.

Agricultural buildings are buildings used to house livestock, plants and agricultural products such as barn, poultry house, piggeries, stables, greenhouses and grain mill.

Other non-building constructions include cemetery structures, street furniture, waiting sheds, communication towers, etc.

Addition refers to any new construction which increases the height or area of an existing building/structure.

Repair is a remedial work done on any damaged or deteriorated portion/s of a building/structure to restore its original condition.

Alteration is a construction in a building/structure involving changes in the materials used, partitioning and location/size of openings, structural parts, existing utilities and equipment but does not increase the overall area thereof.

Demolition refers to the systematic dismantling or destruction of a building/structure, in whole or in part.

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

Floor area of building refers to 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 multi-dwellings. Areas of balconies are excluded.

Total value of construction refers to 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.

 

Tables

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