Construction Statistics from Approved Building Permits Central Luzon, Second Quarter 2017- Preliminary Results

Reference Number: 

R0300-2017- 0902

Release Date: 

Friday, September 29, 2017

  

Number of new constructions down by 3.0 percent in second quarter

Based on the preliminary results of construction statistics from approved building permits, the total number of new constructions in Central Luzon was recorded at 3,699 during the second quarter of 2017. This represents a decline of 3.0 percent from the 3,814 constructions recorded during the same period of 2016.

Despite the decrease in the number of new constructions in Central Luzon, the share of the region to the total number of constructions in the country increased by 0.7 percentage point from its share of 9.6 percent in the second quarter of 2016 to 10.3 percent.

Among the provinces in the region, the most number of constructions was recorded in Bulacan at 1,304, accounting for more than one-third (35.3%) of the total. This was followed by Pampanga and Nueva Ecija with respective shares of 24.5 percent (907 constructions) and 18.7 percent (691 constructions). Figure 1 presents the distribution of the number of constructions by province for the second quarter of 2017.

The number of residential constructions went down by 7.4 percent from the 2,749 recorded in the second quarter of 2016 to 2,545. This was primarily influenced by the decline in the construction of apartment/accessoria (-32.2%) and single- type houses (-6.3%).

On the other hand, the number of non-residential constructions rose by 9.3 percent from 614 reported in the second quarter of 2016 to 671. The increases in the construction of industrial (63.0%), commercial (12.5%), and other constructions (187.5%) pushed the growth of non-residential constructions.

Meanwhile, the number of addition to the existing structures increased by 19.8 percent from 101 to 121 in same period last year. In the same manner, alteration and repair of existing structures at 362 grew by 3.4 percent from 350 recorded during the same quarter of 2016. Figure 2 compares the number of constructions by type for the second quarter of 2017 and 2016.

Total value of constructions amounts PHP6.9 billion

The total value of constructions in the second quarter of 2017 was estimated at PHP6.9 billion, representing a decrease of 13.8 percent from previous year’s construction value of PHP8.0 billion.

The construction value of residential buildings, amounting to PHP3.3 billion, grew by 1.4 percent compared with the PHP3.2 billion registered during the same period a year ago. The slight increase was mainly explained by the decline in the construction value of apartment/accesoria buildings (-24.2%).

The non-residential constructions valued at PHP3.2 billion, dropped by 24.7 percent from the PHP4.3 billion recorded during the same period last year. This was brought by the decrease in the construction value of agricultural (-81.6%), commercial (-39.8%) and industrial (-28.8%) constructions.

Likewise, the value of addition to existing structures slumped by 52.2 percent from previous year’s PHP0.2 billion to PHP0.1 billion. On the other hand, alteration and repair of existing structures estimated at PHP0.3 billion grew by 13.1 percent. Figure 3 compares the value of constructions by type for the second quarters of 2017 and 2016.

 

Residential constructions average cost per square meter up by 6.4 percent

The average cost of residential constructions was estimated at PHP9,619 per square meter, higher by 6.4 percent compared with last year’s average cost of PHP9,038 per square meter. This was mainly influenced by the 8.1 percent increase in the average cost per square meter of single-type houses.

 

Non-residential constructions average cost per square meter down by 23.9 percent

The average cost per square meter of non-residential constructions slid by 23.9 percent from PHP8,733 during the same period a year ago to PHP6,649. Decreases in the average cost per square meter of agricultural (-66.5%), industrial (-52.7), commercial (-9.9%) 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 second quarter of 2017. 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 December 2014. 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.

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.

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