MANILA, Philippines - More building permits, mostly for residential projects, were approved in last year’s third quarter, reflecting the continued confidence of property developers in the country’s real estate industry.
Based on preliminary results of construction-related data gathered by the National Statistics Office (NSO), the number of approved building permits climbed 8.2 percent in the third quarter from a year ago.
From July to September, the total number of new construction projects from approved building permits reached 27,323, higher than the 25,255 reported in the same period a year earlier.
The data agency said the total value of these new construction projects jumped 54.5 percent to P64.3 billion from P41.6 billion a year ago.
In a text message, Philippine Constructors Association executive director Manolito Madrasto said the data show that private sector-initiated construction projects continue to rise.
“There has been a continued increase of new constructions of office and residential high-density buildings, commercial malls as well as tourism-related structures such as hotels and resorts,” he said.
The NSO said construction of new residential-type buildings went up 7.5 percent to 19,523 from the 2011 level.
The value of these new residential buildings amounted to P31.3 billion, an increase of 54.1 percent from the same period the prior year.
Approved building permits for non-residential constructions rose 9.2 percent to 3,688 from the previous year.
These new non-residential building constructions had a total value of P28.2 billion, almost doubled from the same period the previous year.
Additions, alterations and repairs of existing structures aggregating to 4,112 likewise increased 10.4 percent from the previous year.
The combined value of additions, alterations and repairs of existing structures, estimated at P4.8 billion, however, declined 32.6 percent from a year ago.
The NSO noted that among the regions, most of the new building projects were found in Region IV-A or Calabarzon (Cavite-Laguna-Batangas-Rizal-Quezon), with 6,378 or 23.3 percent of total.
For 2013, Madrasto said the increases in the number and value of projects of the private sector are expected to continue as many property firms have already released plans for development for the next three years.
The whole construction sector, he added, may even post higher growth this year than in 2012 as the government spends more for infrastructure projects.
“Furthermore, the government has solved quite a number of issues to move faster on their PPP (public-private partnership) program,” he said.
He said construction is seen to expand nine to 10 percent in 2012 from the seven percent growth posted in 2011 due to high demand for residential properties and office spaces.