The total number of new construction projects from approved building permits during the second quarter of 2020 was recorded at 217, reflecting a decrease of 57.86 percent from 515 constructions in same quarter last year.

The total floor area occupied for the new construction projects also decrease by 64.72 percent from 69,559 square meters in second quarter 2019 to 24,539 square meters in the second quarter 2020. Moreover, the value of new construction projects was recorded at Php236.83 million in the second quarter of 2020, posting a decrease of 65.84 percent from Php693.25 million in the same quarter a year ago.

Residential type buildings recorded the highest number of constructions during the second quarter of 2020 with a total of 161 constructions. This figure posted a decrease of 56.01 percent from the 366 residential buildings reported in the same quarter a year ago. Moreover, non-residential building constructions went down by 56.52 percent to 50 from 115 constructions during the same period of 2019.

. Moreover, the combined number of additions, alterations and repairs of existing structures recorded at 6 constructions during the second quarter of 2020 a decrease of 82.35 percent from 34 constructions reported on the same quarter last year.

Value of building construction projects reaches Php236.83 million

The total value of construction projects in the second quarter of 2020 decreased by 65.84 percent to Php236.83 million from Php693.25 million recorded in same quarter of 2019. 

By type of construction, residential building constructions accounted the biggest share in terms of the value of constructions in the second quarter of 2020. The value of residential building constructions increased by 58.54 percent with an estimated value of Php186.52 million from Php449.84 million during the second quarter last year.

Moreover, non-residential building constructions decreased by 80.14 percent during the second quarter of 2020 amounting to Php41.44 million from Php208.63 million in same quarter a year ago.

Furthermore, the value of additions, alterations and repairs type of constructions decreased to Php8.86 million in the second quarter of 2020 from Php34.79 million in same period last year, a decrease of 74.52 percent.

Average cost per square meter of residential construction is Php9, 789.01

The total value of all residential building constructions within the province reached Php186.52 million with a total floor area of 19,054 square meters. This translates to an average cost of Php9,789.01 per square meter.

Single-type residential units, comprising 98.14 percent of the total residential constructions, topped over all other types of residential constructions. There were 158 single-type residential units covering a total floor area of 18,828 square meters and an aggregate value of Php184.19 million. This translates to an average cost of Php9,782.64 per square meter.

Two duplex/quadruplex were recorded in the second quarter 2020 or 1.24 percent of the total residential construction with a floor area of 30 square meters and an aggregated value of Php1.04 million. This translates to an average cost of Php34,791.57 per square meter.

One apartment/accessoria was recorded or 0.62 percent of the total residential constructions. It has an estimated construction value of Php1.29 million with a total floor area of 196 square meters or an average cost of Php6, 573.69 per square meter.

Average cost per square meter for non-residential construction is Php8,034.49

The total value of all non-residential constructions was estimated at Php41.44 million with a total floor area of 5,158 square meters. The computed average cost per square meter was Php8,034.49.

Commercial-type building constructions posted the biggest number of non-residential constructions with 40 construction projects or 80.00 percent of the total non-residential constructions. The total value of constructions for this type was estimated at Php15.55 million covering a floor area of 2,010 square meters or an average cost of Php7,737.17 per square meter.

Agricultural buildings distantly followed with 5 constructions or 10.00 percent of the total non-residential constructions. Total value for agricultural buildings was estimated at Php2.11 million with a total floor area of 307 square meters or an average cost of Php6,870.09 per square meter.

Institutional and Industrial buildings had two constructions each or 4.0 percent of the total non-residential constructions. Total value for institutional buildings was estimated at Php21.56 million with a total floor area of 1,126 square meters or an average cost of Php19,143.87. While, industrial buildings had an estimated value of Php2.11 million with a total floor area of 307 or an average cost of Php6,870.09 per square meter.

Those falling in the Others category accounted for 2.00 percent of the total
non-residential constructions (four construction). It has an aggregate value of Php0.22 million.

The figure above shows the distribution of approved building permits by city/municipality in La Union in second quarter 2020.

Among the city/municipalities, the lone city registered the highest number of construction projects with a share of 21.20 percent (46 constructions) to the total approved building permits in La Union in the second quarter 2020.  Compared with the number of constructions in the same month a year ago (120 building constructions), it registered a decrease of 61.67 percent.

Other municipalities with high number of construction projects in the second quarter of 2020 includes Naguilian with 28 constructions (12.90 percent share), Bacnotan with 22 constructions (10.14 percent share) and municipality of Luna with 19 constructions (8.76 percent share).

In La Union, the City of San Fernando occupied the top rank in terms of the value of constructions in the second quarter 2020 with a share of 21.39 percent (Php50.66 million) to the provincial total. The municipality of Rosario ranked second with a share of 15.23 percent (Php36.08 million) and Naguilian ranked third with a share of 12.92 percent (Php30.61 million).

Similarly, the lone city of the province had the highest value of construction projects among the city/municipalities in the second quarter 2019 contributing 29.99 percent (Php207.93 million) to the provincial total. San Juan ranked second with a share of 12.68 percent (Php87.88 million) while the municipality of Bauang placed third with a share of 10.02 percent (Php68.48 million).

TECHNICAL NOTES

Scope and Coverage

            Private construction statistics from approved building permits pertain to data on new constructions and additions, alterations and repairs of existing residential and non-residential buildings and other structures undertaken in all city/municipalities of the country. 

            For this publication, the scope and coverage are all city/municipalities in La Union. 

Source of Information

            Data were taken from the original application forms of approved building permits collected every month by PSA field personnel from the offices of Local Building Officials (LBOs) provincewide.

Limitation

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

Definition of Terms

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 (RA 6541).

Building is 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.

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 accessoria.

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

Duplex 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 several storey made up of independent living quarters, with independent entrances from internal walls and courts.

Accessoria is a one or two-floor structure divided into several dwelling units having their own separate entrances from outside.

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

Agricultural Buildings are buildings which are 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.

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

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

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.

SGD. DANITES E. TEÑIDO, Ph.D.

Chief Statistical Specialist