Construction projects increased to 3,495 in the fourth quarter 2021

The total number of approved building permits in fourth quarter 2021 was registered at 3,495. This indicates a decrease of 16.8 percent from the 4,199 construction projects in fourth quarter 2020.

Table 1. Construction Statistics from Approved Building Permits
Ilocos Region: 4^th Quarter 2020 and 4^th Quarter 2021

Figure 1. Number of Construction Projects by Province
Ilocos Region: 4^th Quarter 2021

Pangasinan recorded the highest number of construction projects

Among the four provinces of the Ilocos Region, Ilocos Norte recorded the highest number of construction projects with 1,171, or 33.5 percent of the total number of constructions in the fourth quarter 2021. Pangasinan followed with 1,152 constructions (33.0 percent), Ilocos Sur with 685 (19.6 percent), and La Union 487 (13.9 percent).

Residential buildings reported the highest number of constructions

By type of construction, residential reported the highest number of constructions in the fourth quarter 2021 at 2,765, comprising 79.1 percent of the total construction projects in the region. Non-residential types of constructions recorded 515 (14.7 percent).   The combined number of additions, alterations, and repairs totaled 215 or 6.2 percent of the total projects.

Figure 2. Number and Value of Construction Projects by Type Ilocos Region: Fourth Quarter 2021

The total value of construction amounted to PhP4.95 billion

The total value of construction from approved building permits in the fourth quarter of 2021 amounted to PhP4.95 billion, which declined by 8.9 percent compared to the value of approved building permits in the same quarter of 2020.

By type of construction projects, the value of residential buildings amounted to PhP3.2 billion, or 64.6 percent of the total value in the fourth quarter 2021. Non-residential buildings, which amounted to PhP1.45 billion, accounted for 29.3 percent of the total value of construction. The value of additions and alterations/repairs of existing structures amounted to PhP103.39 million (2.09 percent), and PhP194.09 million (3.9 percent), respectively.

The average cost of construction projects, excluding those for alteration and repair, was PhP10,699 per square meter. This is higher compared to the PhP10,356 per square meter average cost in the fourth quarter
of 2020.

Figure 3. Number and Value of Residential Constructions by Type
Ilocos Region: Fourth Quarter 2021

Single houses comprised 97.1 percent of the residential buildings

Single-type residential houses recorded 2,686 constructions accounting for 97.1 percent of the total residential construction projects in the fourth quarter 2021.  There are 67 apartment/accessoria construction projects representing 2.4 percent of the total residential construction. Duplex and other residential houses recorded twelve (12) or 0.5 percent
of the total residential construction.

Average cost of residential building construction is PhP10,711 per square meter

The total value of construction for residential buildings was about PhP3.20 billion with a total floor area of 298,653 square meters, translating to an average cost of PhP10,711 per square meter.

The total value of construction for single-type residential houses reached PhP3.03 billion covering a total floor area of 282,231 square meters, translating to an average cost of PhP10,726 per square meter.

Apartment/accessoria had an estimated construction value of PhP149.65 million with a total floor area of 14,337 square meters, translating to an average cost of PhP10,438 per square meter.

Duplex and other residential houses recorded a total construction value amounted to PhP22.08 million and a total floor area of 2,085 square meters or an average cost of Php10,592 per square meter.

Figure 4. Number and Value of Non-residential Constructions
by Type, Ilocos Region: Fourth Quarter 2021

Commercial buildings recorded 67.0 percent of the non-residential buildings

Commercial buildings had the highest number with 345 construction projects or 67.0 percent of the total non-residential constructions. Institutional buildings ranked second with 87 construction projects or 16.9 percent of the total non-residential construction. Industrial buildings and agricultural buildings followed with 40 (7.8 percent) and 31 (6.0 percent), respectively.

Value of non-residential building constructions amounted to PhP1.45 billion

The total value of non-residential building constructions in the region amounted to PhP1.45 billion with a total floor area of 135,307 square meters, reflecting an average cost of PhP10,731 per square meter.

Of the non-residential constructions, commercial buildings had the highest value amounting to PhP673.38 million. It has a total floor area of 68,622 square meters or an average cost of PhP9,813 per square meter. Institutional buildings followed with a value of PhP634.35 million and a total floor area of 52,007 square meters or an average cost of Php12,197 per square meter.

Industrial buildings had a value of construction estimated at PhP105.49 million and a total floor area of 9,922 square meters or an average cost of PhP10,632 per square meter.

Agricultural buildings rank fourth with a total construction value of PhP33.70 million covering a total floor area of 4,756 square meters
or an average cost of Php7,086 per square meter.

TECHNICAL NOTES

Introduction

This Special Release presents the preliminary data on construction statistics from approved building permits for the fourth quarter of 2021. Data are presented at the regional and provincial levels with monthly and quarterly disaggregation.

Scope and Coverage

Construction statistics presented in this special release are based on approved building permits on new constructions and additions, alterations and repairs of existing residential and non-residential buildings, and other structures which are proposed to be constructed in the different cities/municipalities of the country.

Sources of Information

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

Limitations of data

1.      Data on building constructions are based on approved applications for construction during the reference period and not on the construction work completed during the reference period.

2.      The completeness of construction data relies on the approved applications filed with the LBOs. Hence, building constructions without approved building permits are not part of the tabulation of data.

Geographic Classification

For the fourth quarter of 2021, building constructions are classified and presented by geographic area using the Philippine Standard Geographic Classification (PSGC) as of December 2021.

Statistics Generated

Construction statistics generated from approved building permits provide monthly data on building construction at the regional and provincial level.

The statistics generated are the following:

1.      number

2.      floor area

3.      type of construction

4.      value of construction

Aside from the preliminary tables posted in the PSA website, the annual, quarterly, and monthly statistical tables at the municipality level by type of construction are available at the Industry Statistics Division (ISD) of the Economic Sector Statistics Service (ESSS) of the PSA. They can be requested through email at nonmfg.staff@psa.gov.ph.

Dissemination

Preliminary results of construction statistics are made public in the form of Quarterly Special Releases. The Quarterly Special Releases are reports containing the preliminary results of construction statistics submitted within the cut-off dates for each month. Results are posted 65 days after the reference quarter in the PSA website (www.psa.gov.ph).

Revision

All documents received after the cut-off date, which is 40 days after the reference quarter, are included in the generation of revised results. The revised data of the previous quarter are reported during the release of the preliminary report of the current quarter. Revisions are made for the previous quarters until the annual report is released seven months after the reference year,

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, apartment and/or accessoria, and residential condominium.

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

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 construction consists 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 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.

Renovation is any physical change made on structures to increase their value and quality.

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.

Conversion is a change in the use or occupancy of structure or any portion thereof, which has different requirements.

Demolitions refer 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.

SGD. ATTY. SHEILA O. DE GUZMAN
Regional Director, RSSO I