Rules and Regulations to Implement Section 18 of RA 7279 or Otherwise Known as the Urban Development and Housing Act of 1992

July 14, 1992

HLURB ADMINISTRATIVE ORDER NO. 05-92

 

Pursuant to Sec. 12 of the aforestated subject, publications of the rules were complied on 24 June and 1 July 1992 in the Daily Globe and the Manila Times, respectively. Therefore, effective 2 July 1992, you are to process all applications for development permits for residential subdivision/condominium projects in accordance with the Implementing Rules and Regulations to govern Section 18 of RA 7279 hereto attached.

A. Projects That are Not Covered:

All residential subdivision/condominium projects that satisfy any one of the following conditions are not covered by Sec. 18 of RA 7279 and shall be stamped "This project is NOT COVERED by Sec. 18 of RA 7279". Check/or fill up the required data in the appropriate box and/or space to properly identify the project (refer to Figure 1, Annex "A") as either of the following:

A.1. Projects intended for the underprivileged and homeless and where the selling price of a house and lot package does not exceed P150,000 or does not exceed the selling price of the lowest interest rate under the Unified Home Lending Program;

A.2. Projects with a density of 100 units or more per hectare: (See Annex B for sample computations);

A.3. Projects with four (4) units or less.

B. Projects Covered:

Residential subdivision/condominium projects that do not satisfy any one of the foregoing conditions shall be stamped "This project is COVERED by Sec. 18 of RA 7279". Fill up the name and location of the Socialized Housing Project counterpart, if applicable. (Refer to Figure 2, Annex "A"). These projects shall be processed in the following manner:

B.1. Determine the 20% requirement for socialized housing based on: (Refer to Annex "C" for sample computation)

a. Total project area or

b. Total project cost

B.2. Notify the developer that he has to develop a socialized housing project with a total area of _____ has. or a total project cost of _____ pesos in compliance with Sec. 18 of RA 7279 if he has not submitted his application or the 20% requirement with his main project. (Refer to Annex "D" for pro-forma letter).

C. Projects in Compliance with the 20% Requirement:

A socialized housing project submitted for approval that is intended for compliance with the 20% requirement shall be stamped "SOCIALIZED HOUSING PROJECT IN COMPLIANCE WITH Sec. 18 of RA 7279". Fill up the name and location of the main project counterpart if applicable. (Figure 3, Annex "A").

D. Development Standards and Basic Services:

Design and development standards for socialized housing projects shall be in accordance with BP 220 rules and regulations.

E. Development Permit:

E.1. Process the application of all projects, whether covered or not covered under Sec. 18 of RA 7279, in accordance with existing PD 957 and BP 220 rules and regulations.

E.2. For projects covered by Sec. 18 of RA 7279, include as one of the conditions in the Development Permit decision the following statement:

"This project is covered by Sec. 18 of RA 7279. The developer shall submit an application for the development of a Socialized Housing Project in accordance with Sec. 18 of RA 7279 on or before 2 July 1993" (Refer to Annex "E" for sample decision form"

F. First Year of Implementation:

In its first year of implementation, proponents who file their applications for development permits starting 2 July 1992 are given until 2 July 1993 to comply with the requirements as stipulated in the rules. From July 3, 1993 proponents must secure simultaneously. Development permit for both the main project and the socialized housing project (SHP) except when the SHP is developed in advance. Developers with main residential subdivision/ condominium projects located within metropolitan areas shall be allowed to develop SHP in advance. Advanced socialized housing projects must be properly identified by filling up the appropriate space in Figure 3 Annex A "Name of Counterpart Main Project" with the words "for advance credit".

Please be advised that additional instructions shall be issued as new guidelines are finalized.

For your immediate compliance.

ERNESTO C. MENDIOLA

ANNEX A

 

ANNEX B

SAMPLE COMPUTATION OF DENSITY

I.	PROJECT NAME	:	FAIRVIEW EXECUTIVE TOWNHOUSE
	OWNER/DEVELOPER	:	EDUARDO FRANCISCO
	PROJECT AREA	:	0.12 Hectare or 1200 square meters
	NO. OF SALEABLE LOTS	:	15
	DENSITY FORMULA	:	No. of Units		15
			—————	=	—	=	125 units/ha.
			Area		.12

 

"This project is NOT COVERED by Sec. 18 of RA 7279".

II.	PROJECT NAME	:	MARKSVILLE CONDOMINIUM
	OWNER/DEVELOPER	:	CONRADO PROFETA
	PROJECT AREA (LAND)	:	.2350 Hectare or 2350 square meters
	NO. OF SALEABLE UNITS	:	23
	DENSITY FORMULA	:	No. of Units		23
			—————	=	—	=	97.8 units/ha.
			Area		.2350

 

"This project is COVERED by Sec. 18 of RA 7279".

ANNEX C

SAMPLE COMPUTATIONS OF PROJECT AREA AND PROJECT COST

I.	Main Project Package — Lot Only
	•	Total Project Area	=	10 hectares
	•	Raw Land Cost	=	P100 per sq. m.
	•	Land Development Cost	=	P400 per sq. m.
	•	Total Project Cost	=	P10 Million (Raw Land Cost)
					40 Million (Land Dev. Cost)
					————————————
					P50 M
		a)	Computation of 20% requirement for Socialized Housing Project (SHP) based on total project area:
			20% of 10 hectares = 2 heactares for SHP
		b)	Computation of 20% requirement for Socialized Housing Project based on total project cost:
			20% of P50 Million = P10 Million for SHP
II.	Main Project Package — House and Lot
	•	Total Project Area	=	10 hectares
	•	Raw Land Cost	=	P100 per sq. m.
	•	Land Development Cost	=	P400 per sq. m.
	•	No. of units	=	450 units
	•	Floor area per dwelling
		unit		=	50 sq. m. (22.500 sq. m. for 450 units)
	•	Dwelling unit cost	=	P300,000 per unit
		Total Project Cost	=	P10 Million (Raw Land Cost)
					40 Million (Land Development Cost)
					135 Million (Housing Construction Cost)
					———————————————
					P185 Million
	a)	Computation of 20% requirement for Socialized Housing Project based on total project area:
1.	Land
	20% of 10 heactares = 2 hectares for SHP
2.	Dwelling Units
	20% of 22.500 sq. m. = 4.500 sq. m. for SHP
	b.	Computation of 20% requirement for Socialized Housing Project based on total project cost:
	20% of P185 million = P37 million
III.	Main Project Package = Condominium Project
	•	Total Project Area	=	.3 hectares of 3,000 sq. m.
	•	Raw Land Cost	=	P35,000 per sq. m. or a total of
					P105 million
	•	Land Development
		Cost		=	P10 million
	•	Total construction cost
		of condo. units	=	P20 million
	•	Total project cost	=	P105 million (raw land cost)
					30 million (land development
					and condo. units construction cost)
					———————————
					P135 million
	Computation of 20% requirement for Socialized Housing Project:
	20% P135 Million = P27 Million for SHP

ANNEX D

Mr. Developer/Owner:

Address

Dear Mr. Developer/Owner:

Please be advised that your proposed residential subdivision/condominium project bearing the project name _________________________________________ located at ____________________________________________ is covered by Sec. 18 of RA 7279 which requires you to develop an area for socialized housing equivalent to at least twenty percent (20%) of the total subdivision areas or total subdivision cost of the above project.

The twenty percent socialized housing project you are to develop shall be at least:

a) _________ hectares of land

b) _________ square meters of housing units

or

c) a total project cost of _________ pesos

Very truly yours,

Mr. RTC/Director

CONFORME:

	_________________	_________________
	Owner	Date
	_________________________	_________________
	Developer	Date
NOTARIZED:	_________________
	DATE

ANNEX E