REVISED IMPLEMENTING

RULESAIYD REGUII\TIONS
FOR PD 957

A JOINT PROJECTOF THII

RULES AI\D STANDARDSDEVELOPMENT GROUP
AND THE TECHNICAL WORKING GROUP
ON THE REVISION OF THE IRR
AUGUST2OOI
 Rcruhlic d (tE thilinoir€
C)fficeof rhc President
HousingandUrban Developmenr
CoordinatingCorlncil
HOUSINGAND LAND USEREGULATORYBOARD

BOARD RESOLUTTON NO. R 699

Series of 2001

AMENDINGTHE RULES AND REGULATIONS IMPLEMENTINGTHE

SUBDIVISIONAND CONDOMINIUMBUYER'S PROTECTIVEDECREE
AND OTHER RELATED I-AWS

WHEREAS, the Housingand Land Use RegulatoryBoard (HLURB)is

vested with rule-makingand standard setting functionsunder ExecutiveOrder
No. 648, s. of 1984 as amendedby ExecutiveOrder No. 90, s. of 1986;

I,VHEREAS, Section 36 0f pD 957 mandates HLURB to issue necessary

standards,rules and regulationsfor the effectiveimplementationof the provisions
of this Decree;

WHEREAS, the powers of HLURB to approve subdivisionplans has

been devolved to cities and municipalitiespursuant to RA 7160, yet EO 71,
series of 1993 stipulatesthat the exerciseof such devolvedpowers shall be in
accordancewith the implementingrules and standards of PD 957 and other
relatedlaws as promulgatedby HLURB;

WHEREAS, the signed Memorandum of Agreement (MOA) by and

betweenHLURB and the ProfessionalRegulationCommission(PRC)recognizes
the need to monitor the practice of licensed professionals in subdivision and
condominiumprojects;

WHEREAS, the Housingand Urban DevelopmentCoordinatingCouncil

(HUDCC) issued Council Res. No. 01, Series of 2000, approvingthe definition
of loan ceilings/limitsof housingpackages;

WHEREAS, the Board received clamor from the Regional Offices, private
sectors, standards implementors and other stakeholders to review and re-
examine the existing policies, rules standards and procedures pertinent to the
issuanceof subdivisionand condominiumdevelopmentpermitsand licenses;

WHEREAS, the Board finds it necessary to harmonize the policies, rules,

standardsand procedureswith recentissuances;

HLURB Bldg., KalayaanAventrecomer MayamanStreet,Diliman, QuezonCity

 9J
(Pag€2 of Boa.dRes.xo. n -6

WHEREFORE,be it , RESOLVEDas it is hereby RESOLVEDthat the

RevisedlmplementingRulesand Regulationsto lmplementPD 957 , aftachedas
Annex1. be APPROVED.

APPROVED,161"20dJt6sy
of August2001, QuezonCity.

TIICHAE|rT.DEFENSOR

.CALIDA ROiIULO Q. M.,FABUL

6rsecretary, Commissioner
and
ChiefExecutiveOfficer

gmh*
EDUARD/{
Undersecretary,
DrLql'/ Commissioner

Commlssioner

hffE#f'='^
As'5i5tantSecretary,DPWH
o

NSANG
cretary
 TABLE Of CON'TENTs
TITTE PTGE
RULE
I. DESIGN
MINIMUi' STANDARDS

Section1. Design
Standards andGuidelines
forResidential
Subdivision 1
Projects
Section Standards
2. Design andGuidelines
forResidential
Condominium 24
Projects
Section3. Conversion
of Existing
Structures Projects
to Condominium ZY
Section4. Variances 29

RULE
II. APPROVAL PLAN
OFSUBDIVISION

forApproval
Section5. Application ofSubdit Plan
isionDevelopment 30

RULE
m. APPROVAL PLAN
OFCONDOMINIUM

forApproval
6. Application
Section Plan
ofCondominium 34

RULEIV, REGISTRATION OFSUBDIVISION

ANDLICENSING
PROJECTS
ANDCONDOMINIUM

forRegistration ?A
7. Application
Section
forLicense
8. Application
Section toSell 40
9. Notice
Section ofPublication 40
Section of Registration
10. Certificate 41
11. License
Section toSell 41
12. Performance
Section Bond 41

V.
RULE OFREALESTATE
REGISTRATION BROKERS
DEALERS,
ANDSALESMEN

ofBrokers
{orRegistration
Section13. Application andSalesmen 42
Section of Registration
14. Certificate 42
Section15. Bonds 43
 TITTE PIGE

VI.
RULE tIISCELLANE0US
PRoVISIONS

Section16. Definition
ofTerms 43
Section17. Submission of Semestral
ReportsonOperations 46
Section18. DisplayofCertificate
ofRegistration
orLicensetoSell 46
Section19. LostorDestroyed of Registration
Certificate orLicenseto Sell 46
Section20. Advertisement 47
Section21, TimeofCompletion 47
Section22. TransferofOwnershiporChange ofName 47
Section23. Alteration
of Plans 47
Section24. Non-forfeiture
ofPayments 48
Section25. Registration
ofConveyances 48
Section26. Mortgages 48
Section27. Realty
TaxandOther Charges 48
Section28. ComplaintsAgainstOwners, Developers,
Dealers, 48
BrokersandSalesmen
Section29. Administrative
Fines 48
Section30. Criminal
Penalties 48
Section31. ldentification
ofLotSubjectofSale 49
Section32. Broker/SalesmanasWitness toSales 49
Section33. Fees 49
Section34. Applicability 49
Section35. Transitory
Provisions 49
Section36. Separability
Clause 49
Section37. Effectivity 49
 PAGE
TIIIE

LISTOFTABLES
6
Table1. 6
Table2'
andAbove
1 Hectare I
Table3. of Roads
HierarchY 8
Table4. RoadRighfof-WaY 10
Table5. WiOtn andSidmalks
Strips
ot-ptantlng 13
Table6. Minimum LotArea 14
Table7. Minimum LotFronhge 18
foraResidential
Sia-noaros Pgect
Subdivision
TableI. iilffi;;.ign
PD957
Under

LISTOFFIGURES
v
I q
Road
t AlongMainPublic
11
12
,tq
t forRowhouses

ANNEXES
50
AnnexA Decree
Presidential No 957
Decree
Presidential No 1216
Sec'31ofPD957 65
lmplementing
Rulesandnegulations
asAmended bYPD1216 68
AnnexB TheCondominiumAct
82
lnn.* C No.R-53(Variance)
Resolution

lll
 REVISEDRULESAND REGULATIONS THE
IMPLEMENTING
SUBDIVISIONAND GONDOMINIUMBUYER'SPROTECTIVE
DECREE(pD 957)AND OTHERRELATEDLAWS

Pursuantto ArticlelV Sec{ion5 c) of ExecutiveOrderNo. 648 the following

rules are hereby promulgatedby the Housingand Land Use RegulatoryBoard
(HLURB)to implementPresidential DecreeNos. 957, 1216,1344andotherrelated
laws applicableto open marketand mediumcost subdivisionand cpndominium
projects.

RULEI
MINIMUMDESIGNSTANDARDS

Section1. DesignStandardsfor Subdivision

Residentialsubdivisionprojecisshall conformwith the follorvingminimumdesign

standards,applicablelocal governmentunits'(LGU)zoningordinancesas well as
pertinentprovisionsof the National Building Code if project is with housing
component:

A. Site Griteria
'1. Location

Conformity
withZoningOrdinance/Comprehensive
LandUsePlan

Subdivisionprolects shatl be located in residential zones or other areas

appropriatefor residentialuses.lf thereis no ZoningOrdinanceor approved
ComprehensiveLand Use Plan, the dominantland use principleand site
suitabilityfactorscited hereinshall be used in determiningsuitabilityof a
pro1ect.

Subdivisionprojectssupportiveof other majorurlcanactivities(e.9. housing

for industrial workers) may be allored in area zoned for the said urban
activities.

2. PhysicalSuitability

Subdivisionprojectsshall be locatedwithin suitablesites for housingand

outsidehazardproneareasand protectionareasas providedfor by pertinent
laws. Criticalareas(e.9,areassubjec{to flooding,landslidesand thosewith
unstablesoil)mustbe avoided.

The site shall be stable enoughto accommodatefoundationload without

excessiveearthmoving, gradingor cuftingandfilling.
*T,
-ri'
 3. Accessibility

The site must be served by a road that is readilyaccessibleto public

lines. Saida@essroadshallconformwrththe standardsset
transportation
hereinto accommodateexpecteddemandcausedby the developmentof
the area. ln no case shall a subdivisionproJectbe approvedwithoutthe
necessaryaccessroad/right-of-way. Saidaccessroadright-of-waymay be
constnrtedeitherby the developeror the localgovernmentunit.

B. PlanningConsideratlons
1. AreaPlannlng

projectsshalltake intoaccountthe
Planningand designingof subdivision
following:

a. safetyandgeneralwelfareofthe futureoccupants:

b. adequate, safe, efficient and integrativeroad circulation system

servicingeverylot therein;

c. judiciousallocationof landusesfor diversityand amenity:

d. preservation
of site:

e. propersitingor orientation
of lots;

f. harmonywithexistingandproposed in thevicinity;
development

g. applicationof workable design principlesor parametersfor a well

plannedandself-sustaining
environment.

Whena developer or plannersubmitsa PlannedUnitDevelopment (PUD)

type of pro1ect,
the layout shall likewiseconform to the stiandardsfor
projects.
residential/condominium

a. Openspaces

Open spaces shall conformto the provisionsof P.D. 1216 and its
implementing
rulesandshallincludethefollowing:

a.1 Streets- adeguateand safe means of vehicularand pedestrian

circulation
and easementsfor utilitiesand plantingstrips,shallbe
orovided.

a,2 Walks - paved walks shall be providedto the living units ftom
streets,parkingspacesandfromlivingunitsto playareas

a.3 Parksand playground - suitablerecreationalarea(s)shall be

allocatedwithin the subdivision.Where applicable,a hierarchyof

Y
41 ,
"f
 such recreationalareas may be provided for, such that, a
strategically located main park area is supplemented or
complementedby one or more smaller pocket(s)or areas for
recreationaluse. These areas must be accessibleto living units
and free from anv form of hazard or risk. Said parks and
playgroundsshall be clearedand free from any debris.Parksand
playgroundsas muchas possibleshallbe at streetlevel.

b. Facilrties
and Amenities

Areas requiredfor subdivisionfacilitiesand amenitiesshall be

judiciouslyallocatedin accordancewith the provisionsherein
soecified.

c. Density

Density of subdivisionprojectsshall conform with the residential

densitiesset forth in the zoningordinanceof the city/municipality
whereprojectis located. Wherethereis a mixtureof housingtypes
withinthe subdivision (such as singledetached, row house' town
houses,etc.),densityshallincludethe number
total of dwellingunitsin
structureplusthe total numberof lots intendedfor single
multi-storey
andsemidetached houses.

2. Site Preservation

a. Slope

Thefinishedgradeshallhavea desiredslopeto allowrainwaterto be

channeledinto streetdrains. Wherecut and fill is necessary,an
appropriategradeshall be aftainedto preventany depressionin the
area.

Gradingand ditchingshallbe executedin a mannerthatwill prevent

properties.
erosionor floodingof adjoining

D, of SiteAssets
Preservation

Suitabletrees with a caliperdiameterof 200 millimetersor more'

shrubsand desirablegroundcoverper Department of Environment
and NaturalResources{DENR)rules shall be presewed' Where a
goodqualitytop soilexistsin the site,it shallbe bankedand shallbe
parks and
[reservedior finishinggrades of yards, playgrounds,
garoenarea.

GroundCover

Grass,shrubs,plantsandotherlandscaping usedfor ground

materials
forits intendeduseandlocation'
covershallbe of a varietyappropriate
Theyshallbe planted so as to allowwell-tended coverof the area.

^.1,
-ft'
 Easements
projects
Subdivision andconform
shallobserve provisions
to thefollowing
oneasementsasmayberequiredby:

ChapterlV, Section51 of TheWaterCode,on waterbodies;

(NPC),on transmission
PowerCorporatton
o . National lines;

PHIVOLCS No.515,Seriesof 1992,on identified

per Resolution fault
traces;
right-of-way:
andotherentities'
o . Otherpublicutilitycompanies

govemmentunitsfor projectsabuttingnationalroads
e . National/local
(primaryroads) where adequateeasementshall be providedfor,
loadingandunloading
including areas;
f Otherrelatedlaws.

4. Girculation

Depending on the classification and

of roadsadjacentto the subdivision
the size of the projectsite, roadnetworkshouldresultinto a hierarchyof
functionsand shoulddefineand servethe subdivision as one integrated
unit.

a. Roadscomplemented with pathwalks

withinthe subdivisionmustbe
so alignedto facilitatemovementand to link the subdivision
to the
nearestmajortransportationrouteandioradjacentproperty.

Wheneverthereare existingroadswithinthe projectsitewhichshall

be made part of the subdivision
plan,these shall be improvedin
accordance
withthestandards setforthherein.

b. Streets should conform to the contours of the land as far as

oracticable.

Wherea proposedprojectadjoinsa developedproperty,roadswithin

the said projectshall be connected/integrated/aligned
with existing
ones.

Wherea proposedprojectadjoinsundeveloped
property,a provision
for futureconnectionshallbe mandatorv.

c. As far as practicable,streets shall be laid out at right anglesto

minimizecriticalintersectionssuch as blind comers. skewjunction,
eic.

C. Roadsshallconformto soundengineeringpractices.
I
#" "l
 e. Subdivisionpro1edsshallcomplyto the pertinentrequirements
of Batas
PambansaNo. 344,otherwiseknownas the AccessibilitvLaw.

5. Installation
of StreetNameVSigns:

The developershall bear the cost of installationof street namesi/signs

coincidentwiththe construction
of streets.

C. DesignParameters i
1. Land Allocation

Foropen maket and mediumcost subdivisionproiectswith an areaof one

i
(1) hectareor more, the percentage(o/o)allocationof land shall be as
follows:

a. saleablearea- maximumof 7Oo/o

of the grossarea

area- minimum
b. non-saleable of 307oof thegrossarea

The followingnon-saleablearea shall be observedconsistentwith PD

N o .1 2 1 6 :

b.1 ParkVPlaygrounds

Allocationol arealor parksand playgrounds shallbe mandatoryfor

projectsone (1) hectare or more and shall be deemed non-
buildablearea.The sameshallbe strategically locatedwithinthe
subdivisionproject.Area allocatedfor parksand playgrounds
shall
in no casebe lessthan 100Sauaremeters.

The percentagerequirementfor parkVplaygrounds

shall be as
follows:

Table1. Parksand PlaygroundsAllocation

DENSlTY PARKS/PLAYGROUNDS
(No.of Lots/thvelling
Unit in Percent
Allocation of GrossArea
Per (w
20 and below 3.5
21-25 4-0
26-35 5.0
36-s0 b-u
5 1- 6 5 7.0
Above65 9.0

4,. I*
b.2 CommunityFacilities

Mandatory provision of areas for communityfacilities, such as

neighborhood multi-purpose centerbothfor openmarketand medium
cost housingprojectswith area one (1) hectareand above. These
areas are non-saleable. However, the developer may provide
additionalareas for communityfacilitiessuch as schools and
commercial/reti il centersin excessof the mandatoryrequirementset
forthin thisrulewhichshallbe deemedsaleable.The useof the said
area shall be indicatedin the plan and shall be annotatedin the tiile
thereto.(Referto Table!)

f able 2. Facilities According to the Number of SateabteLots/

DwellingUnitsfor SubdivisionProjectst hectareand Above

Neighbor' Convenience
No.of
hood Stores
& Element
SaleableLots High Tricycle
and/0r
Multi- Other ary School'*
Purpose CommercialSchool-- Terminals--
DwellingUnit
Cenler* Centers..

10& below

11-99

100- 499 x

500- 999

1000- 1499 X

- 1999
1500 x X x X

2000- 2499 x x x x X

2500& Over x X x x X

Mandatorynon-saleable
Optionalsaleablebut when providedin the planthe same shallbe
annotatedin the title
d,l ,
-/'
b.3 Circulation
System

b.3.1 Hierarchy
of Roads

The circulationsystemfor open marketand mediumcost

housingprojectsshallhavethefollowinghierarchyof roads:

Table3. Hierarchyof Roads

ProjectSize
Range OpenMarket MediumCost
(Has.)
2.5& below major,minor,motor major,minor, motor
court,alley court,alley

Above2.5- 5 maior,collector,
minor, -oo-
molorcourt,alley

Above5 -10 major,collector,minot,

motor court,alley

Above10- 15 -oo- do-

Above15- 30 -do- -oo-

Above30 -oo- do-

Minimumroadright-of-way with b.3.2

shallbe in accordance
of thissection.

ln no case shalla majorroadbe less than 10 meterswhen

usedas mainaccessroadand/oras futureconnection.

a) MajorRoaci- a streetor roadlinkingthe siteand servesas

the main traffic artery within the project site and shall
traversethe longeraxisof the property.

b) CollectorRoad - a street or a road that services

pedestrian/vehicular
traffic from minor roads leading to
majorroads.

c) MinorRoad - a roadwhichmainfunctionis to providedirect

accessto lotsandotheractivitycenters.

d) MotorCourts- shall have a right-of-wayof not less than 6

meters in width with provisionfor sufficientspace for
vehicularturn aroundin the form of a cul-de-sac,loop,
branchor "T",witha maximumiengthof 60 metersinclusive
of terminal.

e) ServiceRoads - roadswhichprovidefor the distribution

nf
trafficamongindividual
lotsandactivitycenters.
4"'
 f) Alley - a 2-meter wide walkwaywhich shall be used to
break a block and to serve pedestriansand for emergency
purposes- lt shall not be usedas accessto property.

(ROW
b.3.2 RoadRight-of-Way
for hierarchyof roadsshall be
The conespondingright-of-way
as ficllows:

Table4. Road Right-of-Way

Right4f- Way(Row)
Projec{Size (Meters)
(Hectares)
OpenMarket MediumCost
Maior CollectorMinor MaiorCollectorMinor
2.5& below 108 108
Above 2.5- 5 12 108 JO 8
Above 5 - 10 12 108 12 10 8
Above10- 15 12 108 12 10 8
Above15- 30 15 12 10 12 10 8
.tE
Above 30 15 12 10 12 10
ROW CaniaoervavROW Cariaqeurav
Motor
Court D o
Alley 2 z z
Note:a 6-mseMceroad,
bothendsconnecting
to a
minor oad, shall be
allored br blocks not
exc€edinq
60meters.

a) Majorroadsshall maintaina unifcrmwidth of roadright-of-

way. Taperingof roadwidthshallnot be alloryedwherethe
road rightof-wayis wider than the prescribedstiandardfor
the interconnecting
roadof the proposedsubdivision.

b) Interiorsubdivisionprojectmust secureright-of-wayto the

nearestpublicroadandthe right-of-way shallbe designated
as interconnectingroadwitha minimumwidthof 10 meters.
Thisfact shallbe annotatedon the title of said roadlot and
mustbe donatedand deemedtumedoverto the LGUupon
completionof the saidinterconnectingroad. (SeeFigure1)
d,l ,
 EUBO.l

su80.2

suBo.t

gugD.4

Figure1. InterconnectingRoad

c) Subdivisionprojectsabuttingmainpublicroadmustprovide
a setbackof $meter deepby S-meterin lengthat bothsides
entranceto accommodate
of the subdivision loadingand
unloadingof passengers(seeFigure2).

ITA|NRIEtG ROAO

Figure2. SetbackRequirement
Along MainPublicRoad
*L
'.ft

I
 d) Subdivision projects shall have provision for future
expansionwhere applicable,by designating the major
roads, as prescribed in Sec. 1.C.b.3 2 as the
intercrnnecting for both open marketand
road right-of-way
mediumcosthousingproJects.

b.3.3 Planting
Strips

Planting strips shall be observed with the following road

soecifications:

Table5. Width of PlantingStrips and Sidewalks

OPENMARKET MEDIUM COST

ROADWIDTH Planting Planting
Side{ralk Side{ralk
(m) SlriP Strip (m)
(m.) (m)
{m)

15.00 1.30 | 1.20 1.30 120

1 20 0 0.80 1.20 0.80 | .zu
10.00 0.80 1.20 0.80 1.20
8.00 0.40 0.60 0.40 0.60
6.00(ServiceRoad) OPIIr)nal ootn)nal

b.3.4 RoadPavement

All roadsfor bothopen marketand mediumcost housingprojects

shallbe pavedwith eitherconcreteor asphalt.Concretepavernent
shallhavea minimumthickness of 150millimetersanda minimum
compressivestrengthof 20.7 Mega Pascal(Mpa) while asphalt
shallhavea minimum thickness
of 50 millimeters

Sidewalkpavement
shallhavea minimumcompressive
strengthof
17.2MegaPascal.

b.3.5 RoadIntersection

Roads should intersectat right angles as much as practbable.

Multipleintersectionsalong major roads shall be minimized.
Distancebetweenoffsetintersections shouldnot be less than 20
meters from corner to comer. ,ntersectionsshould o@ur on
straightsectionsinsteadof on curved sectionsof road and on
gentlegradeswithclearsightdistance.

Road intersectionsshall be providedwith adequatecurb radii

consistent
withsoundengineering principles.
(seeFigure3)

4,1
.r''
l0
 cul- oE- sAc

7 : c u R ER A o t u s

Fl9ur6 3 : Curb Rldai Dlmension

s,.
II
 b.3.6 RoadGrade/Slope

Crownof the roadsshallhavea slopeof not lessthan 1.5

percent,while curbsand guttersshall not be less than 7
peroentto 9 peroent(see Figure 4).

Gradesand verticalcurbs shall conformto the design

requirementsof the Departmentof public Works and
Highways(DPWH).

FterrcF yvAY

C A R R IA G E

t"/
o9/
y', 1.s"t"W
ta----

Flgure 4. Road Grade/$lope

2. Lot RequiremefltA

a. Lot Layout:

The foflowingshail be consideredwhen prottingthe subdivision

prgect:

a-1 Preservationof site assetsand propersitingorientationof rots;

blendingwith existingand proposeddevelopmentin the vicinity;
ano

a.2 Applicationof workabledesign principlegparameters

for a well
plannedenvironment.

To aeommodatea wider rangeof clientele(in termsof incomelevel

and
..lifestyle),.and to provide diversity in housing design in a
subdivision projecl, the owner/developeiis encouraied to ailocate
areas for vanous housing types such as singl+.detached,
dupler/singleaftachedand rowhou$s.
4"'
b. MinimumLotArea

The minimumlot areafor varioustypesof housingunderopen market

and mediummst housingprojec{shall be as follcws

Table6. MinimumLot Area

OPENMARKET MEDIUM
COST
WPESOFHOUSING (Sqm.l (Sqm.)

a. SingleDetached 't20 100

b. Dupler/SingleAttached 96 80
c. Rowhouse 60 50

aftachedandlor rolhouse
Saleablelots designatedas duplo</single
lotsshallbe providedwithhousingunits.

Price of saleablelots intendedfor singledetachedunits shall not

exceed40 percentof the maximumselling price of house and lot
pacKages.

Lot Design
by
c.1 Saleablelotsshallbe designedsuchthattheyare not bisectecl
politicalboundaries,water courses,drainageways and utility
lines.

accessroad.
c.2 A lot shallbe servedby an independent

c.3 Wheneverpossible,lot frontageelevationshallbe at streetlevel.

to street lines.
c.4 Lotlinesshallpreferablybe madeperpendicular

c.5 Deeplotsand inegularlyshapedlotsshallbe avoided'

c.6 Lotsshallbe plannedwithadequatewidthfor sideyards-

c.7 Lotsshallbe protectedagainstrisks.

c.8 Lots shall not be laid out if potentialrisks exist e.g. erosion,
slides,flooding,faultlines,etc.
4"'

l3
 d. Lot Frontage

The minimumfot fontages ficr vario.rstypes of housing under open

marketand mediumcosthousingprojectsshallbe as follows:

Table7. MinimumLot Frontage

TYPESOF HOUSING/LOT (m.)

FRONTAGE

1. SingleDetached
a. CornerLot 12
b. RegularLot 10
c. lnegularLot
d. InteriorLot 3
2. Duplex/Single Attached I
3. Rowhouse 4

The numberof rowhousesshall not exceed20 unitsper block/cluster

but in no caseshallthisbe bevond100metersin lenoth.

3. Lengthof Block

Maximumlengthof blockshallbe 400 meters,however,blocksexceeding

250 metersshallbe providedwithan alleyapproximately
at mid-length.
4. ShelterComponent

a. Minimum floor area for open market housingshall be 42 square

metersand 30 squaremetersfor mediumcosthousing.

- completehousefor all typesof dwelling

b. Minimumlevelof completion
unitsbasedon thesubmitted
specifications.
Provisionof firewallshall be in conformitywith the Fire Code of the
Philippinesand mandatoryfor duplexeVsingleaftached units and
everyunitfor rowhouses(referto Fig.5).

^,1
.n.,

14
 d?i
-et_
-l-

=
a?i
oa
---r-
I

PLAN
=
c?l
ol
--T-

Figure5. FirewallRequirementfor Rowhouse

Yard/Setback

Theminimumsetbackof dwellingunitsbothfor openmarketandmedium

costhousingprojectsshallconformto the NationalBuildingCodeof the
Philippines.

6- WaterSupply System

a. SpecificRules:

The subdivisionwater supply shalt be mandatoryor obligatorily

@nnectedto an appropriatepublicwatersystemor communitysystem
providedthat the water supply is enough to meet the total daily
population.
of theanticipated
requirements

When neithera publicwater system,nor an acceptablecommunity

system is available,a centralizedwater supply system shall be
accepted,providedthat:

a.1 The technical consultant of the developer shall determine the

location and discharge capacity of the water supply source(s)
withinthe subdivision;
.l
$^.r i5
 a.2 The permitto drill well(s) or tap water lines fiom the appropriate
govemmentagenciesshallbe obtained;

a.3 The water source shall be sufiicientto meet the daily water
requirements
of everyhouseholdin the subdivision;

a.4 No hazards shall exist in the immediate virjnity of the vvater

sourcethat mightreduceor pollutethe supply;

a.5 Waterdistribution
shallbe assured.

Accordingly,everywater serviceentrarrceor @nneclionshall be

providedwith a pressure.compensating, self-regulating,
constant
flowvalveor fittingto ensureequitabledistribution
of water,water
and powerconservation,and long-termsavingson operational
costsof the water system.

a.6 Eachsubdivisionshallhaveat leastan operationaldeegrvelland

pumpsetswith sufiicient capacity to provide Average Daily
Demand(ADD)to all homeowners.

b. Water Requirement - Every dwellingunit shall be served by an

individualsupply of water suffcient to meet the total hourly domestic
needsof everyhouseholdfor any 8 hourperiod.

TheAverageDailyDemand(ADD)for bothopenmarketand medium

cost housing projects is 150 liters per capita per day (LCPD)
householdconnection.(PerBoardResolutionNo.506,seriesof 1992)

c. Fire ProtectionDemand - Provisionficrfire protectionshallcomply

of the NationalFireprotectionCode.
withthe requirements

d. WaterTank Capaoty - 20%ADD plusfire reserye.

e. Pipes - Pipesshallconformto the standardsrequiredby Metropolitan

Watemorks and SewerageSystem (MWSS) and/or Local Water
UtilitiesAdministration
(LWUA).
7. Electrical Porrer Supply System

Mandatoryindividualhouseholdconnedionto primaryand/or alternate

sourcesof power.

Installationpracfices,materialsand fixtures used shall be in accordance

Wth the provisionsof the PhilippineEleclricalCode andor locat utility
company.

Provisionof streetlightingper pole is mandatoryat SGmeterdistance

andeveryotherpoleif distanceis lessthan50 meters.

Electricalbills for streetlightsshall be proportionately

shoulderedby the
l6
4"' Y
I
 usersthereofprior to issuanceof Certificateof Completion(COC)and
tum-overof openspaceto LGU.

SewageDisposal9ystem

The salage disposal system for open market and medium cost
projectsshalleitherbe any of the follor/ing:
subdivision

a. Connection
to Community
SewerSystem

Connectionsshallbe madeto an approvedpublicor communitysewer

and provisionsof the Sanitation
system,subiectto the requirements
Codeof the Philippines
andotherapplicable
rulesandregulations.

b. SepticTanks

Where communitysewer system is not available,se\flageshalt be

disposedof andtreatedin individualseptictank6.

Conskuctionof individualseptic tanks shall conformto the design

standardsof SanitationCodeof the Philippines(PD 856)ahd Natienal
PlumbingCodeof the Philippines(RA 1378).

9. DraindgeSyrtem

The draihdgesystem of the subdivisionshall conformto the natural

drainagepatternof the subdivisionsite, and shall drain into appropriate
waterbodiesor publicdrainagesystem. In no caseshalldrainageoutfalls
drain into a privatelot. lts layout shall conformto sound engineering
design/principl0scertifiedby a dulylicensedcivil/sanitary
engineer.Drain
linesshallbe of durablematerialsand approvedinstallation practices.

Forbothopenmarketand mediumcostsubdivisionp@ects,underground
drainagesystemshallbe properlyengineeredand environmentally sound
and shall be providedwith adequateReinforcedConcretePipes(RCP),
catch basinsmanholes,inletsand crossdrainfor efficientmaintenance.
Minimumdrainage pipesdiameter
shallbe 30 centimeters.

10. GarbageDisposalSystem

The subdivisionshall have a sanitrary

and eflicientrefusecollectionand
disposalsystem,whether independently or in conjunctionwith the
garlcagecollectionanddisposalservices.
municipaUcity

The SummarizedPlanningand Design Standardsfor Open Market and

MediumCostSubdivisionProjectsis presentedin Table8.
,1,. f"
17
 TABLE8. Planningand DesignStandards
For A ResidentialSubdivisionProject
UnderPD957

PARAMETERS OPENMARKETHOUSING MEDIUM

COSTHOUSING
1. ProjectLocation Withinsuitablesitesfor housing Withinsuitablesitesfor housing
and outside potential hazard and outside potential hazard
proneand protectionareas. proneand protectionareas.

2. Land Allocationfor
projects t hectareand
above.
I a. Saleablearea a. 7O%(maximum)
b. Non-saleablearea b. 30%(minimum)

b.1 Areaallocated for Mandatory for parksandplaygrounds

allocation pertabulation
parKsand below:
playgrounds for
projectst ha. & Density Percentage
of
aoove. (No.ofLotsorDwelling
Unit GrossAreaAllocated
for
PerHectare) parks
andplaygrounds
20 & below 3.5o/o
2 1_ 2 5 4-O%
zo-Ja 5.0%
36-50 6.0%
5 1- 6 5 7.0%
Abcve65 9.0%

Innocaseshallanareaallocated
forparksandplaygrounds
beless
than100sqmandthe sameshallbe strategically
locatedwithinthe
subdivision.

b 2 Areaallocated Mandatoryprovisionof areas for communityfacilitiessuch as

for community neighborhood multi-purpose centerfor housingprojectswitharea 1
facilities hectareandabove. Theseareasare non-saleable. However, the
developermay provideareas for communityfacilitiessuch as
schoolsand commercialcentersin excess of the mandatory
requirement set forthin this rulewhichshallbe deemedsaleable.
The use of the said area shall be indicatedin the olan and
annotatedin the titlethereto.(Referto Table 1 )

b,3 Circulation Observehierarchyof roads

System

^,1
,$ , I8
r,^
 PARAMETERS OPENMARKETHOUSING MEDIUMCOSTHOUS]NG
? MinimumLotAreas
a. SingleDetached 120sqm 100sqm

b. Duplex/Single- 96 sqm 80 sqm

Attached

c. Rowhouse 60 sqm 50 sqm

Saleablelots designatedas duplexand/orrowhouselots shall be

providedwithhousingcomponents.

Priceof saleablelots intendedfor single-detached units shall not

exceed 40% of the maximum selling price of house and lot
pacKages.

4. MinimumLotFrontage
4.1 SingleDetached
a. cornerlot 12m
b. regularlot 10m
c. inegularlot 6m
d. interiorlot 3m
4.2 SingleAftached/
DuPlex 8m
4.3Rowhouse
4m
5. Lengthof Block Maximum length of block is 400 meters, however, blocks
exceeding 25O meters shall be provided with an alley
at mid-length.
approximately

6 . RoadsRightof Way
Projectsize range Majorroad CollectorMinorRoad MajorRoadCollector MinorRoad

2.5 has.& below 10m 8m 10m - 8m

A b o v e 2 . 5 -5 h a s . 12m 1 0m 8m 10m - 8m
A b o v e 5- 1 0 h a s . 12m 10m 8m 12m 10m 8m
Above10 - 15 has. 12m 10m 8m 12m 10m 8m
Above15 - 30 has. 15m 12m 10m 12m 10m 8m
Above30 has. 15m 12m 10m 15m 12m 10m

A 6.0 meter service road, both

ends connecting to a mlnor
road, shall be allowed for blocks
not exceeding60 meters.

^,1
'^f1', l9
 PARAMETERS OPENiJIARKET
HOUSING MEDIUMCOSTHOUSING
ROW CARRIAGEWAY ROW CARRI..AGEWAY
MotorCourt o 6 c
Alley 2 2 z

Alleyis a 2-meterwide walkwaywhichshallbe usedto breaka

blockand to serveboth pedestriansand for emergencypurposes.
It shallnot be usedas accessto property.

(ROW)of majorroadsshallbe increasedas project

Right-of-Way
sizeincreases.
Major roads shall maintaina uniformwidth of road right-of-way.
Tapering of roadwidthshallnotbe allowed,
wheretheroadrighfof-
way is widerthanthe prescribed standardfor the interconnecting
roadof theproposed subdivision.
NOTE:
1 Interior project
subciivision mustsecurerightof-way
tothenearest publicroad
andtheright-ofwayshallbedesignated
asinterconnectingroadwitha minimum
widthof 10mete$.Thisfactshaltbeannotated onthetitleofsaidroadlotand
mustbedonatedanddeemed turnedovertotheLGUuponcomDletion oi thesaid
interconnecting
road.(See Figure
1).
2 Subdivision
projects mainpublicroadmustprovide
abutting a setbackof 3-
meterdeepby 5-meter
in lengthat bothsidesof thesubdivision
entranceto
accommodate
ioading
andunloadingofpassengers.
(See Figure
2)
prqects
3.Subdivislon shallhaveprovision
forfuture
expansion
where
applicable,
bydesignating
a minimum
interconnecting
roadrightof-way
of10meters.

a Hierarchyof Roadsper
ProyectSize Range

2.5 has.& below major,minor.motorcourt,alley major,minor,motorcourt,alley

A b o v e 2 . 5- 5 h a s . major,collector,
rninor,molor _do_
court,a'ley
major,collector,serviceroad,
Above5 - 10
mtnor,motorcourt,alley
_do_
Above 10 - 15 has. -dc-
_do-
Above .l5 - 30 has. -Co-
_do_
Above 30 has. -oo-

4"' 2A
 PARAMETERS OPENMARKETHOUSING MEDIUMCOSTHOUSING
9. RoadsSpecifications
Strip(PS)*
a. Planting
Sidewalk(SW)
ROW PS sw
15m 1 . 3m 1.2m
12m 0 . 8m 1.2fi
10m 0 . 8m 1.2n
8m 0.4m 0 . 6m
6 m (ServiceRoad) optional optional

b. RoadPavement
Major Concrete/Asohalt Concrete/Asphalt
Minor ConcreteiAsphalt Concrete/Asphalt
MotorCourt Concrete/Asohalt ConcreteiAsphalt
Sidewalk Concrete/Asphalt Concrete/Asphalt
Alley Concrete/Asphalt Concrete/Asphalt
Concreteroad pavementshallhavea minimumthicknessof 150
mitfimetersand a minimumcompressive strengthof 2A7 MPa
while roads may either be concreteof same thicknessand
compressive strengthor asphaltwith minimumthicknessof 50
millimeters.
strengthof
shallhavea minimumcompressive
Sidewalkoavement
17.2MPa.
l0 WaterSupply Mandatoryconnectionto appropnatepublic water system;
system.
watersuPPlY
centralized
shallhaveat leastan operational
Eachsubdivision deepwelland
pump sets with sufficient capacity to provide Average Daily
Demand(ADD)to all homeowners-

a. MinimumWater
SupplyRequirement connection
150literspercapitaperdayfor household

b. FireProtection Provisionfor fire protection of

shallcomplywith the requirements
Demand the FireCodeof the PhiliPPines.

-f, l'
2l
a.2 The minimumarea for a singlepark/playground shall be 50 square
meters.lncrementsof 3.00squaremeterslicreveryadditionalfamily
dwellingtype in excessof 10 unitsshallbe added.

a.3 Parks/playgroundor otherrecreational

fucilitiesmay not be required
if the condominiumis locatednot morethan or 800 metersfrom a
publiclyaccessibleparUplayground/or
otherrecreational facilities.

a 4 Parks/playgroundshall be properlylandscapedto accommodate

bothactiveand passiveactivities.

a.5 Parks/playground
may be accommodatedin the yard/s provided
suchyardsare adequateand usableas park.

a.6 Otherfacilities(optional)such as tenniscourts,swimmingpool,

etc. may be integratedwith the parktplayground.

ParkingSpaceRequirement

b.1 ForResidential
Condominium
Units

b.1.1 The parkingslot requirement for residentialcondominium

pro1eclshall be in accordancewith the provisionsof the
NationalBuilding
Codeof the Philippines.

b-1-2 Off-sitepa*ing may be allowed in additionto the on-site

parkingprovidedthat the designdtedparkingarea is part of
the projec{ and provided further that the required distance
shallbe in ao@rdancewith the NationalBuildingCodeof the
Phitippines.

b.1.3 Compliancewith additionalparking spaces as required

by localordinancesshallbe mandatory.

b.2 ForCommercial
Condominium
Units

b.2.1 The minimumparkingslot requirementshallbe in acoordance

with the provisionsof the NationatBuildingCode of the
Philippines.

b.2.2 Off-site parking may be allorvedin additionto the on-site

parkingprovidedthat the designatedparkingarea is part of
the projector the projectis withinthe commercialsubdivision
where common parking area is part of the approved
subdivision plan and provided further that parking
arrangements are explicitlyindicatedin the contractof saleof
propertyto be developed. Off-site parking shall not be
located200 metersawayfrom condominiumproject.

+. 26
c. AccessRoads

Roads shall serve every building,parkingspace, parUplayground and

points
service garbage
(e.g. collectionpoints).
Minimum roads or righfof-
way shallbe I meters,6 metersthereofshallbe the carriageway and the
strip.
remaining2 metersshallbe developedas sideu/alk/planting

Pathwalksshall be providedfor pedestrian with a minimum

circulation
widthof 1.2meters.

of roads,sidewalkan<.|
Construction with
pathwalksshallbe in accordance
the standardsof residentialsubdivision.Spacefor tum aroundat dead
endshallbe provided.

Direc{vehicularaccessto the propertyshallbe providedby publicstreet

or alley.

An independentmeansof accessshall be providedto each dwelling,or

group of dwellingsin a single plot, without trespassingadjoining
properties.Utilitiesand servicefacilitiesmust be independentfor each
dwellingunit.

An indeoendent meansof accessto each livingunit shallbe provided

withoutpassingthroughanyyardof a livingunitor anyotheryard.

c.1 Hierarchyof Roads

For horizontalcondominiumprgects,the hierarchyof roadsshallbe

the same as the minimum design standard requirementsfor
subdivision
Prolects.
c.2 Pavement

All roads (major, minor, motorcourt)for both residentialand

commercial condominium projects shall be paved with
concrete/asphalt.

andServices
BasicFacilities

d.1 ServiceArea(Laundry/Drying
Area)

Adequatelaundryanddryingareasshallbe provided.

Where such serviceareas are held in common,they shall have

suitableoutdoorlocations,fencedor screenedand kept away ftom
livingrooms,entranc€or frontyards.

d . 2 Watersupply,power,s€werageand drainageutilitiesshallconform
of a subdivision.
to the requirements

+, 27
 d.2.1 ReservoirMaterTank

Formulti-storey
buildings

lf the heightof the buildingrequireswaterpressurein excess

of thatin the mainwaterline,a watertankshallbe provided.

Tank shallalso be requiredif the peak drawnshouldreduce

the pressure on the highest usable floor to less than
0.06 Mpa - the minimumpressurerequiredfor satisfactory
operationof fixtures,particularly
thosewrlhflushvalves.
d.2.2 Capacity- 2oo/oAverageDailyDemandplusfirereserye

d.3 Mechanical
EquipmentandServiceAreas

d.3.1 Provision of elevators shall conform to the olans and

specificationsof the duly licensed architecUengineer who
shalldeterminethe requirement for elevatorsincludingthe
number of cars. capacity,safety features and standards,
elevatortype, speed and locationin relationto the over_all
designanduseof thebuilding; thedesignarchitecUengineer
shallcertifyunderoath thatall the componentsthereofare in
accordancewith the National Building Code of the
Philippines, the AccessibilityLaw and national industry
stahdardsandotherpertinentlaws.

d.3,2 Complianceto the provisionsof the Fire Code of the

Philippines,
shallbe mandatory.

d.4 RefuseCollection/Disposal

Centralizedgarbagedepositoryarea and efficientrefusecollection

anddisposalservicesshallbe provided whetherindependenily or in
conjunctionwith the city or municipalitygarbage collectionand
disposalservices_lt shallconformto the provisionsof the Sanitation
Code of the Philippinesand its lmplementingRules and
Regulations/pertinentreferralcodes.
FloorAreaRequirements

a. Single-Occupancy
Unit

Singfeoccupancyunitsshallhave a minimumfloor areaof 1g square

meters,however,a net floor area of 12 squaremetersmay be allowed
providedthat:

a.1 Theseare intendedfor students/employees/workers ano provided

furtherthatthecondominium projectto whichthesewillbe integrated
is withinhighlyurbanizedareas.
'x4, 1"t"
28
I
B. At least2 copiesof vicinitymap indicating the adjoininglanduses,access,as
and utilitiesat leastwithin500 metersfromthe property
wellas existingfacilities
boundaries of the project,drawnto scale and duly signedand sealedby a
licensedgeodetic engineer.

C. Building
specifications cost.
andestimated

fromHLURBRegional
D. ZoningCertificate Office

E. Certifiedtruecopyof DARconversionorder.

F. Certified Clearance
truecopyof Envrronmental (ECC)or Certificate
Certificate of
Non-coverage (CNC) dulyrssued
by the whichever
DENR, is applicable.

u . Certifledtruecopyof title(s)andcunenttax receipt.

H . Rightto use or deedof saleof righfof-wayfor accessroadand otherutilities

whenapplicable.

l. One(1) copyof projectstudy to includethe following:

1. Projectprofileindicating
amongothers,the development cost,totalproject
cost,amortizationschedules, cashflow.
sourcesof financing,marketability,
building
architectural plans andworkprogram/projecttimetable;

2. Auditedfinancialstatementfor the last 3 precedingyears;

years,
3. Incometax returnforthelast3 preceding

of registration
4. Certificate (SEC);
fromSecuritiesand ExchangeCommission

or partnership;
5. Adiclesof incorporation

by-lawsandallimplementing
6. Corporation and
amendments,

7. For new corporations(3 years and below)statementof capitalizationand

sourcesof incomeandcashflowto suppoftworkprogram.

Permit to drill from NWRB or certificateof coveragefrom concernedlocal

franchiseholder.

who signedthe plansand other

K. List of namesof duly licensedprofessionals
similardocumentsin connection filed indicatingthe following
with application
information:

1. Surname

2. Firstname

3. Middlename
^4
'^r.
 4 . Maidenname,in caseof marriedwomenprofessional;

5. Professional
licensenumber,dateof issueand expirationof ib validity;and

D. Professional
tax receiptanddateof issue

7 . Taxpayer's
ldentifi
cationNumber(TlN)

lf the establishmentof the condominiumprojectis physicallyfeasibleand does not

run counterto the approvedzoningand landuse planof the city or municipality
and
the plancomplieswiththeseRules,the condominium planshallbe approvedand a
development permitshallbe issueduponpaymentof theprescribed processingfee.
A developmentpermit shall only be valid for a period of 3 years from date of
issuanceif no physicaldevelopment
is introduced.
lf projecthas been issueda developmentpermit,a locationalclearanceis deemed
incorooratedtherein.

The owneror developershallsubmitthe condominiumplan in accordancewith the

requirementsof the NationalBuildingcode to the buildingofficialof the city or
wherethe propertyliesand the sameshallbe acteduponsubjectto the
municipality
conditionsand in accordancewith the procedureprescribedin section 4 of the
Condominium Act (R.A.No.4726\.

RULEIV
REGISTRATION
AND LICENSING
OF SUBDIVISTON
AND CONDOMINIUMPROJECTS
Section 7. Applicationfor Registration

A. Common Requirements

The owner or the real estatedealerinterestedin the sale of lots or units in a

projector condominium
subdivision project,respectively,
shallregisterthe project
withthe Boardby filingthefollowing:

1. SwomRegistration
Statementusirrgeither:

d. HLURBForm001for Corporation;or
b . HLURBForm003for SingleProprietorship

CertifiedTrueCopyof TransferCertificate
of Title(TCT)or OriginalCertificate
Of Title (OCT) duly stamped with originatmarking "CERTIFIEDTRUE
COPY" by the proper Registerof Deeds and bearingits seal or security
marker.
A
f

36
 a projed coversmorethan 20 individualtitleswithoutthe required
a. \y'Uhen
shallbe required:
marksdescribedabove,the ficllorving

a.1 Photocopyof TCTs

a.2 Certificationfom the registerof deeds concemedwith its seal or
securitymarkgivingthe followinginformation:

a.2.1 TCTor OCTnumbers;

a.2.2 Nameof all registeredowner(s)and theirsharing,if any;
a.2.3 Areacoveredby eachtitle,
a.2.4 Numberof OCT or TCT fromwhichthe titleis derived;
a.2.5 Statement liensandencumbrances,
of all uncancelled if any;
a.2.6 Lot and blocknumbersas well as PSD/PSU/PCS number,
etc.

b. Whencertifiedcopyof the TCT was issuedmorethan one month priorto

the applicationfor Certificateof Registration(CR), affidavitof the owner
thatt# propertyis freefromliensand encumbrancesWhenthe applicant
is not the owner, deed from the registeredowner showingclearlythe-
authorityof the applicantto the property'e g , its development. and saleof
individuallotsor units;to signandreceivedocuments; and, other relevant
authority.In casethe subdivision/condominium prqecl o1portionthereof
is mortgaged,affidavitof under{aking to submit tit|e; fom the
certification
mortgale6 regarding outstandingbalance of loan and amortization
scniut-e; mortgageof contract;and,affidavitof undertaking of mortgagor'

2 Dulyauditedbalancesheet(certifiedcopY9f the original)issuedand signed

by ihe authorizedofficialof ttre applicantand underthe lattecsauthonty.
be
a. When individualpersonsare involvedand no balance sheet can
BIR
submitted,incometax returnsfor the precedingyeardulyreceivedby
officeandtax receiptsevidencingpayment'
or single
b. Wtrenapplicantis a new corporation,partnership,association been
or incometax
i.e.,no financialstatement
proprietorsnip, retumhas
preparedyet, swornstatementdeclaring:

b.1 Otherassetsor sourcesof fundsand otherresources;

b.2 The natureof controlor ownershipover such assets'funds or

resources;

b.3Commitmenttotheeffectthat,ifnecessary,thesameshallbeusecl
to completethe Project.

4. Articlesoflncorporation(orofPartnershiporAssociation),amendments
thereofand existingbyJaws(or its equivalent)clearlyindicatingthe authorrty
oftheapplicanttoengageinrea|estatetradeparticu|ar|yinthedeve|opment
r"f firigof lotsor u-niii.Wt1enan applicantdeviatesfromthe intendedline

+.
"nO

)'l
 of business stipulatedin its articles of incorporation(or partnershipor
association),authorizationfrom the Securitiesand Exchange Commission
(SEC) and/or the appropriategovemment agency to engage in the
development andsellingof the subjectprqecl.

A copy of any circular, prospec{us, brochure, advertisement,or

@mmunicationused/to be used for public ofiering of subjed projectand br
circulationuponapprovalby the Board.

6. Samplecopyof Contractto Sellto be usedin the publicofferingof lots,units

or lots and units. Whenamendmentsshallbe affec{edon the form contnact
submittedfor notification/approval
by HLURB,pro-formaatfrdavitsignifying
willingnessto ctrangeprojec{name.

Certifiedtruecopyof Environmental
ComplianceCertificate(ECC)/Certificate
of Non-coverage(CNC), whlchevel is'applicable, duly issued by the
Department of Environmental
and NaturalResouroes(DENR)
8. ZoningCertificate
tom HLURBRegionalOffice

Certifiedtrue copy of DARconversionorder.

1 0 . Electricalplan and specifications

duly signedand searedby a ricensed
professionalelectricalengineerand duly approvedby the local franchise
holder.

11. Permit to operate a deepwelland subsequentsubmissionof confirmed

water resistivitytest from the Nationarwater ResourcesBoard (NWRB).
Water potability test results from concerneo government
agencieVMaynilad.

B. Additional Requirements

projects
1. ForCondominium

a. Master Deeds with Decrarationof Registrationand Decraration

of
Restrictionsevidenoedby the properann6tationthereofin ttre tit[isl
or
the propertyand the certifiedtrue copy of such tiile(s) from the Reg;i-er;
Deeds,

b. BuildingPermit

2. For Subdivisionprojects:

a. 2 copiesof verifiedsurveyreturnswith raberfor alr non-sareabre

areas
includingbut not rimitedto parksand praygrounds, communityfacirities
and roadsand easements
^,1,
"40-

38
b. Copy of the followingdocumentsin case the developmentpermitwas
issuedby the LocalGovemmentUnit(LGU)pursuantto the 1991Local
Government Codeand relatedissuances:

b.1 Sangguniang ResolutiorVOrdinance granting of development

permit/subdivisiondevelopment plan containing the following
information:

b.1.1 fullnameof the granteeor permittee andhisaddress;

b.1.2 completeproJectnameand its location;
b.1.3 dateof theresolution or ordinance;
b.1.4 pro1ect area:
b.1.5 full listingof title(s)coveringthe project;
b.1.6 legalbasisof theapproval(PD957,EO 648andotherrelated
laws);

b.2 Certifiedtrue copyol resolutionconferringauthorityto the mayoror

other local govemmentofficialto issue developmentpermit in
cases where the same was not granted by the Sangguniang
Pangbayan/Panlungsod.

Evidence of approval of the subdivisionscheme by the local

governmentofficialmustbe any originalcopyor one certifiedas true
6py thereofby the authorizedlocal governmentofficial'indicating
Oeiny nis full nameand positionand the date of approval lt mysj
contaanthesamedataasdescribedabove'Mostimportantofall'it
must bear an indicationof Sanggunianapprovalsuch as but not
IiMitEdTO WOTdSIiKE "APPROVEDBY AUTHORITYOF THE
SANGGUN|AN''orothersofsimi|arimport,itbeingunderstoodthat
theSanggunian issuedsuchauthority
hasproperly

b.3Proofofcomp|iancetoSec.lSotRAT2Tginanyofthefo||owing
manner:

b.3.1 Development permitof socializedhousingprojects within

the mainsubdivision.

b.3.2 Licenseto sell of socializedhousingprojectoffered as

complianceif tocationof complianceis not within the main
subdivisionProject.

b.3.3 Joint venture agreementwith LGU or other housing

agencies.

b.3.4 Certifiedtruecopyof bondissuedby the LGUwherethe main

projectis locatedor by any of the housingagencles'
plan.
b.4 one (1) set of subdivisiondevelopment

d"..
39
 c. Projectstudy

d. Copyof brochuresandotherfonnsof advertisements.

Section 8. Application for License to Sell

The owner or the real estate dealer interestedin the sale of lots or units in a
subdivisionor condominium projectshallapplywiththe Boardfor a Licenseto sell
by submittingthe following:

A. Programof development(bar chartwirh s-curve,GanttcharupERT-cpM,etc.)

signedand sealedby ricensedengineeror architectindicatingwork activities,
durationandcosting

B. Affidavitof undertaking
to performthefollowing:
1. Segregation
of the individuar
tiilesfor aI rotsor unitswithinthe project;
2. submissionof proofthat tiflesto the sareabrerotsor unitshave
been issued,
which.proof may incrudea certificationfrom concernedregister
indicatingthe tots/brocks of deeds
or unitsor datrasimirarto those,.eq*uired
undertne
requirement for certificateof Registration
onrywhenrequiredby th" B";;;
3. Submissionof a certified rrue copy of tifle of the
common areas/open
space' which tifle shail expressryindicatethe kind
of common-tse
approvedtherefor,on or beforea clefinitedate (to u"
rp."in"J uv
subjectto approvalby the Board). "00r,."",
C. Dulyaccomplished
and notarizedfactsheet

Section 9. Noticeof publication

Lpers,as wellas, the documentsattached

rsinesshours by interestedparties. In
:ct shallbe postedon the projectsite until

Y.?^ol:gro'"oon of.thepubrication,
theproponent sharsubmitproofof pubrication
executed by the pubrisherand an affidavitittestinj io
noticeon the site. the postingof the biilboard

44
'&'

40
Section 10. Certificateof Registration
Uponfindingthatthe projectmaybe registeredln acrordancewith the provisionsof
the decreeandtheserules,the Boardshallcausethe publication at the expenseof
the applicanta noticeof the filingof the registrationstatementin 2 newspapersof
generalcirculations,one publishedin Englishand anotherin Pilipino,once a week
for 2 consecutiveweeks, recitingthat a registra'tionstatement for the sale of
subdivisionlots or condominium unitshas beenfiledwith the Boardand that the
aforesaidregistrationsiatementas well as the papersattachedthereto,are opento
inspectionduringbusiness hoursby interested parties.

After 2 weeksfrom the completionof the publicationand upon submissionof the

affidavitof publications.
the Boa:-cj issuea
shallin the absenceof any impediment'
Certificate uponpaymentof theprescribed
of Registration fees.

Section11. Licenseto Sell

unit in the
No owner or dealershall sell any subdivisionlot or condominium
projectwithouta licenseto sellissuedby the Board.
registered

Upon proper applicationtherefor.submissionof the requiredwork program.

performance bondandpaymentcf the prescribed licensefee by theowneror dealer,
the Boardshallissuea licenseto sell the lot or unit in the projector portionthereof
coveredby the performancebond. providedthat. the submittedregistratlon
statementand other pertinentdocumentaryreguirementsGanestablishthat the
proposedsale of the subdivisionlot or condominiumunit to the publicis nol
fraudulent.

Section12. PertormanceBond
The performancebond requiredundersec. 6 of the Decreemay be in any of the
followingforms:

A. A suretybond amountingto 2oo/oof the development cost of the unfinished

portionof the approvedplan issued by a duly accredited bondingcompany
and acceptableto the Board;or,
iwhetherprivateor government)
B. Realestatemortgageto be executedby the applicantas mortgagorin favor of
the Repub|icof the Phi|ippines the |atteras represented
as mortgages, by and
actingthroughtheHLURB,overapropertyotherthanthatsubjectofthe
fiee fromany liensand encumbrance
apptication, and provided,thatthe value.of
the property,computedon the basis of the zonal valuationscheduleof the
ol the totaldevelopment
bureauof internalrevenue,shallbe at least2Oo/o CoSt;
or,

c. cash bondequivalentto 10%of the development cost of the unfinishedportion

of the approvedplanwhichmaybe in the formof the following'

1, Fiduciarydepositmade with the cashierand/ordisbursingofficerof the

Board;
*l 41
 2. A certificate
of guarantydepositissuedby anybankor financinginstitution
of
goodstandingin favorof the boar.dfor the totaldevelopment
cost;
3. A letterfrom any bankof recognized standingcertifyingthat so muchhas
beenset asidefromthe bankaccountof the applicantin favorof the board
whichamountmaybe withdrawn by thechiefexecutiveofficerof the boardor
by hisdulyauthorized representative,
at anytimethe principal
failsor refuses
to complywithhis dutiesandobligationsunderthe bondcontract;
4. Anyirrevocablecreditlineto be utiiizedin thedevelopmentof the projectfrom
any bank of recognized standingand a refinancing re-structuringprogram
indicating
sourcesof fundingfromdulyaccredited fundinginstitutions.
For pre-existing
projectsany of the formsof performance
bond enumerated
abovemaybe availedof.

RULEV
REGISTRATION
OF REALESTATEDEALERS,BROKERSAND
SALESMEN
Section13' Appricationfor Registrationof Brokersand saresmen
No brokeror saresman shailengagein the businessof seilingsubdivisionrotsor
condominium unitswithoutsecuringa certificate
of registratidn
by firingwith tne
Boarda registration
statementin quadrupricate
containingthefoilowinginrJrmairon:
a. Name,ageandaddress

b' lf a corporation'
partnership,
or association,
its officeaddressand branchoffices
and the namesandaddressesof its executiveofficersanddirectors.

c' statementthat appricant

is quarified
to act as rearestatebrokerdr saresman
pursuant
lo law.
d lf app|cantis a salesman,the nameand addressof the deareror brokerwho
emptoyshim,attaching a copyof appointment.
applicantis a broker,the namesandaddresses
of salesmenemployedby
" [,fl"

Section 14. Certificateof Registration

nentsor information,unlessspecifiedby
said period shall be treatedas original
.l
^+
42
Section15. Bonds
The Bondrequiredundersection6 of the Decreemaybe eithera cashor a surety
bond issuedby a duly accreditedbondingcompanywhetherpfivateor govemment
agency.Thebondshallcontaina clausestatingamongothersthatit shallremainin
fu'ittoiceand effectunlessit is ordered,cancelled by the Board.The
or released
bondshallbe executedin favorof the H
conditioned uponthe faithfuland honestd
salesmanworkingundera brokeror deale
thatuponfailureto discharge thoseduties
to any and all personswho maysufferloss
the bondshallbe P5,000for Dealers/Brc
bonds shall no longerbe requiredif equivalentbondsor securitieshave already
been postedby applicantsfoi the same purposewith othergovernmentagencies
to law.
DUrSUant

-hit
Adea|er,brokerorsa|esmanmayapp|yinwritingwiththeBoardforthecance|lation
and release of his bond rtaiing thet6i;t t"asons. In appropFiate cases,the.B.oard
may |.equire the applicant to ciuse the publication of a noticethereforat the latteis
expenseIn a newspape,of jenerat circulation. stating'amongothers'the.factof
suln apptication. The proof6f publication shallbe submittedto the Board. Any
or
p"ito^, havingany claim for moneyor propertyagainstthe dealer'broker
s a | e s m a n i n h i s r e a | e s t a t e s e r v i c e o r p r a c t i c e ' m u s t - f i | e h i s c | a iof
mwiththeBoard
cancellation the
within15 daysfromtn" o"iu oi fublication.lf the.reasonfor the
bondishiscessationfromfurtherengaginginthebusinessofse||ingsubdivision|ots
o r c o n d o m i n i u m u n i t s , t h e d e a l e r ' b r o k e r o r s a l e s m a n s hthe a | l sRegister
u r r e n dof
erhiscertificat
to the BoarJ anJ hi. n"r" shall be cancelled from
of registration
Dealers,Brokersand Salesmen.
RULEVI
MISGELLANEOUS PROVISIONS

Section16. Definitionof Terms

defined:
For purposesof theserules,thefollowingwordsandphrasesare
Regulatory Board'
a. Boardor HLURB- shallmeantheHousingandLandUse
or alleysor pathways
b. Block - a parcelof land boundedon the sidesby streets or intendedfor
or other naturalor .an-tuo" features,and occupiedby
buildings.

A|||andsfrontingononesideofastreetbetweentheneareststreets'
meetingor crossingthe aforesaidstreet'
intersecting,
ysedfo1g[ce'
or groupof buildings'
c. CommercialCondominium - a building,
servicesand oiher commercial
professional
businesses, enterpriseorganized'
as a condominium'
ownedandmaintained

^'{",.
 d. CommonAreas - meansthe entire projectexceptingall units separately
granted,
heldor reserved.
CommunityFacilities- facilitiesor structuresintendedto serve@mmonneeds
and for the benefit of the communitysuch as schools,places of worship,
hospitals,healthcenters,barangaycentersand othersimilarfacilitiesi/amenities
perPD 1216.

condorninium - shallmeanan interestin real propertyconsistingof a separate

interestin a unit in a residential,industrialor commercialbuildingand an
undividedinterestin @mmonclirecflyor indirecily,in the land on which it is
locatedand in othercommonareasof the building.A condominium mayinclude,
in addition,a separateinterestin otherportionsof suchreal property.Titteto the
commonareas,includingthe land,or the appurtenantinterestsin such areas,
fqy be held by a corporationspeciallyformedfor the purposein which the
holdersof separateinterestsshallautomatically be membersor shareholders, to
the exclusiveof others, in proportionto the appurtenantinterest of their
respec{iveuniK in the commonareas.

A buildingin whicheachindividualunit is heldin separateprivateownershipand

all 1loorspace,faciritiesand outdoorareasused in commonby ail tenant! are
owned,administeredand maintainedby a corporationcreatedpursuantto the
provisionsof the appropriatestatute.
An individualdwelling unit under individualownershipin a multiple units
developmentwithcommonelementsin which:
a The unitscomprisenot onrythe spaceencrosedby the unit boundaries,
but
all materiatpartsof the landwithinihe space;

b. The commonerementrneansalr the propertywithin the deveropmentexcept

theunits;

c Theoommonelementis ownedby alrof theownersas tenantsin

common.
A buildingor groupof buildings,in which unitsare owned individually,
stnrcture, @mmon areas and facilities are o^/ned Oy tne owners and the
proportional on a
undividedbasis.

CondominiumProject- meansthe entireparcelof rearpropertydivided

dividedin condominium, or to be
includingall struc{ures
thereon.
CondominiumUnit - meansa partof the condominium pojec{ intendedbr any
typeof independent useor orrnership,includingoneo, morefloors(or partor
partsof floors)in a buildingor buildingsandsuchaccessones
as maybe
appendedthereto.

I Dealer - shallmeanany persondirecflyengagedas principarin the

businqssof
buyrng, sellingor exchanging
realestatewhetheron iull timeor part_time
r\ ourx Duyer sha mean any person who aoquires a lot or a portion basis.
of ttre
^l:rt'
 subdivisionand who, with or withoutre-subdividing or introducing housing or
other facitities,sells the same, under its previouslicense to sell or in a new
licenseto sellin hisnameto the public.

) Decree- shallmeanPresidential
DecreeNo.957otheruiseknownas "The
andCondominium
Subdivision Buyer'sProtective
Decree."

. DwellingUnit - structuredesignedor usedas residence.

Oneor moreroomsthat maybe usedas a residence,eachunithavingsleeping,

cookingandtoiletfacilities.

One or more habitableroomsdesignedor intendedfor use by'l or more

as an independent
individuals and separatehousekeeping establishmentin
whichseparatekitchenand sanitary facilities
are providedfor the exclusiveuse
with a privateentrancefrom outsidethe building
of suchindividualor individuals,
or fom a commonhallwayor staiMayinsidethebuilding'

DwellingTypes:

1. SingleDetached- a dwellingunitcompletelysurroundedby yards'

2.Sing|eAttached-adwe||ingunitwithonesideattachedtoafirewa||'

3. Duplex - a dwellingunitcontaining2 separatelivingunitseach of whichis

fromanotherby a firewallandprovided
seoarated wiihIndependent access.

4.Rowhouse-dwe||ingunitscontaining3ormore|ivingunitsdesignedin
suchawaythattheyabuteachotherandareseparatdfromeachotherby
access
a firewalleachunitprovidedwithindependent

l'Firewa||-anywallwhichsubdividesabui|dingsoastoresisttheSpreadoffire,
bystartingatthefoundationandextendingcontrnuous|ythrougha||storeysto,or
abovethe roof is 1 millimeter'
theroof. Extension
a-Oove

m. Frontage - the sideof a lot whichabutsa street'

n.LivingUnit-adwe|ling,orportionthereof,providingcomp|eteIivingfacilitiesfor
cooking'eating'bathingand
one flmily, includingprovisionsfor living,sleeping,.
andlaundryfacilities,
toitetfacilities dwelling.
the sameas a single-family

o. Lot - portionof a suMivisionorany parcelof landintendedas a unitfor transfer

or ownership development
for building

Types of Lots. - lotsshallbe definedas follows:

l.corner|ot-a|otsituatedattheintersectionoftwoormorestreets.
by
2. regular lol - a lot frontingon one streetand the remainingsides bounded
lot lines.

^f, 4,s
 3. interiorlot - a lot locatedat the innerportionof a blockwith a minimumof
three-meter (3-m)wideaccesswhichformspartof the lot.

4. throughlot- a lotboundedon twoopposite

sidesby roads.
lot - anylotwhichis notrectangle
5. irregular norsquare-shaped
p MediumCost and Open Market - refersto housingprojectswherepricesof
houseand lot packagesare r,viihin
the suggestedpricerangesas determined
throughHUDcc resolutionan<ifailingunderthe standardsprescribed
in these
rures.

q. Open Space - shall refer to an area reserved exclusivelyfor parks,

playgrounds,recreational
uses, schools,roads,placesof worship,hospitals,
.
healthcenters,barangay
centersanciothersimilarfacilities
andamenities.
r. Project - meansthe entire parcelof real properrydividedor to be dividedin
condominiums,including
allstructuresthereon.
Section17. Submissionof SemestralReportson Operations
Everyowneror dealerof a registeredsubdivision or condominium projectshall
submitto the Boardsemi-annual reportson operations showingthe salls status
indicatingthereinnameof buyer.rovbrockno.,TCTno..dateof furchase,nameof
mortgagee, modeof acquisition,
extenudeveropment status,changesin corporate
officersand theiraddresses
within60 daysafterthe endof each,Jrn"rter.-iopL,
of corporatereportsto the securitiesind Exchangecommissionshall also
furnished be
to theBoard.

section 18. Disprayof certificate of Registrationand License

to
Sell
The.certificateof Registrationand Licenseto Seil issuedby
the Board shail be
-owner,
displayedin a conspicuousplacein tt,eprincipal
officeof the oearer,oroGr
or saresman, as the casemay be and a xeroxcopythereofin aI its branchesano
offices-

Section 19. Lost or Destroyed Certificate of Registration or

License
Uponlossor destr'..rction
of a.certificaieof Registration
or Licenseto Sella dupricate
copy thereofmay be issuedby the Boardafter satisfacto proof
of such loss or
destruction,and paymentof the prescribedfee. The factry [hat rr"n oupri"utur,a"
beenissuedshallbe madeof record.

1.
46
Section 20. Advertisement
lotsand condominium
for the saleof subdivision
All advertisements unitsshallbe
declaredandapprovedby the Boardpursuant to Section19ofthe Decree.

Section21. Time for Completion

Everyownerof developershallconstructand providethe facilities,infrastructures,

otherformsof development, including and as far
watersupplyand lightingfacilities
as practicableimprovements, which are offeredand indicatedin the approved
subdivisionor condominium plans,brochures, prospectus, printedmatters,lettersor
withinone (1) yearor withinsuchotherperiodof time
in any form of advertisement,
as miy be fixedby the Boardfromthe dateof the issuanceof licenseto sell for the
subdivisionor condominium project.

Reouestfor extensionof time to completedevelopmentof a subdivisionor

condominium projectmaybe grantedonlyin caseswherenon-completion of project
is causedby fortuitousevents,legalordersor suchotherreasonsthat the board
may deemf'vprop"rwith the writtennoticeto lot or unit buyerswithoutpreiudiceto
the exerciseof theirrightspursuantto Section23 of the Decree'

The requestfor extension shallbe accompanied

of timefor completion by a revised
work programdulysignedandsealedby a licensedengineeror architectwith project
costingandfinanCing schemetherefor.In appropriatecases,theBoardmayrequire
the polting of additionalperformance bondamountingto 20% of developmentcost
of the unfinishedportionof the approveddevelopment plan,or issuesuchordersit
mayoeemproper.

Section 22. Translerof Ownershipor Changeof Name

Requestfor transferof ownershipand/orchange.of name may be grantedonly if

there is a deed of absolutesale over the subdivision and condominium prolect
iought to be transferredand/orthe namethereofchangedwith an undertaking on
of.
for the.completion.
if* b"rt of the transfereeto assumefull responsibility the
J"uiopm"nt thereof. The requirements in Sections and 13 hereofshall be
7
observed whenever aPPlicable.

such requestfor transferof ownershipor changeof name shall be publishedat

applicant;sexpensein a newspaperof generalcirculationwithin the city or
wherethe projectis locatedat leastoncea weekfor two (2) consecutive
municipality
weeKs.

Section 23. Alterationof Plans

t ti
Requestfor alterationof subdivision plans may be granled if.the.requirements
Seition 22 of the Decreeare compliedwith. Alterationof condominiumplans shilrl
be in accordancewith Section4 of the CondominiumAct as amendedby Sections1
and 2 of RA 7899.
T"r.,,
xJ 4'7 |
 Section 24. Non-forfeitureof Paynrents
No installmentpaymentmade by a buyer in a new or existingsubdivision or
condominium projectfor the lot or unithe contractedto buyshallbe forfeitedin favor
of the owner or developer when the buyer, afier due notice to the owneror
developerand clearancefrom the Boarddesistsfrom furtherpaymentdue to the
failureof the owneror developerto developthe projectaccordingto the approved
plansand withinthe time limitfor complyingwith the same. suchbuyer may at his
option be reimbursedthe total amount paid includingamortizationinterestsbut
excludingdelinquency interests,with interestthereonat ihe legalrate.

Section 25. Registrationof Gonveyances

sales or conveyancesof the subdivisionlots and condominiumunits shall be
psisteredwithin t80 days from executionthereofby the sellerwith the Registerof
Deedsof the provinceor citywherethe propertyis situatedpursuantto secti5nt 7 of
the Decree. Exceptas may othe*ise be providedfor by raw,the Boardmay rn
appropnatecases cause the Registerof Deedsto cancel registration,entriesor
annotations
on titlesmadeon thisregard.

Section 26. Mortgages

Mortgageof any unitor lot by the owneror developershallbe clearedwiththe
pursuantto Section1I of the Decree. Board

Section 27. RealtyTax and OtherCharges

No realtytax assessmentor otherchargesshail be imposedon a rot
or unit buyer
exceptas providedfor in Section26 and2T of the Decree.

Section 28.- Complaints Against Owners, Developerc,Dealers,

_
Brokersand Salesmen
complaints or proceedingsagainst owners, deveropers,dearers,
saresmensha be resorvedin accordance brokers and
withthe Ruresof procedureto oouem'tne
Conductof Heanngsbeforethe Board.

Section 29. AdministrativeFines

Any owner or dearer who. fairs to register an existing subdivisionproject
condominiumprojectwithinthe periodprescribedunoertr6se rub.;il or
shall be penarrzedin accordancewith the approved schedure ,.AGa..
impfementation of fines. The
andpaymentof theseadministrative finesshal not precrudecriminat
prosecution
of the offenderunderSec{ion39 of the Decree.

Section 30. Criminalpenalties

Any personviolatingany provisionsof the

shallsufferthe penaltiesprovidedfor undel
I
*L 4t
"Ji.
Section31. ldentificationof Lot Subjectof Sale
Theowneror dealerof a subdivision projectshallattachto andshallformpartof the
salesdocumentof any lot,a sketchplanclearlyshowingthe area,boundaries and
dimensionsof the lot in relationwith the blockand the whole proiect,as well as the
Iocationof the prolect tn relationwith publicroads and other land marks,to be
by a licensed
certified geodetic engineerandsignedby thesellerandbuyer'

as Witnessto Sales
Section 32. Broker/Salesman
The brokeror salesman thesaleof a subdivision
who negotiated lotor condominium
unitshallactas oneof thewitnessesto the salesdocument withan indication of his
numberand renewaldate. lf the sale
certificateof Registration was directlymade
by theowneror dealer,thatfactmustbe so statedin thesalesdocument'

Section33. Fees
The Boardor the localgovernment
unitconcerned Shallcollectfeesin accordance
withtheschedule by the Boardor the localgovernment
of feesapproved concerned

Section 34. APPlicabilitY

TheSe RUIeSshallapplyonlyto residentialsubdivision projects

andcondominium
as definedby the Decreeand relatedlaws

Section35. TransitoryProvisions
TheprovisionsofRu|e||.Section(5)Subsection(A)(1)andSubsection(B)(2)of
these Ru|esto the conirarynotwithstanding, and subjectto further reviewthereof,
in the
licensed architects who are not licensed environmentalplanners may
development
-rorsite developmentplans/subdivision
meantimestill contrnueto $ign
pians of subdivisionprolects, a penod ot 2 yearsfrom the date of effectivityof
theseRules

Clause
Section36. SeParabilitY
any
The provisionsof these Ru|esare herebydec|aredseparab|e,and in the event
all other shall
provisions
of such provisionsare declarednull and void,the validityof
not be affectedtherebY.

Section 37. EffectivitY

These Rules shall take effect immediately after its publication once In any
newspaperof generalcirculation

4, P
49
 ANNEXA

MALACAfrANG
Manila

DECREENO,957
PRESIDENTIAL

LOTSAND CONDOMINIUMS,
THESALEOF SUBDIVISION
REGULATING
THEREOF
PENALTIESFORVIOLATIONS
PROVIDING

WHEREAS,it is the policyof the Stateto affordits inhabitants

the requirements
of decenthumanseftlementand to providethemwith ampleopportunitiesfor improvif€
theirqualityof life;

WHEREAS,numerousreportsrevealthat manyreal estatesubdivision owners,

developers, operators, and/or sellers have reneged on their representationsand
obligationsto provide and maintainproperlysubdivisionroads, drainage,sewerage,
watersystems,lightingsystems,andothersimilarbasicrequirements, thusendangering
the healthand safetyof homeand lot buyers;

WHEREAS,reportsof alarmingmagnitudealso show cases of swindlingand

fraudulentmanipulations perpetratedby unscrupulous subdivisionand condominium
sellers and operators,such as failure to delivertitles to the buyers or titles free from
liensand encumbrances, and to pay real estatetaxes,and fraudulentsalesof the same
subdivisionlotsto differentinnocentpurchasers for value;

WHEREAS,theseactsnot only undermine the landand housingprogramof the

governmentbut also defeatthe objectivesof the New Society,particularlythe promotion
of peaceand orderandthe enhancement of the economic, socialand moralconditionof
the Filipinopeople;

WHEREAS,this state of affairs has renderedit imperativethat the real estale

subdivisionand condominium
businesses be closelysupervisedand regulatedand that
penalties be imposed on fraudulentpracticesand manipulationscommifted in
connectiontherewith.

NOW,THEREFORE, l, FERDINANDE. MARCOS,presidentof the phitippines,

by virtueof the powersvestedin me by the constitution,do herebydecreeand order:

Title I
TITLEAND DEFINITIONS

SEC. 1. Tltle. - This decreeshail be known as THE SUBDMSION AND

CONDOMINITJMBUYER'SPROTECTIVE DECREE.
sEc. 2. Definition of rerms. - when used in this decree,the followingterms
shallun{essthe contextothenarise
indicates,havethe followingrespectivemeanings:
a) Person.- "Person"shalrmeana naturaror a juridicalperson. A juridical
person refers to a businessfirm whether a corporation,partnership,cooperativeor
associationor a singleproprietorship.
 b) Saleor Sell. - "Sale"or "Sell"shallincludeeverydisposition, or attemptto
dispose,for a valuableconsideration, of a subdivisionlot, includingthe buildingand
other improvements thereof,if any, in a subdivisionprojector condominium unit in a
condominium project."Sale"and "Sell"shallalsoincludea contractto sell,a contractof
purchaseand sale,an exchange,an attemptto sell,an optionof sale or purchase,a
of a sale,or any offerto sell,directlyor by an agent,or by a circular,letter'
solicitation
advertisement or otherwise.

A privilegegivento a memberof a cooperative,corporation,partnership,or any

association of receiptevidencing
and/orthe issuanceof a certificate or givingthe rightof
of
in, or right,any landin consideration
participation paymentof the membership fee or
dues,shallbe deemeda salewithinthe meaningof thisdefinition.

c) Buy and Purchase.- The term "Buy"and "Purchase" shall includeany

contract to buy, purchase, or othenruiseacquire for a valuable considerationa
subdivision if any, in a subdivision
lot,includingthe buildingand otherimprovements,
projector a condominium project.
unitin a condominium

d) subdivisionProject. - "subdivisionProject"shall meana tract or a parcel

of land registeredunder Ait No. 496 which is partitionedprimarily for- residential
purposesiito individuallots with or withoutimprovementsthereon,and offeredto the
public for sale, in cash or in installmentterms. lt shall include all residential,
commercial,industrialand recreationalareas, as well as open spaces and other
community and publicareasin the project'
e) subdivisionLot. - "subdivisionLot" shallmeanany of the lots,whether
commercial,
residential, industrial, pqect'
in a subdivision
or recreational,

f) complexsubdivisionPlan. - "complexsubdivisionPlan"shall meana

subdivisionplan of a registeredland whereina street,passagewayor open spacels
delineatedon the Plan.

s) condominiumProject. - "condominiumProject"shall mean the entire

"of
parcel real propertydivided or to be divided primarilyfor residentialpurposesinto
condominium units,including thereon'
all structures

h)CondominiumUnit.-.CondominiumUnit'shal|meanapartofthe
condominium project intendedfor any typeof independent use or ownership,including
one or more roomsor spaceslocatedin one or morefloors(or part of partsof floors)in
abui|dingorbui|dingsandsuchaccessoriesasmaybeappendedthereto.
i) owner. - ,.owner'.sha||referto the registeredownerof the |andsubjectof
a subdivisionor a condominium project.

j)Deve|oper'-''Developer''sha||meanthepersonwhod.eve|opsor
improvesthe subdivisionprojector condominiumprojectfor and in behalfof the owner
thereof.
k) Dealer.- "Dealer"shallmeanany persondirectlyengagedas principalin
realestatewhetheron a full-timeor part-
the businessof buying,sellingor exchanging
timebasis.

51
 l) Broker. - "Broker"shallmeanany personwho, for commissionor other
compensation,
undertakesto sell or negotiatethe sale of a real estatebelongingto
another.

m) Salesman.- "Salesman" shallreferto the personregularlyemployedby a

brokerto perform,for and in his behalf,any or all the functionsof a realestatebroker.
n) Authority.- 'Authority"shallmeanthe NationalHousingAuthority.

Title ll
REGISTRATION
AND LICENSETO SELL
sEc. 3. NationalHousingAuthority. - The NationalHousingAuthorityshall
have exclusivejurisdiction
to regulatethe real tradeand businessin accordancewith
the provisions
of thisDecree.

sEc. 4. Registrationof Project. - The registeredownerof a parcelof landwho

wishesto convertthe sameintoa subdivision projectshallsubmithissubdivision ptanto
the Authoritywhichshallact uponand approvethe same,upona findingsthatthe plan
complieswith the Subdivision Standardsand Regulations enforceablelt the time the
plan is submifted.The same procedureshallbe followedin the case of a plan
for a
condominium projectexceptthat,in addition,saidAuthorityshallact uponand approve
the planwith respectto the buildingor buildingsincludedin the condominium projectin
accordance withthe NationalBuildingCode(R.A.No.6541).

. Th" subdivisionplan,as so approved,shallthen be submittedto the Directorof

Landsfor approvalin accordancewith the procedureprescribedin seition 44 of
Land Registration the
Act (Act No. 496 as amendedby R.A. No. 440): provided.that in

of theCondominium
Act(R.A.No.4726).

The owner or the rear estate dearer interestedin the sare of

respectively, rots or units,
in suchsubdivision
projector condominium projectshallregisterthe project
l/i1h the Authorityby firingtherewitha sworn registrationstatemenicontainingthe
following information;

a) Nameof the owner;

b) The locationof.the owner'sprinciparbusinessoffice,and if the owner

rs a
non-resident Firipino,
the nameand addressof his agentor representative
in the philippinesauthorizedto receivenotice;

c) The namesand addressesof ail the directorsand officersof the

business
firm, if the owner:

d) The general characterof the businessactuallytransactedor

transactedby the owner;
to be

52
 e) A statementof the capitalization
of the owner,includingthe authorized
and
amountsof its capitalstockandthe
outstanding proportionthereofwhichis
paro-up.

The followingdocumentsshatlbe attachedto the registrationstatement:

a. A copy of the subdivisionplan or condominiumplan as approvedin

accordancewiththefirstand secondparagraphs
of thissection;

b. A copy of any circular,prospectus,brochure,advertisement, letter,or

communicationto be usedfor the publicofferingof the subdivisionlotsor
condominiumunits;

c. In case of a businessfirm, a balancesheet showingthe amountand

generalcharacterof its assetsand liabilitiesand a copy of its articlesof
incorporattonor articlesof partnership as the casemay be'
or association,
with all the amendmentsthereofand existingby-lawsor instruments
correponding thereto;

d. A title to the propertywhich is free from all liens and encumbrances:

Provided,however, thatin caseanysubdivisionlotor condominium unitis
mortgaged,itissufficientiftheinstrumentofmortgagecontalnsa
stipulationthat the mortgageeshall release the mortgage on any
subdivision lot or condominium unitas soonas the full purchasepricefor
the sameis PaidbYthe buYer.

The person filing the registrationstatementshall pay the registrationfees

thereforeby theAuthority.
prescribed

Thereupon, the Authorityshallimmediately causeto be publisheda noticeof the

statem-ent
filingof the registration at the expenseof the applicant- owneror dealer,in
two'newspapeis onepublished
of generalcirculation, in Englishandanotherin.Pilipino,
once a week for two consecutive weeks,recitingthat a registration statementfor the
sale of subdivisionlots or condominium units his been filed in the NationalHousing
nutnoritv;that the aforesaidregistrationstatement,as well as the papersattached
duringbusinesshoursby interestedparties, such
thereto,are opento inspection -under
i"grl"irn. the Authoritymay impbse;and that copiesthereofshallbe furnishedto
any partyupon"J paymentof the properfees.

The subdivisionprojector the condominium projectshallbe deemedregistered

upon completionof the above publicationrequirement.The fact of such registration
sirallbe evidencedby a registration or
certificateto be issuedto the applicant'owner
dealer.

SEC.5. Licenseto Sell - Suchowneror dealerto whom has been issueda

registrationcertificateshall not, however,be authorizedto sell any subdivisionlot or
condominium unitin the registered projectunlesshe shatlhavefirst obtaineda license
to sellthe projectwithintwoweeksfromthe registration of suchproject'

The Authority,upon properapplication therefore,shall issueto such owner or

of the
dealerof a registeredprojecta'licenseto sellthe projectif, afteran examination
.stitementfiled by said owner or dealerand all the pertinentdocuments
registration
CJ
.attachedthereto,he is convincedthat the owner or dealer is of good repute,that his
businessis financiallystable,and that the proposedsale of the subdivisionlots or
condominium unitsto the publicwouldnot be fraudulerit.

SEC, 6. Performance Bond. - No licenseto sell subdivisionlots or

condominiumunits shall be issuedby the Authorityunder section 5 of this Decree
unlessthe owneror dealershall havefiled an adequateperformancebond approvedby
said Authorityto guaranteethe constructionand maintenanceof the roads, gutters,
drainage,sewerage,water system,lightingsystems,and full developmentof the
subdivisionprojector the condominium projectand the complianceby the owner or
dealerwiththe applicablelawsandrulesandregulations.

The performancebond shall be executedin favor of the Republicof the

Philippinesand shall authorize the Authority to use the proceeds th'ereoffor the
purposesof its undertakingin caseof forfeitureas providedin this Decree.

sEc' 7. . Exempt Transactions. - A ricenseto seil and perfo'nance bond shall

not be requiredin any of thefollowingtransactions:

a) sale'of a subdivisionrot resurtingfrom the partitionof randamong co-

ownersandco-heirs.

b) Saleor transferof a subdivision

fot by the originarpurchaserthereofand
any subsequentsaleof the samelot.
c) sale of a subdivision
fot or a condominium
unit by or for the accountof a
m:rtSaqegin the ordinarycourseof businesswhennecessaryto liquidate
a bonafidedebt.

sEc' 8. suspension of Licenseto sert. - Uponverifiedcompraint

buyerof a subdivisionlot or a condominium fitedby a
unitor any interestedp",tv, in"
'ticenseirft,oritv
may, in its discretion,immediatery suspendthe owner,sor deare/s
pendinginvestigationand hearingoi the caseas provided to sert
,n section rs heieor.

The suspensionordermay be riftedif, afternoticeand

convincedthat the registrationstatementis accurateor hearing,the Authorityis
that any aericlencyttreieinhas
been conected or supplementedor that the iaie io tne public
condominium of the subdivisionor
projectwiil neitherbe fraudurentnor resurtin fraud. rt shailarsobe rifted
upondismissalof the complaintfor lackof tegatbasis

pensions,the suspension of the rightto sell

rsons notified thereof, shall be deemed
rderof suspension has in the meantimebe

54
 SEC.9. Revocationof RegistrationCertificateand Licenseto Sell. - The
Authoritymay,motopropioor uponverifiedcomplaintfiledby a buyerof a subdivision
lot or condominiumunit, revokethe registration of any subdivisionprojectand the
licenseto sellany subdivision lot or condominiumunitin saidprojectby issuingan order
to this effect,with his findingsin respectthereto,if uponexamination into the affairsof
the owneror dealerduringa hearingas provided
for in Section14 hereof,it shallappear
thereis satisfactory evidencethatthe saidowneror dealer:

a) ls insolvent;
or

b) Has violatedany of the provisionsof this Decreeor any applicableruleor

of theAuthority,
regulation or any undertaking of his/itsperformancebond;
or

c) Has been or is engagedor is aboutto engagein fraudulenttransactions;

or

d) Has madeany misrepresentation in any prospectus,brochure,circularor

other literatureabout the subdivisionprojector condominiumprojectthat
has beendistributed to prospectivebuyer;or

e) ls of badbusinessrepute;or

fl with law or soundbusiness

Doesnot conducthis businessin accordance
PrinciPles.

Wherethe owneror dealeris a partnership or corporation or an unincorporated

association, it shallbe sufficientcausefor cancellation of its certificateand
registration
its licenseto sell, if any memberof such partnership or any officeror directorof such
corporation or association
'refusing has beenguiltyof any act or omissionwhichwouldbe cause
for or revokingthe registration of an individualdealer,brokeror salesmanas
providedin Section11 hereof.
-
SEC. 10. Registers of Subdivision Lots and Condominium Units. A record
of subdivisionlotsand condominium unitsshallbe keptin the Authoritywhereinshallbe
enteredall ordersof the Authorityaffectingthe conditionor statusthereof The registers
of subdivisionlots and condominium unitsshallbe opento publicinspectionsubjectto
such reasonablerulesas the Authoritymay prescribe

Title lll
DEALERS.BROKERSAND SALESMEN
-
sEc. 11. Registrationof Dealers,Brokersand salesmen. No real estate
dealer,brokeror sa|ert"n shallengagein the businessof sellingsubdivisionlots or
condominium unitsunlesshe has registeredhimselfwith the Authorityin accorclance
withthe provisions
of thissection'

lf the Authorityshallfind that the applicantis of good reputeand ha.scomplied

withthe applicable the paymentof the prescribed
including
rulegof the Authority, fee, he
shallregistersuchapplicantas a dealer,broker,or salesmanuponhis filinga bond' or
othersjcurity in lieuthereof,in suchsum as may be fixedby the Authorityconditioned
 upon his faithfulcompliancewith the provisionsof this Decree: Provided,that the
registration
of a salesmanshallceaseuponthe termination of his employmentwith a
dealeror broker.

Every registrationunder this section shall expire on the thirty-firstday of

Decemberof each year. Renewalof registration for the succeedingyear shall be
granteduponwrittenapplication thereforemadenot lessthanthirtynor morethansixty
days beforethe first day of the issuingyear and upon paymentof the prescribedfee,
withoutthe necessityof filing furtherstatementsor information,unless specifically
requiredby the Authority.All applicationsfiledbeyondsaid periodshallbe treatedas
original
applications.

The names and addressesof all personsregisteredas dealers,brorers or

salesmanshallbe recordedin a Registerof Brokers,Dealersand salesmankeptin the
Authoritywhichshallbe opento publicinspection.

SEC. 12. Revocationof Registrationas Dealers,Brokers, Salesmen.

Registrationunder the precedingsection may be refusedor any registrationgranted
thereunder,revokedby the Authorityif, after reasonablenotice-and-hearing,it shall
determinethatsuchapplicantor registrant:

1) Has violatedany provisionof this Decreeor any rule or regulationmade

hereunder:or

2) Hasmadea materialfalsestatement
in hisapplication
for registration;
or
3) Has. been guilty of a fraudulentact in connectionwith any sale of a
subdivision
lot or condominiumunit;or
4) Has demonstrated his unworthiness,
to transactthe businessof dearer,
broker,or salesman,
as the casemavbe.
ln case of chargesagainsta saresman,noticethereofsha arso given
be the
brokeror dealeremploying
suchsalesman.
Pendinghearingof the.case,the Authorityshail have the power
suspensionof dearer's,broker'sor saresman's to order the
registration;
provided,thatiucn oroer
shallstatethe causefor the suspension.

.. The suspensionor revocation of the registrationof a dearershaflcarrywith it arl

the suspension
or revocation
of the registration-s
of all hissalesman.

56
 Title lV
PROCEDUREFORREVOCATION OF
REGISTRATION CERTIFICATE

SEC.13. Hearing. - In the hearingfor determining the existenceof any ground

or groundsfor the suspension and/orrevocation of registration and licenseto
certificate
sellas providedin SectionsI andt hereof,the followingshallbe compliedwith:

a) Notice - No such hearingshall proceedunless the respondentis

furnishedwith a copyof the complaintagainsthim or is notifiedin writing
of the purposeof suchhearing.

b) Venue - The hearingmay be heldbeforethe officeror officersdesignated

by the Authorityon the dateand placespecifiedin the notice.

c) Natureof Proceedings- The proceedingsshall be non-litigious and

in
obtaining
summaryin naturewithoutregardto legaltechnicalities courts
of law. The Rulesof Court shall not apply in said hearingexcept by
analogy or in a suppletorycharacterand wheneverpracticableand
convenient.

d) PowerIncidentalto the Hearing- Forthe purposeof the hearing.ofother

proceedingunderthis Decree,the officeror officersdesignatedto hearthe
complaintshallhavethe powerto administer oaths,subpoenawitnesses,
take
conductocularinspections; dispositions,and requirethe production
of
anybook,paper,correspondence'memorandum,orotherrecordwhich
are deemedrelevantor materialto the inquiry.

SEC.14. ContemPt.-

a) Directcontempt. - The officeror officersdesignatedby the Authorityto

hearthecomp|aintmaysummarilyadjudgeindirectcontemptanyperson
guiltyof misbehavior in the presenceof nearthe said hearingofficialsso
to
as to obstructor interruptthe proceedingsbeforethe same or of _refusal
beswornortoanswerasawitnessortosubscribeanaffidavitor
depositionwhen lawfullyrequiredto do so. The personfound guiltyof
directcontemptunderthissectionsha||bepunishedbyafinenot
exceedingfifty(P50.oo)pesosorimprisonmentnotexceedingfive(5)
daYs,or both

b) Indirectcontempt. - The otficeror officersdesignatedto hear the

comp|aintmaya|soadjudgeanypersoninindirectcontemptongrounds
andinthemannerprescribedinRuleT'loftheRevisedRulesofCourt'

sEc. 15. Decision. - Thecaseshallbe decidedwithinthirty(30)daysfromthe

time the sameis submittedfor decision.The decisionmay orderthe revocation of the
or condominium
of the subdivision
registration proiect,the suspension,cancellation, or
reiocationof the licenseto sell and/or the forfeiture,in whole or in part, of the
oerformancebond mentionedin Section6 hereof. In case forfeitureof the bond is
ordered,the Decisionmay directthe provincialor city engineerto undertakeor cause
the constructionof roadsind of otherrequirementsfor the subdivisionor condominium
as stipulatedin the bond,chargeable to the amount forfeited. Such decisionshall be
immediately executoryandshallbecomefinalafterthe lapseof 15 daysfromthe dateof
receiptof the Decision.

SEC.16. Ceaseand DesistOrder. - Wheneverit shallappeartothe Authority

that any personis engagedor aboutto engagein any act or practicewhichconstitutes
or will constitutea violationof the provisionsof this Decree,or of any rule or regulation
thereunder, it may,upondue noticeand hearingas providedin Section13 hereof,issue
a ceaseanddesistorderto enjoinsuchactor practices.

SEC. 17. Registration.-All contractsto sell,deedsof sale and othersimilar

instruments relativeto the saleor conveyance of the subdivisionlotsand condominium
units,whetheror not the purchasepriceis paidin full,shallbe registered
by the sellerin
the Officeof the Registerof Deedsof the provinceor citywherethe propertyis situated.

Whenevera subdivision plandulyapprovedin accordance withSection4 hereof,

togetherwith the corresponding owner'sduplicatecertificateof title,is presentedto the
Registerof Deedsfor registration, the Registerof Deedsshall registerthe same in
accordancewith the provisionsof the Land RegistrationAct, as amended: provided,
however,that if thereis a street,passageway or requiredopen spacedelineateoon a
complexsubdivision planhereafterapprovedandas definedin this Decree,the Register
of Deedsshallannotateon the new certificateof ti e coveringthe street,passagewayor
open space,a memorandum to the effectthat exceptby way of donationin favorof a
city or municipality,
no portionof any street,passageway, or openspacedelineatedon
the plan shall be closedor otherwisedisposedof by the registeredowner withoutthe
requisiteapprovalas providedunderSection22 of thisDecree.

SEC. 18. Mortgages. - No mortgageon any unit or lot shallbe made by the
owneror developerwithoutpriorwrittenapprovalof the Authority.Suchapprovalshall
not be grantedunlessit is shownthatthe proceedsof the mortgageloanshallbe used
for the development of the condominium or subdivision prolectlnd effectivemeasures
have been providedto ensuresuch utilization.The loan value of each lot or unit
covgredby the mortgageshall be determinedand the buyerthereof,if any, shall be
notifiedbeforethe releaseof the loan. The buyermay,at his option,pay his installment
for the lot or unit direcilyto the mortgageewho in"tt appiy the' paymentsto the
corresponding mortgageindebtedness securedby the particulirlot or unit beingpaid
for, with.a.viewto enabringsaid buyerto obtaintifleover the lot or unit promptiy
paymentthereof. after full

sEc' 19. Advertisements.- Advertisements thatmay be madeby the owner

or developerthroughnewspaper,radio,terevision, reaflets,ciicuraror any'otherform
aboutthe subdivision
or the condominiunr
or its operations
or activitiesmuit reflectthe
realfactsand mustbe presentedin suchmannerthatwill nottendto misleador deceive
thepublic.

The owner or developershall be answerableand liable for the facilities,

improvements, infrastructures
or otherformsof development representedor promisedin
brochures,adverlisements and othersalespropaganda
'shall-form disseminated by the owneror
developeror his agents and the same part of rhe saies waranties
enforceable againstsaid owneror developer, joinflyand severally.Failureto compry
withthesewarranties shallalsobe punishable in accordance withtirepenaltiesprovided
for in this Decree.

F,a
 SEC.20. Time of Completion.- Everyowneror developershallconstructand
provide the facilities,improvements,infrastructuresand other forms of development,
includingwater supplyand lightingfacilities,which are offeredand indicatedin the
approvedsubdivisionor condominium plans,brochures,prospectus,printedmatters,
letiersor in any formof advertisement,withinone yearfromthe dateof the issuanceof
the licensefor the subdivisionor condominium projector such otherperiodof time as
maybe fixedby the AuthoritY.

sEc. 21. SalesPriorto Decree.- In casesof subdivision lotsor condominium

unitssold or disposedof priorto the effectivityof this Decree,it shallbe incumbentupon
the owner or developerof the subdivisionor condominiumproject to complete
compliancewith his or its obligations as providedin the precedingsectionwithintwo
yearsfromthe dateof this Decreeunlessotherwiseextendedby the Authorityor unless
an adequateperformance bondis filedin accordance withSection6 hereof.

underthis and
Failureof the owneror developerto complywith the obligations
the precedingprovisionsshallconstitutea violationpunishableundersections38 and
39 of thisDecree.

sEc. 22. Alterationof Plans. - No owneror developershallchangeor alter

the roads,open spaces,infrastructures, facilitiesfor publicuse and/orother form of
plan and/or
subdivisiondevelopmentas containedin the approvedsubdivision
i"pr.r"nt"o in its advertisements, withoutthe permission of the Authorityand the
wiittenconformityor consentof the duly organizedhomeowners' or in the
association,
absenceof the laiter,by the majorityof the lot buyersin the subdivision.
paymentmadeby a
sEc. 23. Non-Forfeitureof Payments. - No installment
buyerin a subdivision or condominium pro
shallbe forfeitedin favorof the owneror d€
the owneror developer, desistsfromfurthet

the legalrate.

s E c . 2 4 ' F a i | u r e t o P a y | n s t a | | m e n t s . . T h e r i g h t s o f t h e b u y e r i n t h e eor
ventof
his failureto pay the installments due for reasonsotherthanthe failureof the owner
Jeveloperto developthe projectshallbe governedby RepublicAct No.6552

Where the transactionor contractwas entered into prior to the effectivityof

to the
RepublicAct No.6552on August26,1972,the defaultingbuyershallbe entitledlaw in
corlesfonOingrefundbased6n the installments paidafterthe effectivityof the
the absenceof any provisionin the contraclto the contrary'

sEc.25.lssuanceofTit|e..Theownerordevelopersha|lde|iverthetitleof
those
the lot or unit to the buyeruponfull paymentof the lot or unit. No fees,except
requireOfor the registrationol the de6Oof sale in the Registry of Deeds, shall be
collectedfor the issuanceof suchtitle. In the eventa mortgageover the lot or unit is
outstanding at the timeof the issuanceof the titleto the buyer,the owneror developer
shallredeemthe mortgageor the corresponding portionthereofwithinsix monthsfrom
such issuancein ordei that the title over any fully paid lot or unit may be securedand
deliveredto the buyerin accordance herewith'
59
 SEC.26. RealtyTax. - Realestatetax andassessment on a lot or unitshallbe
paidby the owneror developerwithoutrecowseto the buyerfor as longas the titlehas
not passed the buyer; Provided, however, that if the buyer has actually taken
possession of and occupiedthe lot or unit,he shallbe liableto the owneror developer
for suchtax and assessment effectivethe yearfollowingsuchtakingof possession and
occupancy.

SEC,27. Other Charges. - No owneror developershalllevy uponany lot or

unitbuyera fee for an allegedcommunity benefit.Feesto financeservicesfor common
comfort, security and sanitation may be collected only by a properly organized
homeowners association and onlywiththe consentof a majorityof the lot or unitbuyers
actuallyresidingin the subdivision
or condominium project.
SEC. 28. Access to Public Offices in the Subdivision. - No owner or
developer shall deny any person free access to any governmentoffice or public
establishmentlocatedwithinthe subdivision
or whichmay be reachedonly by passing
throughthe subdivision.

sEc' 29. Right of way to pubric Road. - The owner or deveroperof a

subdivisionwithoutaccessto any existingpublicroad or streetand such rightof way
must be developedand maintainedaccordingto the requirementof the g6vernment
authorities
concerned.

. . sEc. 30. organization of HomeownersAssociation. - The owner or

developerof a subdivisionprojector condominiumprojectshall initiatethe organization
of a homeowners associationamongthe buyersand residentsof the projeJtsfor the
purposeof promotingand protecting theirmutualinterestand assistin theii community
development.

Sec' 3'l' Donationof Roadsand open spaces to LocarGovernment.- The

registeredowner or developerof the s

any other purposeor purposesunless after hearing,the proposed

converslonis
approvedby the Authority.

sEc. 32. Phases of subdivision. - For purposesof comprying

provisionsof this Decree,the owneror deveropermay divide with the
tne devebi#erit and sale
of the subdivisionintophases,eachphaseto covernot ressthanten
requirementimposedby this Decreeon the subdivision troineciares. rne
as a whole shall be deemed
imposedon eachphase.

. 9Eq. 33. Nullity of Waivers. _ Any condition,stipulation,or provisionin

contractof sale wherebyany personwaivescompriancewiih any prwilion
Decreeor of any ruleor regulation or tnis
issuedthereunder'shall
be void.
sEc. 34. visitoriar powers. - This Authority,throughits dury
authorized
representativemay, at any time, make an examinationinto the business
administration, affairs,
and conditionof any person,corporation,partnership,coopeiatiue,or
association
engagedin the businessof sellingsubdivision
lbts and condominiumunrts.
60
For this purpose,the officialauthorizedto do so shallhave the authorityto examine
under oath the directors, officers, stockholdersor members of any corporation,
partnership,association,cooperativeor otherpersonsassociatedor connectedwith the
businessand to issue subpoenaor subpoenaduces tecum in relation to any
investigation
thatmayarisetherefrom.

The Authoritymay also authorizethe Provincial,City or MunicipalEngineer,as

the casemaybe,to conductan ocularinspection of the projectto determinewhetherthe
developmentof said projectconformsto the standardsand specificationsprescribedby
the government.

The books, papers,letters,and other documentsbelongingto the personor

entitiesherein mentionedshall be open to inspectionby the Authorityor its duly
authorizedreoresentatives.

SEC. 35. Take-OverDevelopment. - The Authority,may take-overor cause

the developmentand completionof the subdivisionor condominiumprojectat the
expenseof the owneror developer, jointlyand severally,in caseswherethe owneror
developerhas refusedor failedto developor completethe developmentof the Project
as providedfor in thisDecree.

The Authoritymay, after such tiake-over,demand,collect and receivefrom the

buyers the installmentpaymentsdue on the lots, which shall be utilizedfor the
development of the subdivision.

SEG.36. Rules and Regulations. - The Authorityshallissuethe necessary

standardsrulesand regulationsfor the effectiveimplementation of the provisionsof this
Decree. Suchstandards,rulesand regulations shalltake effectimmediately aftertheir
publicationthree (3) times a week for tvvoconsecutiveweeks in any newspaperof
generalcirculation.

sEG. 37. Deputizationof Law EnforcementAgencies. - The Authoritymay

deputizethe Philippine constabulary agencyin the executionof
or any lawenforcement
its finalorders,rulingsor decisions.

SEc. 38. Administrative Fines, . The Authoritymay prescribeand impose

finesnot exceedingten thousandpesosfor violations of the provisions
of this.Decreeor
of any rule or rejulation thereunder. Fines shalt be payable to the Authority and
enforjeablethroughwrits of executionin accordancewith the provisionsof the Rulesof
Court.

sEc. 39. Penahies. - Any personwho shallviolateany of the provisionsof this

Decreeand/orany ruleor regulation that may be issuedpursuantto this D€creeshall,
uponconviction, be punishedby a fine of nor morethantwentythousand(P20,000.o0)
pesosand/orimprisonment of not morethanten (10)years. Provided,that-inthe case
of corporations,partnerships,cooperatives, the President,Manageror
or associations,
Administrator or the personwho has chargeof the administrationof the businessshall
be criminallyresponsiblefor anyviolationol thisDecreeandlorthe rulesand regulations
promulgated pursuantthereto.

61
 SEC. 40. Liability of Controlling Persons. - Everypersonwho directlyor
indirectlycontrolsany personliableunderany provisionof this Decreeor of any ruleor
regulationissuedthereundershallbe liablejointlyand severallywith and to the same
extentas such controlledpersonunlessthe controlling personactedin goodfaithand
did not directlyor indirectlyinducethe act or acts constitutingthe violationor causeof
action.

SEC.41. Other Remedies.- The rightsand remediesprovidedin this Decree

shallbe in additionto any and all otherrightsand remediesthat may be availableunder
the existinglaws.

SEC.42. RepealingClause. - All laws,executiveorder,rulesand regulations,

or partsthereofinconsistent
with the provisions
of this Decreeare herebyrepealedor
modifiedaccordingly.

SEC.43. Effectivity. - ThisDecreeshalltakeeffectuponits approval.

DONEin the Cityof Manila,this 12thday of July,in the yearof our Lord,nineteen
hundredand seventy-six.

(SGD.)FERDINAND E. MARCOS
President
Republicof the Philippines

By the President:

(sGD.)JACOBOC. CLAVE
Presidential
Executive
Assistant

oz
 DECREENO.1216
PRESIDENT]AL

DEFTNING "OPENSPACE"IN RESIDENTIAL AND AMENDING

SUBDIVISION
OECREE
SECTION31 OF PRESIDENTIAL NO,957 SUBDIVISION
REQUIRING
OWNERSTO PROVIDEROADS,ALLEYS,SIDEWALKS AND RESERVEOPENFOR
PARKSOR RECREATIONALUSE

WHEREAS, there is a compelling need to create and maintain a healthy

environmentin human settlementsby providingopen spaces, roads, alleys and
sidewalksas may be deemedsuitableto enhancethe quality of life of the residents,
therein;
WHEREAS,such open spaces, roads, alleys and sidewalksin residential
beyondthe commerceof men;
are for publicuseandare,therefore,
subdivision

WHEREAS,pursuantto presidential DecreeNo. 953 at leastthirtypercent(30%)

of the total area of a subdivisionmust be reserved,developedand maintainedas open
spacefor parksand recreational be borneby the
areas,the costof whichwill untimately
tot uuy"rt which therebyincreasethe acquisitionprice of subdivisionlots beyondthe
reachof the commonmass;

WHEREAS,thirtypercent(30%)requiredopenspacecanbereducedtoa|eve|
within
that will make the subdivisionindustry'viableand the price of the residentiallots
and
the meansof the low incomegroupand at the same preservethe environmental
ecotogicalbalancethroughrat'r6nal'control of the land use and properdesignof space
andfacilities;

WHEREAS,pursuanttoPresidentialDecreeNo'757'governmenteffortsin
have been
housing,including,"rori."., functionsand activitiesmaximizeresults
intooneslngleagency,namely'the NationalHousingauthority;
concentrated

Now,THEREFoRE,|,FERDINANDE.MARcos,PresidentofthePhi|ippines'
byvirtueoft'hepowersvestedinmebytheConstitution,doherebyorderanddecree:
"openspace"shall.meanan
SECTION1. For purposesof this Decree'the term
area reserved recreationaluses, schools,roads,
parks,ptaygrounds,
;i;;;;;;;nif, nospitit,heatthcenters,barangaycentersand othersimilarfacilities
"r"tr"iuury-i5i
andamenities.

sEcTloN 2. Section31 of Presidential DecreeNo. 957 is herebyamendedto

readas follows:
- The
SECTTON 31. Roads,Alleys, Sidewalksand Open Spaces'
ownerordeve|operofasubdivisionsha||provideadequateroads,a||eysand
s i d e w a | k s . F o r s u b d i v i s i o n p r o j e c t s o n e ( 1 ) h e c t a r e o r m o r e , t h eopen
ownerormore
shallreservethirtypercentiso%) ot the grossareafor openspace. suchparks,
for
space shall have' the foliowingstandirds allocatedexclusively
playgrounds and recreational use:

a. 9% of grossareafor highdensityor socialhousing(66to 100family

lot pergrosshectare).

63
 o. 7% of grossareafor medium-density
or economichousing(21 65
family lot pergrosshectare).

3.5% of gross area for low-densityor open markethousing(20

familylotsand belowpergrosshectare).

Theseareasreseryefor parks,playgrounds and recreational

use shall be non-
alienablepubliclands,and non-buildable. The plansof the subdivision
projectshall
includetree-planting
on such parts of the subdivision
as may be designatedby the
Authority.

Upontheircompletion as certifiedto by the Authority,

the roads,alleys,sidewalks
and playgrounds shallbe donatedby the owneror developerto the city or municipality
and it shall be mandatoryfor the localgovernments to acceptprovided,however,thai
the parks and playgroundsmay be donatedto the Homeownersassociationof the
pro.iectwith consentof the city or municipality concerned.No portionof the parksand
playgrounds donatedthereafter shallbe converted to anyotherpurposeor purposes.
sEcrloN 3. sections2 and s of presidentiarDecreeNo. 953 are hereby
repealedand otherlaws,decrees,executiveorders,institutionsrulesand regulations
or
parts thereof inconsistent with these provisions are also repealed or amended
accordingly.

SECTION4. ThisDecreeshalltakeeffectimmediately.

Done in rhe city of

.
nineteenhundredand seventy.Manira,this 14tbday of october in the year of our Lord,
seven.

(sGD.)FERDTNAND E. MARCOS
of the philippines
President
By thePresident:
(scD.)JUANC. TUVERA
Presidential
Assistant

64
HSRGAdministrativeOrderNo. 82-01
Seriesof 1982

RULESANDREGULATIONS IMPLEMENTING DECREENO.

SEC.3I OF PRESIDENTIAL
OECREENO.1216
957,AS AMENDEDBY PRESEIDENTIAL

OrderNo.648,thefollowingrulesare
Pursuantto ArticlelV, Sec.5 (c)of Executive
promulgated
to implement Sec.31 of P.D.No.957,as amended by P.D.No.1216.

RuleI
GENERALPROVISIONS

shall be knownas the subdivision

Section 1. Title. These Rulesand Regulations
on Donations
Regulations of RoadLotsandOpenSpaces,hereinafterrefenedto as the Rules.

Section2.9s9p.9-qlAppls4!ip-l'TheseRu|essha||app|yon|ytosubdivisionprojects
dulyregisteredandiorticensedby the HumanSettlementsRegulatoryCommission.

Section3.Dce!erg!i-9l.9fEo]Lc.i-e9'|tisthepo|icyofthegovernmenttocreateand
rn numanSettlements
maintaina healthyenvironment by proViding openSpaces,roads,alleys,
andsidewalks therein.
as maybe deemedsuitableto enhancethe qualityof lifeof the residents

Rulell
OF TERMS
DEFINITION

Section 4. gefinitiol of Terms. For purposesof theseRules:

a) - shallmeanthe HumanSettlements
Commission Commission
Regulatory

b) SubdivisionProject- shall mean a tract

which is partitionedprimarilyfor resident
improvements lhereon,andofferedto the
commercial,
shallincludeall residential, ir
spacesandothercommunity and public
areasin the project;
playgrounds'
c)' Open space - shall mean an area reserved exclusivelyfor parks'
recreationaluses,and othersimilarfacilitiesand amenities'
gutters'
d) Road lots - shall includeroads,sidewalks,alleysand plantingstrips,and its
drainageand sewerage.
Rulelll
FOR
APPROVALOF APPLICATION
OF COMPLETION
CERTIFICATE

section 5. Application for Gertificate of completion. Every registeredowner or

developerot a subdVisionprolEctwno wishesto donatethe road lots and opensp?ceof the
sameto the localGovernment snaltfirstapplywiththe Commission of Completion
for Certificate
the following:
by filingin triplicate

1) applicationform duly filled up; and

2) letierof Intentto Donatethe road lots and open spaceio the local Government.

65
 Section 6. Procedures. Upon receiptof the application,the Commissionin
coordination
withthe City/Municipality
concerned
shallconductan inspection
of the subdivision.
The inspector(s)shall then prepare his/her findings and/or recommendationto the
Commissioner-in-chargewhowillacton thesame.

Section Z. AppfSyel. lf the facts statedin the applicationfor Certificateof Completion

are foundto be trueand correct,the application shallbe approvedthroughthe issuanceof the
Certiticate
of Completion
by the Commission.

Thereafter,
the registeredowneror developershallsubmitthe Certificate
of complefron
issuedby the Commission to the City/Municipality
concernedtogetherwith his/herDeed of
Donation.

RulelV
EFFECTSOF DONATIONOF ROADLOTS/OPEN
SPACE
Section8. Riqht of Graeteeto DonateRoadLots and OpenSDace.Any personwho
is able to securea Certificateof Completionfromthe Commissionsnilt navetne riohtto donate
the road lols and open space to the city/Municipality concerned,providedtha-tthe parks,
playgroundsand recreational use may be donatedto the Homeowners Associationof the
subdivision withthe consentof the City/Municipality
concerned.

- Section 9. -E,f-fectC.
Oncethe registeredowneror developerhas securedthe Certificate
of comp{etion
and hasexecuteda Deedof Donation of RoadLotsand OpenSpace,he/sheshall
be deemedrelievedof the responsibility of maintaining
the road lots and open spaceof the
subdivision
notwithstandingthe refusalof City/Municipality
concerned to acceptthe donation.
should the registeredowneror deveropermerelysecurea certificateof completion
wthout makjng_ the correspondilgdeed of donation,he/sireis still deemedresponsibiefor the
maintenance of the subdivision
facilities
in whichcasea reasonable amounlof the performance
bond shall reservedto guaranteethe maintenanceof the road and open ThL reserved
amount.shall be totarryrereasedby the commissiononlyuponshowingby"p""". ihe registereo
owner
or developer of proofof a deedof donationexecutedin fivor of the city'/Municiparty
concerneo.
qandOpenSpace. Roadlotsandopenspaces
unicipality
or to the Homeowners
Association
as
purposeor purposes.In connection
therewith,
arienabre
rands,
andnobuirdins
orstructure
.r:"'i;Jlfi?fj[nilff"?1"j;t'ir".,3i'1n13n"3
essentialto lhe saidopenspaceas deterrninedby the City/Municipaliiy.

should the owner-donee wish_to changeor arterthe use of the open space in the
subdivision,
priorpermissionfromthe commission *ritt"n conformity of the duryorganrzeo
nomeownersassociation,or in the absenceof the ratter
"nJ by the majorityof tne rot
buyersin the
subdivision
shallbe requiredprovidedthatthe requiredopenspaceshalllikewisebe allocatedin
otherareasof the subdivision.

RuleV
MISCELLANEIOUSPROVISIONS
Section 11. Eqes. Untilsuch time that the Commission shall have adopted a new
scheduleof fees, it shatt apply and collectthe insfection.fees provided
for under the
rulesof pD 9S7and its relatedfaws.
implementing

66
 Section 12. SeparabilitvClause. The provisions of theserulesare herebydeclared
separable,and in the eventany of such provisions
are declarednulland void,the validityof all
otherprovisionsshallnot be affectedthereby.
afterits publication
Section13. EffeclMy. Theserulesshalltakeeffectimmediately in
of
a newspaper general
circulation.

26 August1982,Makati,MetroManila.
Promulgated,

(sGD.) ERNESTOC. MENOIOLA (SGD.) JESUSN, BORROMEO

Commissionerand Commissioner
Officer
ChiefExecutive

(sGD.) ARTUROC. CORONA (SGD.) ABNERP. CANLAS

Commissioner Commissioner

(sGD.) SALVADORP. SOCRATES (SGD,) RAMONB. CARDENA

Commissioner Commissioner

(sGD.) GESARO. MARQUEZ

Commissioner

Attested:

(SGD.) EUFEMIOP. DACANAY

ActingCommissionSecretary

o/
 ANNEXB
THECONOOMINIUM
ACT
ANACTTO DEFINECONDOMINIUM, ESTABLISH
REQUIREMENTSFORITSCREATION, ANDGOVERN
tTS|NCIDENTS.
(Rep.Act No.4Z2O)

sEcrloN 1. Theshorttite of thisActshatbe "Thecondominium

Act."
sEc'|oN 2. A condominium is an interest.inrearpropertyconsisting
separateinterestin a unit in residentiar, of a
.a industriar or commerciar buirdinq and an
undividedinteresrin commondirecryor inoirectry,-initr"
in othercommonareasof the building.I .otiiorinium i";;';;;;i, ii,."r'oL,"o uno
separateinterestin otheroortions.of may incrude, in adcrition,
a
suih legrproperty.Tiiletd tnecommonlr.a, may
be held by a corporation speciailytormeotoiin6lurpo"" (hereinafter
"condominiumcorporation';)in -which tn" knownas the
iif ro!* of separate interests shall
automaticafly be members or sharehorders,to th; exctusion
theappurtenant ot'oineis,in'prJiortion to
interestof theirrespectiu"unit.inln" common areas.
The interestsin condominium may be ownershipor any other interestIn real
propertyrecognized by therawof property'in tnecivircoie a.J .i',", i"rtiri;;l;*".
SECTION 3. As usedin thisAct,unlessthecontextotherwise
requires:
(a) meansa condominium as definedin the text preceding
i!ffir'n'rr"
(b) "Unit"meansa
independentus€ ecl intendedfor any type of
locaied in one c I or more rooms or spaces
buildings *u, ts of floors)in a buildingor
"nJ :ndedthereto.
(c) "project"meansthe entireparcer
of rearpropertydividedor to be dividedin
condominiums, including
ali shucturesthereon.
to' enrireprojecr
excepting
n?"T[:T,;ff:;[:fl:rhe ar unitsseparatery
(e) "To divide" rear.propertymeans
to divide the ownershipthereof or other
interesttherein,.byco-nvbying iirJr"
thanthe wholethereof. condominiums thereinbut ress
"n"

sEctoN 4. The orovisionsof this Act

dividedintocondominiums,only shat appryro propertydividedor to be
ii'thl[ ;i]iil;fted in the Registerof Deedsof the
provinceor city in which the'prop"rtl;,
certificate 'iriii"l]tt"."n"i'01#l"tenteo in the corresponding
of tifle of the rand, """0"i""rv"nnotated
or registeredundereither

68
the Land Registrationor cadastral Acts, an enabling or master deed which shall
contain,amongothers,the following:

(a) Descriptionof the land on whichthe buildingor buildingsand improvements

are to be located;

(b) Description
of the buildingor buildings,statingthe numtlerof storeysand
basements,the numberof unitsand theiraccessories,if any;

(c) Descriptionof the commonareasand facilities;

(d) A statementof the exactnatureof the interestacquiredor to be acquiredby

the purchaser in lhe separate units and in the @mmon areas of the
condominiumproject. Where title to or the appurtenantinterest in the
commonareasis to be held by a condominium corporation,a statementto
thiseffectshallbe included;

(e) Statementof the purposesfor which the buildingor buildingsand each of

the unitsare intendedor restrictedas to use;

(f) A certificateof the registeredownerof the property,if he is otherthan those

executingthe masterdeed,as well as of all registeredholdersof any lien or
encumbranceon the property,that they consentto the registrationof the
deed,

(S) The followingplansshallbe appendedto the deed as integralpartsthereof.

1. A surveyplan of the land includedin the project,unlessa surveyplan

of the samepropertyhad previously beenfiledin saidoffice;

2. A diagrammatic floor plan of the buildingor buildingseach unit, its

relativelocationandapproximate dimensions.

(h) Any reasonablerestrictionnot contrary to law, morals, or public policy

regardingthe right of any condominiumownerto alienateor disposeof his
condominium.

The enablingor masterdeedmaybe amendedor revokeduponregistration of an

instrumentexecutedby the registeredowner of the property and consented to by all
registeredholdersof any lienor encumbranceor landor buildingor porlion,thereof.

Theterm"registered owner"shallincludethe registeredownersof condominiums

in the project.Unitregistration
of a revocation,
the provisions
of thisAct shallcontinue
to applyto suchproperty.
(Amendedby R.A.7899,as follows)

69
 REPUBLIC
ACTNO.7899

AN ACT AMENDINGSECTIONFOURANDSECTIONSIXTEENOF REPUBLIC

ACT NUMBEREDFOURTHOUSANDSEVENHUNDREDTWENW.SIX,
OTHERWISEKNOWNAS "THECONDOMINIUMACT"
Be it enacted by the Senate and House of Representatives of the
Philippinesin Congressassembled:

sEcrloN 1. section 4, last paragraph of Repubric Act No. 4726is hereby

amendedas follors:

SECTfON
4. xxx

- "The enabling or master de€d may be amended or revoked upon

registration of an instrument executed by a simple majofity of the registered
owners of the propefi: Provided, That in a condominiuni pr6;ect exclusively for
either residentialor commercialuse, simple majority shail bL on a per unlt of
ownerchip basis and that in the case of mixed us-e,simple majority shall be on a
floor-area. of ownership basis: provided, fuilter, That priorhotif,icatlons to alt
registered owners are done: and provided, finally, That any amendment or
revocationalreadydecidedby a simple majorityof ail registerei ownersshall be
submittedto the Housinga-ndLand Use Regulitory Boarl and the city/municipal
engineer for approvar oero,re it can be iegist€r-reo. untir registiation of a
re'ocation, the provisions of this Act shail continue to apply to Juch property".
xxx

sEcrloN 5. Any transferor conveyanceof a unit or an apartment,officeor store

or other space therein,shall includethe transferor conveyanceof the
undivided
rrcase, the membershipor shareholdingsin
lwever,Thatwere the commonareasin the
s of separateunitsas co_ovvnersthereol no
Flipino
citizens
orcorporation
at-reast
.ri:t"fi:'1Ti,:',T,"f-fiffi::r"ffilnfi:
Filipinocitizens,exceptin casesof hereditarysuccession.\Mere
the @mmon
a.condominiumprojectare herdby a corporation,no transferor *nu"y"n"" areasrn
shallbe validif the concomitanttransferoithe appurtenantmembership of a unit
in the corporationwill causethe alien interestin'sucn corporation or stockhording
imposedby existinglaws. to exceedthe limits

sEcrloN 6. unress otherwiseexpressryprovidedin the enabring

or master
deed or the declarationof restrictions,the incidentsof a condominiumg"rant
follows: are as

(a) The boundaryof the unit grantedare the interiorsurfaces

of the perimeter
wa[s, floors,ceirings,windowsand door thereof. The foilowinj ir6 not p".t
of the unit: bearing walls, columns, floors, roofs, foundatids and
other
commonstructuralelementsof the buildino.tofrbir
areascommonuse;elevaforequ
reftigerationand central air cr
pumpsand other centralservicer

70

n'
 conduits,wires and other utility installations,whereverlocated,exceptthe
outletsthereofwhen locatedwithinthe unit-

(b) There shall pass with the unit, as an appurtenance

thereof,an exclusive
easementfor the use of the air space encompassedby the boundariesof
the unit as it exists at any particulartime and as the unit may lawfullybe
altered or reconstructedfrom time to time. Such easement shall be
automatically terminatedin any air spaceupondestruclion of the unitas to
renderit untenantable.

(c) Unlessotherwiseprovided,the commonareas are held in commonby the

holdersof units,in equalshareonefor eachunit.

easementfor ingress,egress and supportthroughthe

(d) A non-exclusive
common areas in appurtenantto each unit and the c,ommonareas are
subjectto sucheasements

(e) Eachcondominium ownershallhavethe exclusiverightto paint,repaint,tile,

wax, paperor otherwiserefinishand decoratethe innersurfaceof the walls,
ceilings,floors,windowsanddoorsboundinghis ownunit.

(0 Eachcondominium pledge
ownershallhavethe exclusiverightto mortgage,
or encumber his condominiumand to have the same appraised
owneris personalto him'
of the othercondominium
independently

(s) Eachcondominium ownerhas also the absoluterightto sell or disposeof

his condominium unlessthe masterdeed containsa requirement that the
property be first offered to the condominiumowners within reasonable
periodsof time beforethe same is offeredto outsideparties;

sEcTloN 7. Except as providedin the followingsection,the common areas

andthereshallbe no iudicialpartitionthereof'
shallremainundivided,

sEcTloN 8. where severalpersonsown condominiumin a condominium

project,an action may be broughtby one more such personsfor partitionthereof by
iat6 of the entireproject,as if the o\ /nersof all the condominiumsin such projectwere
@-ownersof all the entire projectin the same proportionas their interestsin the
commonareas: Provided,however,That a partitionshall be made only upon a
showing:

(a) That 3 years afier damageor destructionto the projectswhich rendersa

materiaipart thereofunfit for its use priorthereto,the proiecthas not been
rebuiltor repairedsubstantialty to its statepriorto its damageor destruction;
or

(b) That damageor destructionto the projecthas renderedone-halfor moreof

the units therein untenantableand that condominiumowners holding in
aggregatemore than 30o/ointerestin the commonareas are opposedto
repairor restorationof the projects;or

(c) That the proiect has been in existencein excess of 50 year, that it is
obsolete and uneconomic, and that condominiumonrners holding in
71
 aggregatemore than 50% in the commonareas are opposedto repair or
restorationor modelingor modernization
of the project;or
(d) That the project or a material part thereof has been condemned or
expropriated and that the project is no longer viable, or that the
condominiumowners holding aggregate more than 70olointerest in the
common areas are opposedto continuationof the condominiumregime
afterexpropriation
or condemnationof a materialproportionthereof;or
(e) That the conditionsfor such partitionby sale set forth in the declarationof
restrictionsduly registeredin accordancewith the terms of this Act. have
beenmet.

sEcrloN 9. The owner of a project shail, prior to the conveyanceof any

condominium therein,registera declaration-or
restrictions
relatingto suchproject,which
restrictionssball constitutea lien upon each condominiuminite pide&s,'ano
lnsureto and bindall condominiumownersin the projects. such liens,unlessothenrvise"narr
provided' may be enforced by any condominium'owner in
the project or by the
management bodyof suchproject.The Registerof Deedsshallenteiand
declarationof restrictionsupon the certificaieof tifle coveringthe land included tn"
"nnotate
within
tj5 Proiect,if the land is patentedor registeredunderthe LandRegistrationor
Cadastral
Acts.

The decrarationof restrictionsshall provideficrthe managementof the project

anyone..of the fofiowingmanagementbodies: a condoriiniu, by
associationof the condominiumowners,a boardof govemorsetected *rporliion,
by condominium "n
of'vners'.
or a managementagent erectedby the ownersor by the board named
declaration. lt shail arsoprovidefor votingmajorities,quorums,notices, in the
. - meetingdate,
and otherrules govemingsuch bodyor bodies.

such decrarationof restrictionsamongthe otherthings,mayarsoprovide:

(a) As to any managementbody

1. ' Fot the powerthereo( incrudingpowerto enforce

the provisionsof the
declarationsof restriciions:

2' For maintenance_ of insuranceporiciesinsuringcondominiumowners

againstloss fire, casualty,iiability,workmen,scompensation
.by
other insurabre and
risks and for bonding ot ttre meriGd'-ot .ny
managernentbody;

3. Provisionsfor maintenance,utility, gardeningand other

benefting the common areas, for ihe operationof the services
regar,accountingand otherprofessionar building,and
aho technicarse.;;,
4. For purchase of mater,als,supplies and the like needed
commonareas: by the

5. For paymentof taxes and specialassessmentswhich would

be a lien
upon the entire project common areas, and tor Olsctraige-oi
.or
encumbrancelevaedagainst -"r"a",any
,
the entireprojectof the corn.on
72
 6. For reconstructionof any portion or portions of any clamageto or
destructionof the projecl;

7. The mannerfor delegationof its powers;

8. For entry by its officersand agents into any unit when necessaryin
connectionwith the maintenanceor constructionfor whichsuch body is
responsible;

L For a power of attomey to the managementbody to sell the entire

prolect for the benefit of all of the owners thereof when partition of the
project may be authorizedunder Section I of this 46{, which said
oowershali be bindinguponall of the condominiumownersregardless
of whethertheyassumethe obligations or not'
of the restrictions

(b) The mannerand procedurefor amendingsuch restrictions,Provided,That

theyvote of not lessthana majorityin interestof the ownersis obtained;

(c) For independentauditof the accountsof the managementbody;

(d)Forreasonab|eassessmentstomeetauthorizedexpenditures'each
condominiumunittobeassessedseparate|yforitsshareofsuchexpenses
in proportion(unlessothelwiseprovided)to its power'sfractionalinterestin
anycommonareas;

(e)Forthesubordinationofthe|ienssecuringsuchassessmentstootherliens
eithergenerallyor specificallydescribed;
rrovidedfor in SectionI and 13 of thisAct'
lect and dissolutionof the condominium
h right to partitionor dissolutionmay be
condominiumowners to rebuild within a
o'
certainperiodor upon specifiedpercentase9f damaSel:,Ih1!:l|9]nn'
uponadecisionofanarbitrator,oruponanyotherreasonableconoltlon'

S E C T I O N ' 1 0 ' W h e n e v e r t h e c o m m o n a r e a s t n a c o n d o m i n i u m p rbody

ojectareheld
rtionshallconstitutethe management
sucn a corporation shall be limitedto the
ershipor any other interestin real property
:he project,and to such other purposesas
t to the accomplishment of said purposes'

provisioncontraryto or inconsistentwith I
master deed, or the declarationof restri
condominium corporationregardlessof wf .. ,r .-.L:^r- ir .
from the condominium unit of which it rs an
shall not be transferables6parately in the proiectin
appurtenance.vvhena ,em-6", or i stockholder@asesto own a unit he shall
which the condominiumcoiporationowns or holds the common areas' corporation'
automaticallyceaseto Oea mbmberor stockholder of the condominium
 sEcTloNll'Thetermofacondominiumcorporationshallbeco-terminous law to the
of the corporation
project,the provisions
the durationof the condominium
contrarynotwithstanding.
of a condominium
dissolution corporation for
sEcTloN 12. In caseof involuntary
any of the causesprovidedby law,the @mmonareasownedor held by the corporation
inifr, UVway of liquidation,bL transfenedpro-indivisoand in proportionto their interest
in in" cirrpoi"tionio the membersor stockholdersthereof,subjectto the superiorrights
ot tne coiporationcreditors. Such transferor conveyanceshall be deemedto be full
liquidationof the interestof such membersor stockholdersin the corporation After
such transfer or conveyance,the provisionsof this Act goveming undividedcon-
ownershipof, or undividedinterestin, the commonareasin condominium projectsshall
fullyapply.

sEcTloN 13. Until enablingor the masterdeed of the projectin which the
condominiumcorporationowns or holdsthe commonareas is revoked,the Corporation
underRule104of the
dissolvedthroughan actionfor dissolution
shallnot be voluntarily
Rulesof courtexceptupona showing:

(a) That 3 years after damage or destructionto the project in which the
corporationowns or holdsthe commonareas,which damageor destruction
rendersa materialpart thereofunfitfor its use priorthereto,the projecthas
not beenrebuiltor repairedsubstantially to its statepriorto its damageor
destruction;or

(b) The damageor destructionto the projecthas renderedone-halfor moreof

the unitsthereinuntenantable and that morethan 30% of the membersof
the corporation,if non-stock,or the shareholdersrepresentingmorethan 30
% of the capitalstock entitiesto vote, if a stockcorporation,are opposedto
the repairor reconstructionof the project;or

(c) That the project has been in existencein excess of 50 years, that it is
obsoleteand uneconomical, and that morethan 50%of the membersof the
corporationif non-stock,or stockholdersrepresentingmorethan 50 percent
of the capitalstockentitledto vote,if a stockcorporation,are opposedto the
repairor restorationor remodelingor modernizingof the project;or

(d) That the project or material part thereof has been condemned or
expropriatedand that the projectis no longerviable or that the members
holdingin aggregatemorethan 70% interesiin the corporationif non-stock,
or the stockholdersrepresentingmore than TOYoof the capitalstockentitled
to vote, if a stock corporation,are opposed to the continuationof the
condominiumregime after expropriationor condemnationof a material
portionthereof;or

(e) That the conditionsfor such a dissolutionset forth in the declarationof

restrictionsof the project in which the corporationowns or holds the
@mmonareas.havebeenmet.

74
 SECTION14. The condominiumcorporationmay also be dissolvedby the
affirmativevote of all the stockholdersor membersthereof at a general or special
meetingdulycalledfor the purpose:Provided,Thatall the requirementsof Section62
Laware complied
of the Corporation with.

SECTION15. Unlessotherwiseprovidedfor in the declarationof restrictions,

upon voluntary dissolutionof a condominiumcorporationin accordancewith the
piovisionsof Section13 and 14 of thisAct, the corporation shallbe deemedto holda
power of attorneyfrom all the membersor stockholders sell and disposeof their
to
separateinteresti in the projectand liquidationof the corporationshall be effectedby a
saie of the entire projectas if the corporationowned the whole thereol subjectto the
rightsof the corporationandof individual condominium creditors'

sEcTloN 16. A condominium corporation shall not, duringits existence,sell,

exchange,leaseor otherwisedisposeof the commonareasownedby or heldby it is in
thecondominiumprojectunlessauthorized voteof all the stockholders
by the affirmative
or memDers'
(Amendedby R'A' 7899,as follows)

x x x SEC. 2. Section 16 of the same Act is hereby amendedto read as

follows:
sel|,
"SEc. 16, A condominiumcorpoitttionsha|t not, during its existence,it in
by
exchange,leaseor otirerwisedisposeof the_commonareasowned or held
affirmative vote of a simple
ine con-Oominiumproject unless authorized by the
lt's: Provided, that prior notifications to all
rd Provided, further, That the condominium
Ite the projectwith anotherupon the affirmative
r reqisteredowners' subject only to the final
sgulatory Board."

s E c . 3 . E f f e c t i v i t y . - T h i s A c t s h a | l t a k e e f f e c t f i f t e e n ( . | 5 ) d a y sgeneral
afterits
of
compteG publication i'n at least two (2) national newspapers
circulation.

Approved,
JOSEDEVENECIA, JR.
EDGARDOJ, ANGARA
Presidentof the Senate Speakerof the Houseof
Representafives

ThisActwhichisaconso|idationofHouseBil|No.12384andsenateBi||
No.2042wasfina|typassedbytheHouseofRepresentativesandthesenateon
February15,1995'

EDGARDOE. TUMANGAN CAMILOL. SABIO

Secretaryof the Senate SecretaryGeneral
Houseof RePresentatives
Approved:FEB.23,1995
FIDELV. RAMOS
Presidentof the PhiliPPines
75
 SECTION 17. Any provisions of the Corporation Law to the contrary
notwithstanding,the byJaws of a condominiumcorporation shall provide that a
stockholdersor member shall not be entitled to demand payment of his shares or
interestin thosecaseswheresuch right is grantedunderthe CorporationLaw unlesshe
consents to sell his separate interest in the project to the corporationor to any
purchaserof the corporation'schoice who shall also buy from the cor@rationthe
dissentingmemberor stockholder'sinterest. In cases or disagreementas to price,the
procedureset forth in the appropriateprovisionof the CorporationLaw for vaiuationof
sharesshallbe allowed.The corporation shallhave2 yearswithinwhichto payfor the
shares or furnish a purchaserof its choice from the time of award. All exoenses
incurredin the liquidationof the interestof the dissentingmemberor stockholdershall
be bome by him.

sEcrloN 18. upon registration of an instrument conveyinga condominium, the

Registerof Deeds shall, upon payment of the proper fees, ent,erand annotatethe
conveyanceon the certifcale of title coveringthe land includedwithin the projectand
the transfereeshall be entifledcoveringthe land includedwithin the projJct and the
transfereeshall be entiiledto the issuanceof a,,condominium owneris,,:'copy
of the
pertinentportionof such certificateof tiile. said ,,condominium owner,s"copy need not
rgproducethe o\ /nershipstatus or other condominiumsin the projec{. A'copy
of rhe
descriptionof land,a briefdescriptionof condominium conveyed,nameand'personal
circumstancesof the condominiumowner would be sufficiint for purposes
"condominium of the
owner's"copyof the certificate of tifle. No crnveyancebf condominiums
conveyancethereoffrom the owner of the
)anied by a certificateof the rnanagement
is in accordancewith the provisionsof the

returna copy of the deed of conveyanceto I

and stampedby the Registerof Deedsin the same manneras in
the case of registration
of conveyanceor real properlyundersaid laws.

sEcilON 19. where the enabringor master cteed provides

includedwithina condominium that the rancr
projectare to be ownedin commonby the condominium
ownersthereinthe Registration Deedsmay,at the request
owners and upon surender of-of of ail the condominium
-".n""r
aI their "condominiumowner,s -pi"a, .r"
certiftcatesof tilleof the propertyand issuea new one in the name
ownersas pro-indivisoco-ownersthereoi of saidcondominium

sEcroN 20. An assessment uponany condominium madein accrrdancewith

a duly registereddeclarationof restrictionssnaitbe an obligation
the timethe assessment of the ownerthereofat
is made. The amountof any suchassessment prusany other
chafges thereon,such as interesJ,gosts (incrudingattorney,sfees)
suchmay be providedfor in the decraration are penartres,as
of restiictions,
shailbe and
upon causesa not,ceof assessmentto be registeredwith the negistei becomea rien
city or provincewheresuch.condominiumproy6ctis rocated. The noticeot o;o ot tn"
amountof suchassessment shail state the
and suchotherihargesrhereon; ;rt;;;;i'rro'rizeo oy
the declarationof restrictions,
a descriptionof cdndominium unit ajainsi*ni"n
""r"
76
has beenassessed,and the nameof the registeredownerthereof. Suchnoticeshallbe
signed by an authorizedrepresentativeof the managementbody or as othenrvise
providedin the declarationof restrictions. Upon payment of said assessmentand
chargesof othersatisfactionthereof,the managementbodyshallcauseto be registered
a releaseof the lien.

Such lien shall be superior to all other liens registeredsubsequentto the

registrationof said noticeof assessmentexceptreal propertytax liens and exceptthat
the declarationof restrictions may providefor the subordinationthereofto any other
liensandencumbrances.

Such liens may be enforcedin the same manner providedfor by law for the
judicial or extra-judicialforeclosureof mortgagesor real property. Unless otherwise
orovidedfor in the declarationof the restrictions,the managementbody shall have
powerto bid at foreclosuresale. The condominiumownershall have the same right of
foreclosureof mortgages.
redemptionas in casesof judicialor extra-judicial

SECTION21. No laborperformedor servicesor materialsfurnishedwithoutthe

consentof or at the requestof a condominiumowner or his agent or his @ntractoror
sub-contractor,shall be the basis of a lien against the condominiumof any other
condominium owner,unlesssuchotherownerhasexpresslyconsentedto or requested
the performanceOfsuch laboror furnishingof such materialsor seryices. Suchexpress
consentshallbe deemedto have beengivenby the ownerof any condominium in the
case of emergencyrepairsof his condominium unit. Laborperformedor servicesor
materialsfurnisnedfor the commonareas,if duly authorizedby the managementbody
providedfor in a declarationof restrictionsgoverningthe property,shall be deemedto
be performedor furnishedwith the expressconsentof eaChcondominiumowner' The
ownerof any condominium mayremovehis condominium froma lienagainsttwo of the
to his
lien of the iractionof the totai sum securedby such lien which is attributable
condominium unit.

SECTION22. Unlessotherwiseprovidedfor by the declarationof restrictions,

the management body,providedfor herein,mayacquireand ho|d,for the benefitof the
condominiumowners,tangiblepersonalpropertyand may disposeof the same by sale
orotherwise;andthebene,ficialinterestinsuchpersona|propertysha||beownedbythe
condominium ownersin the sameproportion interestsin the common
as theirrespective
areas. A transferof a condominiumshall transferto the transfereeownershipof the
transferor'sbeneficialinte!'estin such personalproperty'

SECTION23. Where,in an actionf<

the ground that the project or a materi
expropriated,the courtfinds that the conditi
have not been met, the Court may decre
which portionor portionsof the project shall just
owners thereof, and the respective rights of the remaining owners and the
corpensation, if any, that a condominiumowner may be entitledto dle deprivationof
t i" dropert'. Uponieceiptof a copyof the decree,the Registrationof Deedsshallenter
andannotatethe sameon the pertinentcertification of title.

sEcTloN 24. Anydeed,declarationor plan for a condominiumprojeclshall be

liberatlyconstruedto facilitatethe operationof the project,and its provisionsshall be
presumedto be independent and severable.
 SECTION25. Wheneverreal propertyhas been dividedinto condominiums,
eachcondominium separatelyownedshallbe separately assessed,for purposesof real
propertytaxationand othertax purposes,to the ownersthereofand tax on eachsuch
condominium shallconstitute
a liensolelythereon.

SECTION26' All acts or partsof Acts in conflictor inconsistentwith this Act are
herebyamendedinsofaras condominiumsand its incidentsare con@rned.

SECTION27. ThisAct shailtakeeffectuponits approval.

Approved,
June18,1966

J . D .O P t N t o NN O .1 8 0
Seriesof 1973
RE FOREIGN
INVESTMENT
IN LANDAND/ORBUILDINGS

D e c . 2 11, 9 7 3
The ActingSecretaryof Trade
QuezonCity

Sir:

This is with referenceto your reguestfor opinionon the forowing

regarding quesrons
foreignInvestmentin landsand/orbuildings:
'-1
. can foreigninvestorsor multinationar
corporationsown buirdingor units
thereof(as in condominium)?Apartments?
"2. can therebe jointrcwnership at 60 percent- 40 percentof randand buirding
betweenforeigninvestorsand theirFilipinocounieioarts?,,

Regardingthe ownership of condominiumunits

multinatronal by foreign investors or
corporation,
as reasbnedout in opinion.No_
175,cunentseries,supra,the
same mav be atowed but subjecrto rhe qualifications
mentioneJ';il; jtviso ot
Section5 of R.A.No.4726whichneeds.
" Provided,however,That where the commonareas in
project are owned by the owners of se the condominium

)n, no transferor conveyance of a unitshall

rppurtenant membership or stockholding in
t ansuch corporationto exceedthe limits

78
 As to the ownershipby foreign investorsor multinationalcorporationsof
aoartments whichdo notfallwithinthe purviewof the Condominium Act (R.A.No' 4726)
sufficeit to state that I am not aware of any law which prohibitsaliensor foreign
corporations from owningapartmentbuildings,so long,of course,as they will merely
leasethe landon whichthe buildingwill be constructed,for a periodnot exceedingten
years.

Anent your secondquery,the followingprovisionsof ArticleXIV of the new

are pertinent.
Constitution
"section 9. The disposition,exploration,development,exploitation.of utilization
of any of the naturalresourcesof the Philippinesshall be limitedto citizensof the
or associations
or to corporations
Philipbines, at leastsixtyper centumof the capitalof
whichis ownedby suchcitizens,x x x
"section10 x x x No privatecorporations or associationmay hold alienable
lands of thi: public domain except by lease not to exceed one thousandhectaresin
area;nor mayanycitizenholclsuchlandsby leasein excessof fivehundredhectaresor
acquirebypurchaseorhomesteadinexcessoftwenty.fourhectaresxxx.

sEcT|oN14'saveincasesofhereditarySuccession,noprivate|andshallbe
qualifiedto
or associations
corporations
transferredor conveyeoexceptto individuals,
acquireor holdlandsof thepublicdomain"

Uponthebasisoftheseprovisions,thefol|owingconc|usionsmaybemadeyour
seconoquery:
may acquireboth private
as individuals'
1. Onlycitizensof the Philippines, joint ownershipof
landsand landsof the publicdomain. Therefore,therecan be no
are individuals
suchlandsbetweenFilipinosandforeigninvestors

2 . H o w e v e r , c o r p o r a t i o n s o r a s s o c i a t i o n s a t | e a s t 6 0 p e r c e n t oprlvale
fthecapita|
and the remainderby foreigners, may own
stockoi whichis ownedby Filipinos,
lands.

3.corporat|onsorassociations--whetherofcitizensorofcitizensandaliens-
- maynotown,but mayonlyholdby leaselandsof publicdomatn

4 ' A s t o t h e . , j o i n l o w n e r s h i p a t 6 0 p e r c e n t - 4 0 p e r c e n t o f l a n - d s a n dof
bui|dings
ownership
foreigninvestorsano Fitipinoi,inl r"v be iegallyfeasibteas longas the
the land building -byis UycorpoiatLnsorLssociJtionsat least60% of the capitalstockof
*ni"n i. owned Filipinocitizensand onlythe remainderby the foreigninvestors.

Please be guided accordingly

Verytrulyyours,

(SGD) VTCENTE ABADSANTOS

Secretaryof Justice

(J
 J . D .O P | N | O N O .1 7 s
Seriesof 1973
RE FOREIGN
INVESTMENT
IN CONDOMINIUMS
IN THEPHILIPPINES

Dec.12, 1973
The Secretaryof Tourism
Manila

Sir:

This has referenceto your request for opinion on the folowing questaons
regarding
foreigninvestment in the philippines.
in condominium
a) May 1000/oowned and controlled foreign firms set up
corporationsunderRA 4726,il the land is leased? condominiums

b) lf the answerin the afiirmative,wourda reasefor a periodof

yearsbe allowable? ninety_nine
(99)

c) wourd a rease of the rand for a period of fifty (50) years

anotherper'odof fifty (SO)years,be legallytenaOteZ renewabrefor

I sharethis raterview of my predecessorin office

and r herebyadoptthe same.
You also profound,on the case when
corporation
whichownsthe landon whichtf
whetherinterestsin unitsin the condominiun
commonareasthereofmay be transfuredto

80
 The condominlumAc{ does not forbidthe transferto aliensof an interestin a unit
and the undividedinterestin commonareas in a condominium.tt shouldbe notedthat
only a "separateinterest'in a unit and an undividedinterestin the commonareas are
what are transferredas a matterof a courseto the granteeby virtue of condominium
grant. (Sec.2 and 5.) Moreover,paragraph(b) of section3 defines'unitfor purposes
of the Act as "a part of condominiumprojectintendedfor any type of independentuse
frorownership,"and paragraph(e) of the samesectionin definingthe term 'to dividereal
property"in the condominiumprojectspeaksof dividingthe ownershipthereofor other
interesttherein.'

But in this connectionit should be stressedthat section5 of the Act containsa

pertinentprohibition.Saidsectionreads:
'Any transferor conveyanceof a unit, or an apartmentoffice or store or other
spacetherein,shallincludethe transferor conveyance of the undividedinterestsin the
common areas or, in a proper case, the membershipor shareholdingsin the
condominiumcorporation; Provided, however,that there were the commonareas in
the condominiumprojec{are owned by the owners of separateunits as @-owners
thereof,no condominiumunit thereinshall be conveyedor transferredto personsother
then Filipinocitizens,or corporations at leasesixtypercentof the capitalstockwhich
belong to Filipino citizens, except in cases of hereditarysuccession. Where the
@mmon areas in a condominiumproject are held by a corporation,no transfer or
conveyancece of a unit shall be valid if the concomitanttransfer of the appurtenant
membership or stockholding in the corporationwill be causethe alien interestin such
corporationto exceedthe limitsimposedby existinglaws.'

Applyingthe provisoin this sectionto the presentcase, the resultwould be so

that should it be a case covered by the first sentenceof the proviso,no unit in the
condominiummay be transferredto aliensor to corporationmore than 40% of the
capitalstockof which is owned by aliens;and shouldit be case coveredby the second
sentence,the transferto aliensof units in the projectmay be madeonly up to the point
where the concomitanttransferfor membershipor stockholdingin the @ndominium
corporationwould not cause the alien interest in such corporationto exceed 40% of its
entirecapitalstock.

In resume and by way of emphasis,my conclusionson your queries are as

iollows:

1. Any corporationwhich is owned 100%by a foreignfirm may establisha

"condominium corporation" projecton land
underR.A.4726and set up a condominium
leasedfor a periodnot to exceed10 years.

2. Vvherethe condominiumcorporationis a Filipinocorporationwhichownsthe

landon whichthe condominium projectis situated,R.A. 4726allowsthe transferto an
alienof an "interest" in a 'unit" in the saidcondominium, and of an "undivided
interest"in
the commonareas thereof, subject to the qualificationsmentionedin the proviso of
section 5 of said Act.

Verytrulyyours,

(SGD) VICENTEABADSANTOS
Secretaryof Justice
81
 ANNEXG

COMMISSION PROPER
RESOLUTION NO. R.53
Seriesof 1982

RATIFYINGRESOLUTIONNO.45,S. 1982,OF THE

EXECUTIVECOMMITTEE,APPROVINGTHE GRANTOF
VARIANCERELATIVETO THEIMPLEMENTATION OF
THE DESIGNSTANDARDS AND REQUIREMENTS FOR
SUBDIVISION/CONDOMINIUM
RESIDENTIAL BY HSRC AND
OEFININGCASESFORTHEGRANTOF THESAME

RESOLVED, No. 45, Seriesof 1982,of

as it is herebyresolvedthat Resolution
the ExecutiveCommitteeof this Commission,approvingthe grant of varianceto
deviationsfrom the Design Standardsand Guidelines/Requirements for residential
subdivisions and condominiums in casesenumerated and definedin Annex"A' hereto
attached, pursuant to Section 't4 of the HSRC Revised Rules and Regulations
lmplementing Presidential DecreeNo. 957, be ratifiedand adopted,as it is hereby
ratifiedand adooted.

this 16April 1982at Makati,MetroManila.

APPROVED,

SGD. ERNESTO C, MENDIOLA SGD.JESUSN. BORROMEO

Commissioner andChief Commissioner
ExecutiveOfficer

CESARO. MAROUEZ SGD-ABERP. CANI.AS

Commissioner Commissioner

SGD.ARTUROC.CORONA SGD.RAMONB. CARDENAS

Commissioner Commissioner

SGD.RAYMUNDO R. DIZON.JR, SALVADOR P, SOCRATES

Commissioner Commissioner

ATTESTED:

SGD.EUFEMIOP. DACANAY
CommissionSecretary

82
 ANNEX"A''

VARIANCES

Basis : Section14 of the HSRCRevisedRulesand Regulations

lmplementing PD 957 providesfor variances.

Concept : Design Standards and Requirementsfor residential

may be modified by the
subdivision/condominium
Commission in cases as hereby explained and
implementedby the Human SettlementsRegulatory
Commission.

Features : Variances

Variancesmay be allowed only under the following

conditions:

a. in cases of large scale governmentresidential

subdivisionor condominiumprolects,such as New
Town, PlannedUnit Developmentand the Bagong
LipunanSitesandServicesProgram;

b. in casesof housingin areasfor prioritydevelopment

or urbanland reformzones,includingblightedareas
and otheridentifiedprojectsunderthe UrbanReform
Program;

c. in casesof resettlement projectsas

and rehabilitation
programmed by the Ministryof HumanSettlements or
anyof its attachedagencies;

d. in cases of social housingprojectsorientedtowards

lowincomegroupas definedby the Ministryof Human
Settlements;

e. or, in caseswherestrictobservancehereofwill cause

extremehardshipto the subdivisionor condominium
owner/developer. Such extreme hardship to the
subdivision or condominiumowner/developeris
definedandexPlained as follows:

1. The locationis unique and differentfrom the

adjacentlocality,and becauseof its uniqueness'
the ownerscan not obtain a reasonablereturnon
proiects;
the residentialsubdivision/condominium

2. The hardshipis notself-created;

83
 The proposed variance is due to existing
permanent structures (concrete/steel)and are
necessary to permit a reasonable use of the
residentialsubdivision/condominium;

4 . The variancewill not alter the essentialcharacter

of the locationwherethe residentialsubdivision for
whichthe varianceis sought,is located,and will
not substantiallyor permanentlyconflictthe use of
other residentialsubdivision/condominium in the
same locality;particularlythose within one (1)
kilometerradiusthereof;

5. The variance will not give rise to unauthorized

reclassification of the approved residential
subdivision/condominium plan (i.e.whetherpartial
or full alterationof the plan),and will not adversely
affect the publichealth,safetyor generalwelfare,
and is in keepingwith the generalwelfareof the
community.

84
 Rc$$lic of ih! Phill0r'in6
Of{iccof thc President
Housing and Urban Development Coondinating Council
HOUSINGANDLAND USEREGULATORYBOARI)

RESOLUTTON 19. 72s

Serieg of 2002

AMENDINGTHE REVISEDIMPLEMENTING
RULES
AND REGULATIONSFORPRESIDENTIALDECREENO.957AND
BATASPAMBANSANO,220

WHEREAS,the HLURB Board approvedthe revisedlmplementingRules (lRRs)

and Regulationsfor PD 957 and BP 22O through Res. Nos. 699 and 700,
respectively,both Series of 2001;

WHEREAS,in the light of the mandatesof the HLURB,this Board and the
HUDCC jointly conduct continuing dialogue/consultationwith stakeholdersto
harmonize.housing policies, rules and standards in support of recent policy
pronouncementsof the administration;

WHEREAS,pursuantto existinglaws, particularlyPD 1308, otherwiseknownas

the Law Regulatingthe Practiceof Environmental PlanningProfessionin the
Philippines,and the Rules and Regulationspromulgated by the Professional
RegulationsCommissionpursuanttherel+ the scope of practioe of environmential
planningincludes,among othersthe preparationof conceptualschemesand site
developmentplans for subdivisionproiectsfor residentialand other urban uses;
and the signatureof licensedenvironmentalplannersis requiredto be affixedon
saidplans; I
!,UHEREAS, this Board fully supportsthe iminediateimplementationof Executive
i
Order No. 45, prescribing time periods for issuance of housing related i
certifications,clearances and permits and imposing sanctions for failure to
observethe same;

WHEREAS, various groups of real estate developers have brought to - the

attentionof HUDCC and this Board issues relativeto the implementationof the
revisedlRRs for PD 957 andBP 22O;

WHEREAS, upon thorough review and evaluationof the issues raised by the
developers'gioup, as well as the rationaland basis of their concerns,this Board
finds some of their requesb reasonable;

WIIEREFORE,be it RESOLVED,as it is hereby RESOLVED,that the following

amendments to the revised implementing rules and regulations tor PD 957 and
BP 220 approvedby virtue of HLURB ResolutionNos. R-699,and R-700,S. of
2001.beAPPROVED.

e4'n

HLURB Bldg.,KalayaanAvenuecomerMayamanStreet,Diliman,QuezonCity
 2 of BoardRrr. No.725, s of2oo2)
(Page

rules
1. That,the price ceiling provisionin the revisedimplementing
and regulations(lRR)for both PD 957 andBP 220 be deletedbut
standardsas prescribedthereinshall remain;

2. That, the provision in the lRRs requiring subdivision

owner/developerto register as dealer be deleted and that
registration as subdivision owner/developer be deemed
registrationas dealer;

3. That, the allocation of area requirement for parks and

playgroundand community facilities prescribedfor economic
housing be amendedto readas follows:

Rulell, Section5.C.1.b.1

b.1 Allocationof Area for Parksand Playgrounds

XXX

able 1: Parksand Allocation

E C O N O M I CH O U S I N G HOUSING
SOCIALIZED
Density Allocation Oensity Allocation
(No.of lots/Dut (% of grossarea (No.of lots/OU' (% of grossarea
oer hectare) for PP-.) per hectare) for PP..)
150and below 3 . 5% 150andbelow 3.5 Vo
1 5 1- 1 6 0 4% -
151 160 4Yo
-
161 175 5% 1 6 1- 1 7 5 5%
'176- 200 6'/n 1 7 6- 2 0 0 6 0/.
201 - 225 7% 201 - 225 7%
Above225 9% Above225 9V.
* Dwellingunits
" Parksand Playgrounds

Rulell, Section5.C.1.b.2

b.2 Area Allocatedfor CommunityFacilities

XXX

Table 3: Comm Facilities

Allocation
E C O N O M IH
CO U S I N G SOCIALIZED
HOUSING
Density Allocation Density Allocation
(No.of lots/Du. (% of grossarea (No.of lots/Du. (% of grossarea
oerhectare) for CF--) oer hectare) for CF..)
150 and below 1.O 'l
50 and below 1,O
-
151 225 1.5 151- 225
Above 225 2.0 A6oue225 2.O
Owelling
**CommunityFacilities

W,,,r
(Pageg of BoardRes.No. 725, s.of2oo2)

4 . That, provisionrequiringplanting of trees in areasdesignatedas

plantingstriP be deleted,

5 . That,the two (2) year vatidity of developmentpermit prescribed

in the revisedlRRsbe increasedto three (3) years;

6.

of the revigedrulesand regulations;

7.

socializedhousing Projects;

The requirement that structurat design considerfutureprovision

of loft for socialized housing be deleted,

1988; I
I
10.That,all provisionsin the revisedlRRs for both PD 957 and BP
220 affected and/or in conflicuinconsistentwith the above
cited amendmentsbe revisedand/orrenumberedaccordingly. l

I
16;s 19'tl6syof June2002,QuezonCity
APPROVED

T. DEFENSOR
'I/IIGHAEZ

ROMU
Commissionerand
icioCommissioner ChiefExecutiveOfficer
(Pagc4 ot BoaK!rc" run 125. s ot 2ooz)

EDUARDO R.SOLIMAN.
JR.
Undersecretary,
DILG Commissioner
Ex-Offi
cioCommissioner

B. SANTOS

Ex-Offi
cio Commissioner

DPWH
Ex-Officio
Commissioner
 AJOTNTPR(IIECTOrTHP--* -
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DEVEIOPMENT GROTJP
AND
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Jenrhltrf,R4udo
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Julie A Torrcs
Lloyd A" Slson
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