1. subdivision development dec11(powerpoint)

For REAL ESTATE BROKERSNovember 21, 2015 to January 10, 2016

Mama Luisa Restaurant J. Catolico Avenue, General Santos City

SUBDIVISION DEVELOPMENT

By: Engr. Waldemar G. Soguilon, REB, REA, EnPPRC Licensed Real Estate Broker #0018562PRC Licensed Real Estate Appraiser #004650PRC Licensed Prof. Agricultural Engineer #0000603PRC Licensed Environmental Planner # 0001152PRC Certificate of Accreditation for Lecturer # 0135

COMPREHENSIVE REAL ESTATE SEMINAR (CRES)

T O P I C O U T L I N E I. Introduction a. Constitutional Mandate b. Useful Statistics c. Key Shelter Agencies d. HUDCC Vision e. Framework for Housing

II. General Concepts of Subdivision Development a. Background c. Main Categories

of Subd. Development b. Definitions d. Types of Residential Subdivision e. Kinds od Subdivision

e.1 As to Complexity e.2 As to Uses

III. SUBDIUVISION DEVELOPMENT PROCESS a. TYPES OF SUBDIVISION b. TWO STEPS IN SUBDIVISION DEVELOPMENT c. Summary of Legal/Physical Development

III. Quick Guide on Real Estate Laws and Issuances on Special and Technical Knowledge

IV. HLURB Historical Background

V. REAL ESTATE LAWS

a. PD 957 – The Subdivision and Condominium Buyer’s Protective Decree

b. PD 1216 – Defining “Open Space” in residential subdivision amending section 31 of PD 957 c. RA 7279 – Urban Development and Housing Act of 1992 d. RA 6552 – Realty Installment Buyer Protection Act

(The Maceda Law) e. BP 220 – An Act authorizing the Ministry of Human Settlements to established and promulgate different levels of standards and technical requirements for economic and socialized housing projects in urban and rural

areasf. RA 9904 – Magna Carta for Homeowners and

Homeowners Associations

1987 Constitution: Mandates the state “to undertake, in cooperation with the private sector, a continuing program of urban land reform and housing, which will make available at affordable cost decent housing and basic services to underprivileged and

homeless citizens in urban centers and resettlement areas.”

USEFUL STATISTICS:

•RP’s Total National population (as of 2015) - 100 million •Urban Population (63%) - 63 Million•Number of Households -12.5 Million •Informal settlers (20% of the urban population) -2.55 M households•Housing backlog (nationwide) - 5.5 Million houses •Housing backlog (for Mindanao alone) - 620,000 houses•Number of squatters/ Informal settlers nationwide - 585,926 households •Number of squatters/ Informal settlers in Metro Manila - 220,000 households•Revalidated UDHA Registrantsin Gen.Santos City (as of 11/ 25/10) - 15,950 • Squatter/informal dwellers within General Santos City(2011) - 21, 847 households

HDMF

SHFC

Lenders

HGC

HLURBNHA

HUDCC

Fund Mobilizer Producer Regulator

NHMFC

Pending Proposal:Dept. of Housing and Urban Development (DHUD)

KEY SHELTER AGENCIES

HUDCC Vision:

To provide families not just with the infrastructure of a

house but the framework of a home, to build not just a

neighborhood, but a real harmonious community.

A Framework for Housing Housing- not a mere commodity, product, or structure

-It is a human right that the government has the responsibility to promote and

protect.

-Can also be a process of community empowerment.

Security of Tenure-Seen as an entry point to organize, strengthen, and empower a community.

Housing Finance – is a strategy rather than the objective.

CMP (Community Mortgage Program)

-is primarily an asset reform program

-a poverty reduction program using housing finance as a strategy.

II. GENERAL CONCEPTS OF SUBDIVISION DEVELOPMENT

a. BACKGROUNDER:

Subdivision development is a very complex undertaking

It needs the services of different professionals such as Civil Engineers, Architects, Geodetic Engineers, and many more.

1. SUBDIVISION–division of a tract or parcel of land into two or more lots, sites or other divisions for the purpose, whether immediate or future, of a sale or building development. It also includes re-subdivision.

2.LAND SUBDIVISION–refers to the creative “manufacturing” process of converting a large parcel of “raw land” or consolidating several adjoining parcels of various sizes and shapes, subdividing the consolidated land in an orderly pattern and providing access roads to each of the lots, together with such utilities, facilities and amenities as maybe necessary for the particular project.

b. DEFINITIONS:

3. SUBDIVISION DEVELOPMENT–the conversion of unimproved rawland into a site that will be capable of supporting a desired activity and intended usage, which may be for residential, commercial, or industrial purposes.

It should be noted that while “subdivision” technically refers to the mere partitioning of land, and “development” means the subdivision and the setting up of essential community facilities, the words are in practice, interchangeable.

c.1 RESIDENTIAL SUBDIVISION– the conversion of rawland a safe, serviceable and affordable residence with associated facilities.

c.2 COMMERCIAL DEVELOPMENTS–the development of strategically located property for office, retail, wholesale and financial activities and also for general services and travellers needs. Its viability is dependent on the purchasing power of the supporting population within the area and it accessibility.

MAIN CATEGORIES OF SUBDIVISION DEVELOPMENT

c.3 INDUSTRIAL DEVELOPMENT–the development of big tract of rawland which focuses on providing property to industrial, manufacturing purposes. Its success depends upon the climate, topography, transportation facilities, and availability of sewer outlets, water sources and future expansion potentials.

d.1 SINGLE FAMILY DEVELOPMENT–a single dwelling unit on each building lot with direct access to a street.a. Detached – singleb. Attached – duplex

d. TYPES OF RESIDENTIAL SUBDIVISIONS:

d.2 MULTI FAMILY DEVELOPMENT- more than one dwelling unit on each building lot

Example: Multilevel housingTenement housing

e.1 As to Complexity

1. SIMPLE – refers to a subdivision of a parcel of land located on an existing street into two or more lots without creating any road or open space or without changing the existing external periphery for boundary.

2. COMPLEX – refers to a subdivision of a parcel of land after consolidating them into two or more lots, with provisions for roads and/or community spaces, or with changes in the external periphery or boundary.

e. KINDS OF SUBDIVISION:

1. RESIDENTIAL–devoted to dwelling in a certain place that is used as the permanent abode of a person or family.

2. COMMERCIAL–devoted to edifices or houses in which businesses directed primarily for profit is transacted or undertaken.

3. INDUSTRIAL–devoted to use by entities engaged in industrial pursuit or manufacturing of goods for profit.

e.2 As to Uses

4. INSTITUTIONAL–devoted to the use by institutions, societies or corporations that are charitable, educational, and religious or the like in nature and character.

5. FARM–devoted to agricultural purposes or the raising of domestic animals for sale, or personal use and consumption.

6. RESORT–a place that is frequently and customarily used for assembly and entertainment purposes or where a person or his family friends usually go for adventure and relaxation.

SUBDIVISION DEVELOPMENT PROCESS

TWO TYPES of SUBDIVISIONSIMPLE SUBDIVISION:

A partitioning of one lot without any street or open space.

COMPLEX SUBDIVISION:

A partitioning of one lot where the streets and open spaces are clearly delineated.

A physically & well-developed subdivision

can generate money and credit from:

• Banks• Suppliers• Contractors• Buyers

Professionals needed to develop a subdivision:

Lawyer Geodetic EngineerSurveyor ArchitectCivil Engineer Electrical EngineerSanitary Engineer Structural EngineerLandscape Artist AccountantProject Manager Environmental Planner

(Real Estate Practitioners)??!

REC, REA, REB, Salesperson

TWO STEPS IN SUBDIVISION DEVELOPMENT

1.LEGAL DEVELOPMENT: the paperwork

2. PHYSICAL DEVELOPMENT: the technical side to convert raw land into a housing

project

Legal Development

PERMITS & CLEARANCES:• Barangay Clearance

• Locational Viability (LGU)

• Environmental Compliance Certificate (DENR)

• Conversion (DAR) or reclassification (LGU)

Legal DevelopmentCONCEPT & FINAL PLANS:• Conceptual design of the houses• Schematic plan of the

subdivision• Final plans of the house and the

subdivision• Sales & marketing plans

Legal Development

SURVEYS:• Table survey• Field survey• Relocation or verification survey

CITY/MUNICIPAL PLANNING OFFICE:• Zoning clearance

Legal Development

CITY/ MUNICIPAL COUNCIL:• Mayor’s permit (Subdivision Task Force)

CITY MUNICIPAL ENGINEERS OFFICE/BUILDING OFFICIAL:• Building permit• Occupancy permit

Legal Development

BUREAU OF LANDS:• Approved subdivision plan• Approved lot description• Approved technical description

Legal Development

HOUSING & LAND USE REGULATORY BOARD:

(HLURB)• Certificate of Registration (CR)• Performance Bond (PB)• License to sell (LS)

Legal Development

REGISTER OF DEEDS:• Issuance of individual titles• Certified true copy of titles

ASSESSOR’S OFFICE:• Issuance of individual tax declaration

Physical Development

SITE CLEARING:• Cut & fill• Earthmoving work• Road tracing• Monumenting of lots

Physical Development

ENTRANCE/EXIT GATES:• Guard house• Perimeter fences

DRAINAGE SYSTEM:• Underground pipes• Manholes

Physical Development

CONSTRUCTION OF ROADS:• Road preparation• Cementing or asphalting• Curbs & gutters• Sidewalks

Physical DevelopmentCONSTRUCTION OF HOUSES:• Construction of model units• Construction of houses

CONSTRUCTIONS OF AMENITIES:• Construction of open space facilities

(playgrounds, clubhouse, basketball court, etc)

Physical DevelopmentELECTRICAL SUPPLY:• Erection of electrical posts• Electrical connections• Street lights

WATER SUPPLY:• Deep well with elevated water tank or

undergone cistern• MWSS/Water District interconnection

Physical Development

OTHER UTILITIES:• Cable TV connections• Telephone lines• Internet connections• CCTV/security cameras

1.Legal Development: The paperworka.Permits and Clearancesb.Concept and Final Plansc. Surveysd.City/Municipal Planning Officee.City/Municipal Councilf. City/Municipal Engineer’s Office/Office of the

Building Official (OBO)g.Bureau Of Landsh.Housing and Land Use Regulatory Board

(HLURB)i. Register Of Deeds (ROD)j. Assessor’s Office

2.Physical Developmenta.Site Clearingb.Entrance/Exit Gatesc. Drainage Systemd.Construction of Roadse.Construction of Housesf. Construction of Amenitiesg.Electrical Supplyh.Water Supplyi. Other Utilities

QUICK GUIDEON

REAL ESTATE LAWS AND ISSUANCES

ONSPECIAL & TECHNICAL

KNOWLEDGE

EO419 Task Force on Human Settlements (TFHS ) (9/19/75)

PD 933 Human Settlements Commission (HSC) (05/13/76)

PD1396 Human Settlements Regulatory Commission (HSRC) (6/2/78)

EO 648 Reorganizing HSRC (2/07/81)EO 71 Devolution of HLURBs function to

approved subdivision plans to LGUsEO 72 Providing for the preparation and

implementation of the Comprehensive Land Use Plans (CLUPs) of Local Government Units pursuant to the Local Government Code of 1991 and other pertinent laws.

EO 90(1986)

Identifying the government agencies essential for the National Shelter Program and defining their mandates, Coordinating Council (HUDCC), rationalizing funding sources and lending mechanisms for home mortgages.

EO 184 Creating socialized housing one-stop processing centers

EO 648(1981)

Reorganizing the Human Settlement Regulatory Commission. Declared the HLURB as the planning, regulatory and quasi-judicial instrumentality of government for land use development

ACT 3135 An Act to Regulate the Sale of Property Under Special Powers Inserted in or Annexed to Real Estate Mortgages

BP 220(1982)

An act authorizing the Ministry of Human Settlements to establish and promulgate different levels of standards and technical requirements for economic and socialized housing projects in urban and rural areas from those provided under Presidential Decrees No. 957, 1216, 1096 and 1185.

PD 856 Code of Sanitation of the PhilippinesPD 953 Requiring the Planting of trees in Certain

Places and Penalizing Unauthorized Cutting

PD 957(1976)

The Subdivision and Condominium Buyer’s Protect Decree/regulating the sale of subdivision lots and condominiums, providing, penalties for violations thereof)

PD 1216 Defining “Open Space” in residential subdivision amending Sec. 31 of P.D. 957, requiring subdivision owners to provide roads, alleys, sidewalks and resident open space for parks or recreating use.

PD 1344 Empowering the NHA to issue writ of execution in enforcement of its decisions under P.D. 957

PD 1529 Property Registration DecreePD 1752 Home Development Mutual Fund Law of 1980RA 7899 Amending Sections 4 and 6 of R.A. 4726

(The Condominium Act)RA 9856 The Real Estate Investment Trust (REIT) Act

of 2009

RA 9904

Magna Carta for Homeowners and Homeowners Associations

HLURB Board Res. No. 890 Series of 2012

Revised Implementing Rules and Regulations to Govern Section 18 of Republic Act No. 7279

HISTORICAL BACKGROUNDTask Force on Human Settlement

(TFHS)Executive Order No. 419 (9/19/73)

Human Settlements Commission (HSC)Presidential Decree No. 933 (5/13/76)

Human Settlements Regulatory Commission (HSRC)

Presidential Decree No. 1396 (6/2/78)

Executive Order No. (2/07/81)Reorganizing H S R C

transferred from the National Housing Authority:regulates the sale of subdivision and condominium

Registration and issuance of LS to Subdivision Projects

 Housing and Land Use Regulatory Board (HLURB)

Executive Order No. 90 (12/17/86)    

*designated as the sole regulatory body for housing & land development

*to encourage greater private sector participation in low cost housing*liberalization of development standards, simplification of regulation

Vision...A well planned and self-reliant communities via land and housing regulations

Mission...To promulgate and enforce land use and

housing regulations which sustain a balance among economic development

advancement, social justice and environmental protection for the equitable

distribution and enjoyment of developmental benefits.

P D #957:THE SUBDIVISION &

CONDOMINUIM BUYER’S PROTECTIVE DECREE

Regulating the sale of subdivision or subdivision lots &

condominiums, providing penalties for violations thereof

Implementing arm:Housing & Land Use Regulatory

Board(HLURB)

REGISTRATION of PROJECTS1.Name of owner2.The location of the owner’s principal

business office3.The names & address of all directors &

officers of the business firm4.The general character of the business

actually transacted by the owner5.A statement of the capitalization of the

owner

Attachment to Project Registration

1.A copy of the subdivision or condominium plan2.A copy of any circular, prospectus, brochure or

advertisement3.A balance sheet showing all assets & liabilities4.A title to the property, if free from all liens &

encumbrances

Document to be issued:Certificate of Registration

LICENSE TO SELL

• Must be secured within two weeks after receipt of the CR

• Certifies that:• Owners or dealer is of good repute• His business is financially stable• The proposed sale would not be fraudulent

SUSPENSION of the LICENSE TO SELL

1. Any information filed by the owner or dealer was misleading, incorrect, inadequate or incomplete

2. The sale or offering of the sale may result in a fraud upon prospective buyers

REVOCATION of CR & LICENSE TO SELL

When the owner or dealer:

1. Becomes insolvent2. Has violated any provisions of this Decree3. Has been or is engaged or about to engage in

fraudulent transaction4. Has made any misrepresentation of the project5. Is of bad business repute6. Does not conduct his business according to law or

sound principles

EXEMPTIONS

1. Sale of a subdivision lot resulting from the partition of land among co-owners or co-heirs

2. Sale or transfer of subdivision lot or a condominium unit by the original buyer & subsequent sale of the same property

3. Sale of subdivision lot or condominium unit by the mortgagee to liquidate a bonafide debt

4. Bulk buying (when sold as bought)

PERFORMANCE BOND

• Amount: equivalent to the balance of the value of the undeveloped portion of the project

• To guarantee the construction & maintenance of the roads, gutters, drainage & sewerage

• Authorizes the HLURB to use the performance bond to complete the project development

SECTION 11:REGISTRATION of DEALERS,

BROKERS & SALESMEN

No real estate dealer, broker or salesman shall engage in the business of selling subdivision lots or condominiums units unless he has registered with the HLURB

REVOCATION of REGISTRATION od DEALERS, BROKERS &

SALESMAN

• Has violated any provision of this Decree• Has made a material false statement in his

application• Has been guilty of fraudulent act• Has demonstrated his unworthiness

MORTGAGE by DEVELOPER

• Cannot be done by the developer without prior approval by the HLURB

• Can only be allowed by the HLURB if the proceeds of the loan will be used for the development of the project

• An escrow account will be opened involving HLURB and the developer

ADVERTISEMENT

• Must reflect the real fact and must not be misleading or deceiving

• The owner or developer shall be answerable and liable for those contained in all ad materials

TIME COMPLETION

• Within one year from the issuance of the license to sell

NON-FORFEITURE OF PAYMENTS:

No installment payments by the buyers shall be forfeited by the owner or developer or his failure to finish the development within the time frame required.

FAILURE TO PAY of INSTALLMENTS

• Covered by RA #6552 (The Maceda Law)

ISSUANCE OF TITLE:• Upon full payment• If mortgaged by developer, he should redeem

and deliver the title within six months

PROPERTY TAX

• Shall be paid by the developer if title has not been passed on to the buyer

• However, if the buyer has already taken possession of the property, property tax will now be paid by the buyer.

OTHER PROVISIONS

ACCES TO PUBLIC OFFICES IN THE SUBDIVISION:No developer shall deny any person free access to any public office located within the subdivision or may be reached only through the subdivision.

RIGHT OF WAY TO PUBLIC ROAD:The developer must secure right of way access to any existing public road.

ORGANIZATION OF HOMEOWNERS ASSOCIATION:Shall be initiated by the developer and organized among the buyers & residents of the project

DONATION OF THE ROADS & SPACES TO THE LGU:• At the option of the developer• Once donation is accepted ,cannot be

converted for any other purpose

TAKE -OVER DEVELOPMENT

• HLURB may be take-over & complete the development of the project at owner’s expense

• If they refuse d or failed to develop and complete the project.

• After the take-over, HLURB may demand, collect and receive installment payments which shall then be used for the project.

PD #1216:DEFINING REQUIRED “OPEN

SPACE” in RESIDENTIAL SUBDIVISIONS

REQUIREMENT:Developer must allocate 30% of the gross area of any development project for open space.

OPEN SPACE:An area reserved exclusively for parks, roads, alleys, sidewalks, playgrounds, recreational uses, centers, clubhouses and other similar facilities & amenities

COVERAGE:Project lot area of one hectare or more.

ALLOCATION FOR PARKS, PLAYGROUNDS & RECREATIONAL USE(must not be all 30% for roads)LAND DENSITY (per hectare) CATEGORY ALLOCATION66 to 100 family lots High density or

socialized housing

9.0%

21 to 65 family lots Medium density or economic housing

7.0%

20 family lots or below Low density or open market housing

3.5%

RA 7279:

THE URBAN DEVELOPMENT &HOUSING ACT (UDHA) OF 1992

BALANCED HOUSING DEVELOPMENT:A subdivision or condominium developer must also develop the equivalent of 20% of his project for socialized housing.

EXEMPTIONS:

1. socialized housing project development2. With four units or less

MODE OF COMPLIANCE:1. 20% of the total land area2. 20% of the total project cost

Mode of compliance

1. New settlements2. Slum upgrading3. Community Mortgage Program

(CMP)4. Joint venture projects with NHA5. Housing/Pabahay Bonds

OTHER PROVISIONS

CREDITS:May develop in excess of the required 20% to build up future credits to be used later

PROJECT LOCATION:If no single land is feasible or available in the locality, development of separate sites is allowed.

TIME OF COMPLETION:One year from issuance of the License to Sell.

Batas Pambansa Bilang 220 s. 1982  An act authorizing the HSRC (now HLURB) to establish and promulgate different levels of standards and technical requirements for Economic and Socialized Housing Projects in urban and rural areas from those provided under Presidential Decrees No. 957, 1216, 1096 and 1185.

Under (Sec 447 & 458 (a)(2)(x). Subject to national law, process and approved subdivision plans for residential, commercial, or industrial purposes and other developmental purposes, and collect processing fees and other charges, the proceeds of which shall accrue entirely to the municipality; Provided however, that where approval of the national agency or office is required, said approval shall not be withheld more than thirty (30) days from receipt of the application. Failure to act on the application within the period stated above shall be deemed an approval thereof.

Republic Act No. 7160 (Local Government Code of 1991)

Executive Order No. 71 s. 1993; Devolution of HLURB’s function to approve subdivision plans to LGUs Processing Approval for:

1. PALC / PSDP – Preliminary Approval and Locational Clearance/Preliminary Subd. Development Permit

2. Final Approval (FA) / Dev’t. Permit (DP)3. Approval of Plan Alteration4. Individual / Group Building Permit5. Certificate of Occupancy

Hearing, evaluation and resolution of opposition against the issuance of PALCs & DPs, and petitions to revoke approvals, clearances and permits it has issued.Monitoring of the nature and progress of land developments and housing construction of projects whose subdivision and building plans the LGU has approved.

Imposition of appropriate measures to enforce compliance with terms and conditions of their approval such as issuance of Notice of Violation, Show Cause Order, Order of Imposition of Administrative Sanctions & Cease Desist Order.

RETAINED FUNCTIONS(for HLURB):Processing of Application for: 1) Certificate of Registration & License to Sell2) Approval of Condominium Plan3) Mortgage Clearance4) Advertisement Approval5) Reduction or Cancellation of PB6) Issuance of Certificate of Completion

RETAINED FUNCTIONS:General monitoring and Visitorial Powers to ensure and enforce compliance with the provisions of PD No. 957 and their implementing regulations, including the imposition of administrative sanctions on all subdivision and condominium projects that it has issued DP, Cr and/or LS;

Adjudication of all complaints filed pursuant to PD 957, PD1216, PD1244, BP 220 and related laws

SUBDIVISION PROCESSINGFLOW CHART

•Ad Approval•ETD•Mortgage Clearance•Change of Name / Ownership

•Alterations of Plan•Building Permit•Cert. of Occupancy

C O CDonation of

Roads& Open Spaces

C R / L S

F A / DP

P A L C (PSDP)

SUBDIVISION PROJECT a tract or parcel of land registered under Act. No. 496 which is partitioned primarily for residential purposes into individual lots with or without improvements thereon and offered to the public for sale, in cash or in installment terms. It shall include all residential, commercial, industrial and recreational areas, as well as open spaces and other community and public areas in the project.

Sale or Sell – shall include every disposition, or attempt to dispose, for valuable consideration, of a subdivision lot, including the building and other improvement thereof. It shall also include a contract to sell, a contract purchase and sale, an exchange, an attempt to sell, an option of sale or purchase, a solicitation of a sale, or any offer to sell, directly or by an agent, or by a circular, letter, advertisement or otherwise. Broker – any person who, for commission or other compensation, undertakes to sell or negotiate the sale of a real estate belonging to another.

Salesman (now “salesperson” as per RESA)-a person regularly employed by a broker to perform, for and in his behalf, any or all the functions of a real estate broker.

Shell house–a habitable dwelling unit which unit met the minimum requirements for a housing core with the following additional components being included as part therefore:

a) all exterior walls enclose the unit, b) openings for doors and windows, c) plumbing fixtures,d) electrical wiring within the unit and e) Floor

.  Complete House :A habitable dwelling unit which met the minimum requirements for shell house with the following additional components being included as part thereof: all windows and doors and partition wall for separating functional areas. OPEN SPACE : shall refer to areas allocated to the following purposes:Circulation Parks/playgroundCommunity Facilities Other common areasEasement

Different Types of Subdivision Projects (Per HLURB) Residential SubdivisionUnder Pres. Decree No. 957

Open Market HousingMedium Cost Housing

Under Batas Pambansa Bilang 220

Economic HousingSocialized Housing

Price Ceilings pursuant to HUDCC Resolution  Socialized Housingmaximum of P 400,000.00 Low Cost Housing:•Level 1above P 400,000.00 to 1,250,000•Level 2P 1,250,000 to 3,000,000

OTHER TYPES OF SUBDIVISION PROJECTS

•Commercial Subdivision•Industrial Subdivision•Farm lot Subdivision•Memorial Park/Cemetery

SITE CRITERIA Availability of basic needs a. Waterb. Movement and Circulationc. Storm Drainaged. Solid & Liquid Waste Disposale. Parks / Playgroundf. Power

Physical Suitability• Must have characteristics assuring healthful, safe and environmentally sound community life

AccessibilitySite must be served by a road that is readily accessible to public transportation lines

 Design Parameters Land Allocation:Under PD 957 Subdivision Projects with an area one (1) hectare or more: Saleable area = max. of 70% non-saleable area = min. of 30%  Under BP 220 Subdivision Projects: no fix ratio for saleable and non-saleable area

Parks and Playground

Area allocated for P/P shall be mandatory for projects 1 ha. and above and shall be strategically located

It shall be non-alienable and non-buildable for community hall but buildable for basketball court. 

Parks And Playgrounds Allocation

PD 957 BP 220Density Parks & Playground

AllocationDensity Parks & Playground

Allocation20 & below 3.5% 150 & below 3.5%

21 – 25 4.0% 151 – 160 4.0%

26 – 35 5.0% 161 – 175 5.0%

36 – 50 6.0% 176 – 200 6.0%

51 – 65 7.0% 201 – 225 7.0%

Above 65 9.0% Above 225 9.0%

COMMUNITY FACILITIES Mandatory provision of areas for community facilities such as: neighborhood multi-purpose center for projects with area of one (1) hectare and above which is non-saleable. However, the developer may provide additional areas for community facilities such as schools and retail/commercial center in excess of the mandatory requirement which shall be deemed saleable. The use of the said area shall be indicated in the plan and shall be annotated in the title thereto.

Economic/Socialized Housing

Density(No. of lot/DU* per hectare)

Allocation(% of gross area for CF**)

150 and below 1.0%

151 – 225 1.5%

Above 255 2.0%

Area allocated for CF shall be mandatory for projects 1 hectare and above shall be strategically located and accessible where it can serve a maximum number of population, preferably near or side by side with parks/playgrounds.

Community Facilities

*Dwelling Units**Community Facilities

Road Right of Way for PD 957

Project Size Open Market Medium Cost

Major Collector Minor Major Collector Minor

2.5 & below 10 - 8 10 - 8

Above 2.5 – 5 has. 12 10 8 10 - 8Above 5 – 10 has. 12 10 8 12 10 8Above 10 – 15 has. 12 10 8 12 10 8Above 15 – 30 has 15 12 10 12 10 8Above 30 has 15 12 10 15 12 10

Road Right-of-Way for BP 220 (m.)

Project Size Economic Housing Socialized HousingMajor Collector Minor Major Collector Minor

2.5 & below 8 - 6.5 8 - 6.5Above 2.5 – 5 has. 10 - 6.5 10 - 6.5Above 5 – 10 has. 10 8 6.5 10 - 6.5Above 10 – 15 has. 10 8 6.5 10 8 6.5Above 15 – 30 has 12 8 6.5 10 8 6.5Above 30 has 15 10 6.5 12 10 6.5

 ROAD PAVEMENT For PD 957•Open Market – concrete for all types of Roads•Medium Cost – concrete/asphalt for all types of roads For BP 220 – concrete/asphalt for major and minor roads. 

 Interconnecting RoadInterior subdivision project owner/developer must secure road right-of-way to connect to the nearest public road with a minimum ROW of 10 meters. This fact shall be annotated on the title of said road lot and must be donated and deemed turned over to the LGU upon completion of the said interconnecting road.

Figure 1: Interconnecting RoadFigure 1: Interconnecting Road

INTERCONNECTING ROAD

PUBLIC ROAD “A”

SUBD 2

SUBD 3

SUBD 4

PUBLIC ROAD “B”

SUBD 1

 Subdivision Project Setback Requirement:

Subdivision projects abutting main public road must provide a setback of 3.00 meters deep by 5.00 meters length at both side of the subdivision entrance to accommodate loading and unloading of passengers.

5.0 M 5.0 M

3.0 M3.0 M

MAIN PUBLIC ROAD

ENTRY

Figure 2. Setback Requirement along Main Public Road

Width of Planting Strips and Sidewalks

Road Width(meter)

Planting Strip(meter)

Sidewalk(meter)

15.00 1.30 1.20

12.00 0.80 1.20

10.00 0.80 1.20

8.00 0.40 0.606.50 Optional 0.50

MINIMUM LOT AREASType of

Housing PD 957 BP 220

OpenMarket

MediumCost

Economic Socialized

SingleDetached

120 sq. m 100 sq. m 72 sq.m 64 sq.m

Duplex /SA 96 sq. m 80 sq.m 54 sq.m 48 sq.m

Rowhouse 60 sq. m 50 sq.m 36 sq. m 28 sq.m

PROVISION OF FIREWALL: Mandatory provision of firewall for duplexes/ single attached units and at every unit for row houses.

DWELLING UNIT DWELLING UNIT

FIREWALL FIREWALL

MINIMUM LOT FRONTAGE

Type ofHousing/Lot PD 957 Economic Socialized

Single Detacheda) Corner lot 12 8m 8mb) Regular lot 10m 8m 8mc) irregular lot 6m 4m 4md) interior lot 3m 3m 3mDuplex / SA 8m 6m 6mRow house 4m 4m 3.5m

Price of saleable lots intended for single detached units shall not exceed 40% of the maximum selling price of the H/L package. Number of ROWHOUSE: Shall not exceed 20 units per cluster but in case shall this be beyond 100 meters in length. Maximum Block Length :Shall be 400 meters, however blocks exceeding 250 meters shall be provided with a 2-meter alley approximately at mid-length. 

Shelter component – MINIMUM FLOOR AREA

Types of Housing Unit

PD957 BP 220

OpenMarket

MediumCost Economic Socialized

Single Detached 42 30 22 18

Duplex/Attached 42 30 22 18

Rowhouse 42 30 22 18

MINIMUM LEVEL OF COMPLETION

An approved Socialized Housing Project shall not be upgraded to any other type of housing project.

Type of Housing PD 957 BP 220

Economic Socialized

Single Detached Complete House (based on the submitted specifications)

Complete House (based on the submitted specifications)

Shell House (with doors and windows to enclose the unit)Duplex/SA

Rowhouse

SETBACK/YARD REQUIREMENT

The minimum setback of dwelling units both for economic and socialized housing project shall be as follows.

Front Setback 1.5 meters

Sideyard 1.5 m. (from bldg line)

Rear Yard 2.0 meters

WATER SYSTEM

Mandatory connection to appropriate public water system provided that the water supply is enough to meet the total daily requirements of the anticipated population.

If public water supply is not available, developer shall provide for independent water supply system within the subdivision project.

ELECTRICAL POWER SUPPLY

Mandatory individual household connection

Mandatory provision of street lighting per pole if 50 meters distance: at every other pole, if the distance is less than 50 meters.

Electric Bills for streetlights shall be proportionally shouldered by the users thereof prior to issuance of Certificate of Completion and turnover of open spaces to LGU.

DRAINAGE SYSTEM

The minimum drainage system for economic and socialized housing shall be concrete lined canal with load bearing cover.

In case of non-existence of Drainage System in the locality, catchment area for drainage discharge shall be provided for and development by the owner/ developer in consultation with the Local Government Unit.

Flow Chart

DARDAR

PALC (LGU) DP/FA (LGU) VSR (DENR/LMB)VSR (DENR/LMB)

ECC (DENR)

License to Sell (HLURB)

Registration (HLURB)

(

CERT. OF TITLE (ROD)

COC Certificate of Completion (HLURB)

Application for Subdivision Development Permit 1. All requirements for application for preliminary subdivision development plan.1.1) At least 2 sets of the Site Development Plan (Schematic Plan) at a scale ranging from 1:200 to

1:2000 showing the proposed layout of streets, lots, parks and playground and other features in relation to existing conditions prepared, signed and sealed by any licensed and registered architect, environmental planner, civil engineer or geodetic engineer.

1.2 One (1) set of the following documents duly signed sealed by a licensed geodetic Engineer:

 a. Vicinity map indicating the adjoining land

uses, access as well as existing facilities and utilities at least within 500 meters from the property boundaries of the project, drawn to any convenient scale.

b. Topographic Plan to include the following:

b.1) Boundary Lines: bearings, distances tie point or reference point, geographic coordinates of the tie point or Bureau of Land Locational Monument (BLLM);

 b.2) Streets, easements, width and elevation of

road right-of-way within the project and adjacent subdivisions/ areas;

b.3) Utilities within the land adjacent to the proposed subdivision project; location, sizes and invert elevations of sanitary and storm or combined sewers; location of gas lines, fire hydrants, electric and telephone poles and street lights, if any. If water mains and sewers are not within or adjacent to the subdivision, indicate the direction and distance to and size of nearest one, showing invert elevations of sewers, if applicable.

b.4) Ground elevation of the subdivision; for ground that slopes less than 2%, indicate spot elevations at all breaks in grade, along all drainage channels and at selected points not more than 25 meters apart in all directions: for ground that slopes more than 2% either indicate contours with an interval of not more than 0.5 meters if necessary due to irregular land or need for more detailed preparation of plans and construction drawings.

b.5) Water courses, marshes, rock and wooded areas, presence of preservable trees in caliper diameter of 200 millimeters, houses, barns, shacks and other significant features.

 b.6) Proposed public improvements, highways

or other major improvements planned by public authorities for future construction within/ adjacent to the subdivision.

 C. Survey Plan of the Lot(s) as prescribed in

TCT(s). 

 1.3) At least 2 copies of Certified True Copy of

Title(s) and Current Tax Receipt.

1.4) Right to use or deed of sale of right-of-way for access road and other utilities when applicable, subject to just compensation for private land.

2. Subdivision Development Plan consisting the site development plan at any of the following scales: 1:200; 1:1000; or any scale not exceeding 1:2000 showing all the proposals.

3. Civil and Sanitary Works Design Engineering plans/construction drawings based on applicable engineering code and design criteria.

4. Water System layout and details duly signed and sealed by a licensed sanitary engineer or civil engineer.

5. Certified true copy of Tax Declaration covering the property(ies) subject of the application for the year immediately preceding.

6. Certified true Copy of Environmental Compliance Certificate (ECC) or Certificate of Non-coverage (CNC) duly issued by the DENR, whichever is applicable.

7. Zoning certificate form HLURB Regional Office.

8. Certified true copy of DAR Conversion Order.

9. Project description for projects having an area of one (1) hectare and above.

10. Certification/ Permit electric power and water supply. 

RA #6552: REALTY INSTALLMENT BUYER

PROTECTION ACT (The Maceda Law)

THE MACEDA LAWAn act to provide protection to buyers of

real estate on installment basis

DECLARED PUBLIC POLICY:It is hereby declared a public policy to protect buyers of real estate on installment payments against onerous & oppressive conditions.

COVERAGE:Sale or financing of real estate on installment payments, including residential condominium or apartments where the buyers has paid at least two (2) years of installment.

EXCLUDED:1. Industrial lots2. Commercial building3. Sale of tenants

In case more than two years of installments were paid, rights of the buyer in case of default in payment of succeeding installments:1. To pay, without additional interest,

the unpaid installments due within the grace period earned which is one month grace period for every year of installment payments made.

2. However, this right shall be exercised by the buyer only once every five (5) years of the life of the contract & its extension(s).

3. If the contract is cancelled, the seller shall refund the buyer the cash surrendered value of the payments on the property equivalent to 50% of the total payments made.

4. After five (5) years of installments, 5% will be added every year but not to exceed 90% of total payments made.

5. The actual cancellation or the demand for rescission of the contract is by notarial act & only upon full payment of the cash surrendered value to the buyer.

6. Down payments & option deposits shall be included in the total installment payments made.

THE MATHEMATICS:

% CSV REMARKS YEARS50% First 2 years 250% Up to 5th year 5

After 5 years, add per year:

90% MaximumLess: 50% Earned after 5 years

40% Can still be earned40%/5% per year Years to earn 40% 8

Total years to maximize CSV

13

OTHER RIGHTS OF THE BUYER

1. Buyer shall have the right to sell his rights or assign the same to another person. The deed of sale or assignment shall be done by notarial act.

2. Buyer shall have the right to reinstate the contract by updating the account during the grace period or before actual cancellation of the contract.

3. Buyer shall have the right to pay in advance any installment or the unpaid balance of the purchase price (balloon payment) at any time without interest.

Rights in case less than two years of installment were

paid:1. Seller shall give buyer a grace period of not

less than sixty (60) days from the date the installment became due.

2. If the buyer fails to pay the installment due at the expiration of the grace period, the seller may cancel the contract after thirty (30) days from receipt of the buyer of the notice of cancellation or the demand for rescission of the contract by notarial act.

TOTAL GRACE PERIOD: Ninety (90) days

THANK YOU

☺GOOD LUCK TO

EVERYONE!!