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BUSINESS / CONSTRUCTION BOOM IN PH TO CONTINUE Time to read 1 minute Share 31 0 Print a-
a+ Read so far 61% Construction boom in PH to continue Monday, February 13, 2017 By JEANDIE O.
GALOLO PRIVATE developers remain confident in the country’s property sector and say the construction
boom is here to stay for the next couple of years, as a result of the country’s healthy economic
fundamentals. But on Friday, during the National Housing Summit 2017 in Cebu City, they asked the
government to do its part by minimizing delays in the licensing and related applications and do away with
policies they consider unsupportive to the housing industry. “The boom has a momentum by itself. We just
have to continue it, and if we can improve it, it (construction boom) will continue,” said Organization of
Socialized Housing Developers of the Philippines (OSHDP) president Marcelino Mendoza. A constructiom
boom is characterized by a rapid increase in construction activities driven by a strong demand. On
average, developers said it takes a year and a half to comply with all the documents needed before they
can start building their projects. Aside from red tape in government, they also aired the inconsistencies in
policies on housing. Some of the key concerns of developers have are the two-year moratorium on
agricultural land conversions, lack of mechanisms for the full implementation of socialized condominiums,
imminent removal of VAT exemptions on low-cost and socialized housing, and delisting houses above P2
million from the government’s proposed Investment Priorities Plan (IPP) 2017-2019. Economic conditions
Despite these setbacks, Subdivision and Housing Developers Association (SHDA) national president
Christopher Narciso said the property and construction sector, specifically the residential subsector, has
managed to grow. “The boom is a result of good economic conditions. There are several factors there, it’s
supply and demand. The numbers speak for itself. The supply is far less than that of new demand every
year plus the backlog,” said the SHDA official. “The fundamentals alone will always have a healthy housing
market. With better initiatives in place, by addressing all the issues, then that would sustain the boom,”
Narciso added, considering other factors like low interest rates. Housing backlog in the Philippines stands
at 5.6 million, but the industry players were only able to deliver 250,000 new residential units in 2016.
OSHDP chair George Richard Siton believes that if the administration can address the problems in the
housing industry from the permits, technical, and financial aspects, the housing industry can easily double
the production. Also on Friday, developers held the ceremonial handover of issues and recommendations
of the housing sector to Housing and Urban Development Coordinating Council (HUDCC) chair Leoncio
Evasco Jr. at the Golden Prince Hotel in Cebu City. For his part, Evasco said he will convene the six
shelter agencies within the month to discuss the issue. These agencies include the Home Development
Mutual Fund (Pagibig Fund), Home Guarantee Corp. (HGC), Housing and Land Use Regulatory Board
(HLURB), National Housing Authority (NHA), National Home Mortgage and Finance Corp. and the Social
Housing Finance Corp. (SHFC).

Read more: http://www.sunstar.com.ph/cebu/business/2017/02/13/construction-boom-ph-continue-525616
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