IRR of PD 957: The Subdivision & Condominium Buyers Protective Decree

HLURB RESOLUTION NO. R-578 s. 1995
AMENDING THE RULES IMPLEMENTING THE SUBDIVISION AND CONDOMINIUM BUYER'S PROTECTIVE DECREE AND OTHER RELATED LAWS

WHEREAS, the Housing and Land Use Regulatory Board is vested with rule-making and standard setting functions under Executive Order No. 648, s. 1981 as amended by Executive Order No. 90, s. 1986.

WHEREAS, the powers of the Housing and Land Use Regulatory Board to approve subdivision plans has been devolved to cities and municipalities pursuant to RA 7160, yet EO 71, s. 1993 stipulates that the exercise of such devolved powers shall be in accordance with the implementing rules and standards of PD 957 and other related laws as promulgated by HLURB;

WHEREAS, there is an apparent need to simplify the existing rules and standards to provide an easier reference for Local Government Units in processing subdivision plans and to encourage more active participation from the private sector; and

WHEREAS, there is an urgency to harmonize rules and standards with emergent development needs and trends, and concomitant policies and programs;

WHEREFORE, be it RESOLVED as it is hereby RESOLVED that the Rules Implementing the Subdivision and Condominium Buyers Protective Decree and Other Related Laws be revised as follows:


RULE I
Approval of Subdivision Plan


SECTION 1. Application for Approval of Subdivision Plan. —

Every registered owner or developer of a parcel of land who wishes to convert the same into a subdivision project shall apply with the [Commission] BOARD for the approval of the subdivision plan by filing [in quadruplicate] the following:

A. Approval of Preliminary Development Plan

1. AT LEAST TWO (2) SETS OF THE FOLLOWING DOCUMENTS DULY SIGNED BY LICENSED ARCHITECT/ENGINEER:

a. Site Development Plan SCHEMATIC PLAN) [signed by a licensed architect/planner or engineer planner] at a scale ranging from one is to one thousand (1:1,000) to one is to five thousand (1:5,000) showing the proposed layout of streets, lots and other features in relation to existing conditions.

b. VICINITY MAP INDICATING THE ADJOINING LAND USES, ACCESS AS WELL AS EXISTING FACILITIES AND UTILITIES AT LEAST WITHIN ONE HUNDRED (100) METERS FROM THE PROPERTY BOUNDARIES OF THE PROJECT, DRAWN TO SCALE.

c. SURVEY PLAN OF THE LOT(S) AS DESCRIBED IN TCT(S).

2. AT LEAST TWO (2) COPIES OF CERTIFIED TRUE COPY OF TITLE(S) AND CURRENT TAX RECEIPT.

3. IF THE LAND IS AN AGRICULTURAL LAND, SECURE CONVERSION AND/OR EXEMPTION CLEARANCE FROM DEPARTMENT OF AGRARIAN REFORM (DAR).

4. RIGHT TO USE OR DEED OF SALE OF RIGHT-OF-WAY FOR ACCESS ROAD AND OTHER UTILITIES WHEN APPLICABLE.

Approval of the preliminary subdivision plan will be valid only for a period of one hundred eighty (180) days from date of approval.

B. Approval of Final Subdivision Plan

1. [Final] APPROVED Subdivision Plan BY THE LOCAL GOVERNMENT UNIT (LGU) [duly signed by a licensed architect planner or engineer planner] consisting of the site development plan at any of the following scales: one is to one thousand (1:1,000); one is to two thousand (1:2,000); or any scale not exceeding one is to five thousand (1:5,000); showing all proposals including the following:

a. Roads, easements or right-of-way and roadway width, alignment, gradient, and similar data for alloys, if any.

b. Lot numbers, lines and areas and block numbers.

c. Site data SUCH AS number of residential [or] AND saleable lots, typical lot size and open spaces; AND,

d. A scheme for tree planting

2. CIVIL WORKING DESIGN

ENGINEERING PLANS/CONSTRUCTION DRAWINGS BASED ON APPLICABLE ENGINEERS CODE AND DESIGN CRITERIA IN ACCORDANCE WITH THE FOLLOWING:

a. AT LEAST TWO (2) COPIES OF ROAD (GEOMETRIC AND STRUCTURAL) DESIGN/PLAN.

(1) PROFILE SHOWING THE VERTICAL CONTROL, DESIGNED GRADE, CURVE ELEMENTS AND ALL INFORMATION NEEDED FOR CONSTRUCTION.

(2) TYPICAL ROADWAY SECTIONS SHOWING RELATIVE DIMENSIONS AND SLOPES OF PAVEMENT, GUTTERS, SIDEWALKS, SHOULDERS, BENCHING AND OTHERS.

(3) DETAILS OF ROADWAY SHOWING THE REQUIRED THICKNESS OF PAVEMENT, SUB-GRADE TREATMENT AND SUB-BASE ON THE DESIGN ANALYSIS.

4. DETAILS OF ROADWAY AND MISCELLANEOUS STRUCTURE SUCH AS CURB AND GUTTER (BARRIER, MOUNTABLE AND DROP), SLOPE PROTECTION WALL AND RETAINING WALL.

b. AT LEAST TWO (2) COPIES OF STORM DRAINAGE AND SEWER SYSTEM

(1) PROFILE SHOWING THE HYDRAULIC GRADIENTS AND PROPERTIES OF THE MAIN LINES INCLUDING STRUCTURES IN RELATION WITH THE ROAD GRADE LINE.

(2) DETAILS OF DRAINAGE AND MISCELLANEOUS STRUCTURES SUCH AS VARIOUS TYPES OF MANHOLES, CATCH BASINS, INLETS (CURB, GUTTER, AND DROP), CULVERTS AND CHANNEL LININGS.

c. AT LEAST TWO (2) COPIES OF SITE GRADING
PLANS WITH THE FINISHED CONTOUR LINES SUPERIMPOSED ON THE EXISTING GROUND THE LIMITS OF EARTH WORK
EMBANKMENT SLOPES, CUT SLOPES, SURFACE DRAINAGE, DRAINAGE OUTFALLS AND OTHERS.

d. AT LEAST TWO (3) COPIES OF WATER SYSTEM LAYOUT AND DETAILS

3. Topographic Plan to include existing conditions as follows:

a. Boundary Lines: bearings and distances;

b. Streets and easements, right of way width and elevation on and adjacent to the subdivision;

c. Utilities on and adjacent to the subdivision location, size and invert elevation of sanitary storm and combined sewers; location of gas lines, fire hydrants, electric and telephone poles and street lights. If water mains and sewers are not on/adjacent to the subdivision, indicate the direction and distance, to and size of nearest one, showing invert elevation of sewers.

d. Grounds elevation of the subdivision: for ground that slopes less than two percent (2%), indicate spot elevation at all breaks in grade, along all drainage channels and at selected points not more than thirty (30) meters apart in all directions for ground that slopes more than two percent (2%), either indicate contours with an interval of not more than one half (0.5) meter if necessary due to irregular land or need for more detailed preparation of plan and construction drawings.

e. Other conditions on the land: water courses, marshes, rock and wooded areas, isolated preservable trees 0.3 meter or more in diameter, houses, barns, shacks, and other significant features.

f. Proposed public improvements: highways or other major improvements planned by public authorities for future construction on or near the subdivision.

g. Department of Agrarian Reform conversion [approval] CLEARANCE AUTHORIZING A CHANGE IN USE [of tenanted rice and corn lands] from agricultural to [residential use] NON-AGRICULTURAL, WHERE APPLICABLE.

4. AT LEAST TWO (2) COPIES OF PROJECT STUDY FOR PROJECTS HAVING AN AREA OF ONE (1) HECTARE AND ABOVE WITH THE FOLLOWING FINANCIAL ATTACHMENTS:

a. AUDITED ASSETS AND LIABILITIES/INCOME STATEMENT

b. INCOME TAX RETURN (FOR AT LEAST 3 YEARS)

c. CERTIFICATE OF REGISTRATION WITH SECURITIES AND EXCHANGE COMMISSION (SEC)

d. ARTICLES OF INCORPORATION OR PARTNERSHIP

e. CORPORATION BY-LAWS AND ALL IMPLEMENTING AMENDMENTS

5. SPECIFICATION, BILL OF MATERIALS AND COST ESTIMATE

6. Project [Study] PROFILE indicating raw lands and development costs, total project costs, amortization schedule, sources of financing, marketability, cash flow, housing scheme, if any, and work program.

7. Certified true copy of [Title and] Tax Declaration COVERING THE PROPERTY(IES) SUBJECT OF THE APPLICATION FOR THE YEAR IMMEDIATELY PRECEDING. [or other evidence of ownership or intent to sell and authority to develop signed by the owner.]

8. Permit [for operation] TO OPERATE [of] A deepwell FROM NATIONAL WATER RESOURCES BOARD (NWRB) and a water RESISTIVITY test [if and when necessary, from the appropriate government agency]. (THIS APPLIES ONLY TO INSTANCES WHEN THE SUBDIVISION APPROVAL INCLUDES THE PROVISION OF WATER SUPPLY BY THE OWNER-DEVELOPER). WATER POTABILITY TEST RESULTS.

If the [application for] ESTABLISHMENT OF THE subdivision project is feasible and economically viable and does not run counter to the [general land use pattern and development, plans of the government, and the plan complies with the] APPROVED zoning AND LAND USE PLAN [ordinance] of the city or municipality AND THE PLAN COMPLIES [where it is situated and] with these Rules, the subdivision plan shall be approved and a development permit shall be issued upon payment of the prescribed processing fee WITH A STIPULATED CONDITION THAT AN ENVIRONMENTAL COMPLIANCE CERTIFICATE. (ECC) SHALL BE SECURED PRIOR TO ACTUAL DEVELOPMENT [and under such condition as may be imposed by the Commission]. A final approval/development permit shall be valid for a period of one (1) year from date of issue.

The owner or developer shall execute the necessary surveys of the project and prepare the survey returns with technical description and computations to be submitted together and in accordance with the approved subdivision plan, to the Land Management Bureau (LMB) for verification and approval; pursuant to Section 50 of PD 1529 (Property Registration Decree) AND SECTIONS 4 & 5 OF PD 957.


RULE II
Approval of Condominium Plan

SECTION 2. Application for Approval of Condominium Plan. —

Any registered owner or developer of a parcel of land who wishes to develop the same into a condominium project shall apply with the [Commission] BOARD by filing [in quadruplicate] the following:

I. Approval of Preliminary Plan

A. AT LEAST TWO (2) SETS OF Architectural Plan showing the site development plans, ground and floor plans, sections and elevations.

Filing of applications for approval of preliminary plan of a condominium shall be optional. Preliminary approval of such a plan shall be valid for a period of one hundred eighty (180) days.

II. Approval of Final Plan

A. AT LEAST TWO (2) SETS OF Condominium Plan duly signed by a licensed architect and/or engineer consisting of the following documents;

1. Architectural plan containing: site development plan; ground and other floor plan(s); sections and elevations.

2. Building specifications and estimated cost.

B. Project Study indicating among others, the development cost, total project cost, amortization schedules, sources of financing, marketability, cash flow and project time table/completion.

If the establishment of the condominium project is feasible and economically viable, and does not run counter to the approved zoning and land use plan of the city or municipality and the plan complies with these Rules, the condominium plan shall be approved AND A DEVELOPMENT PERMIT SHALL BE ISSUED upon payment of the prescribed processing fee WITH A STIPULATED CONDITION THAT AN ENVIRONMENTAL COMPLIANCE CERTIFICATE (ECC) SHALL BE SECURED PRIOR TO ACTUAL DEVELOPMENT. [and under such conditions as may be imposed: by the Commission]. A FINAL APPROVAL/DEVELOPMENT PERMIT SHALL BE VALID FOR A PERIOD OF ONE (1) YEAR FROM DATE OF ISSUE.

[Thereafter,] The owner or developer shall submit the condominium plan to the Building Official in accordance with the requirements of the National Building Code, of the city, municipality or province where the property lies and the same shall be acted upon subject to the conditions and in accordance with the procedure prescribed in Section 4 of the Condominium Act (R.A. No. 4726).


RULE III
Registration and Licensing of Subdivision and Condominium Projects


SECTION 3. Application for Registration. —

The owner or the real estate dealer interested in "the sale of lots or units in a subdivision project or condominium project, respectively, shall register the project with the [Commission] BOARD by filing a sworn registration statement containing the following information:

a. HLRB FORM 001 FOR CORPORATION

b. HLRB FORM 003 FOR SINGLE PROPRIETORSHIP

The following documents shall be attached to the registration statement:

a. [Copy of] Transfer Certificate of Title (TCT) OR ORIGINAL CERTIFICATE OF TITLE (OCT) DULY STAMPED WITH ORIGINAL MARKING "CERTIFIED TRUE COPY" BY THE PROPER REGISTER OF DEEDS AND BEARING ITS SEAL OR SECURITY MARKER. [in the name of the applicant it none was submitted in application for plan approval;]

a.1 WHEN PROJECT COVERS MORE THAN 20 INDIVIDUAL TITLES WITHOUT THE REQUIRED MARKS DESCRIBED ABOVE:

a.1.1 PHOTOCOPY OF TCTs

a.1.2 CERTIFICATION FROM THE REGISTER OF DEEDS CONCERNED WITH ITS SEAL OR SECURITY MARK GIVING THE FOLLOWING INFORMATION:

(a) TCT OR OCT NUMBERS;

(b) NAME OF ALL REGISTERED OWNER(S) AND THEIR SHARING, IF ANY;

(c) AREA COVERED BY EACH TITLE;

(d) NUMBER OF OCT OR TCT FROM WHICH THE TITLE IS DERIVED;

(e) STATEMENT OF ALL UNCANCELLED LIENS AND ENCUMBRANCES, IF ANY;

(f) LOT AND BLOCK NUMBERS AS WELL AS PSD, PSU, PCS, ETC. NUMBER.

a.2 WHEN CERTIFIED COPY OF THE TCTs WAS ISSUED MORE THAN ONE MONTH AGO BASED ON THE APPLICATION FOR CERTIFICATE OF REGISTRATION (CR), affidavit of the owner that the property is free from liens and encumbrances. [except legal easements and restrictions:] WHEN THE APPLICANT IS NOT THE OWNER, DEED FROM THE REGISTERED OWNER SHOWING CLEARLY THE AUTHORITY OF THE APPLICANT TO THE PROPERTY, E.G., ITS DEVELOPMENT AND SALE OF INDIVIDUAL LOTS OR UNITS; TO SIGN AND RECEIVE DOCUMENTS; AND, OTHER RELEVANT AUTHORITY. Provided however, that in case the subdivision/condominium project or portion thereof is mortgaged, [there is an] AFFIDAVIT OF undertaking TO SUBMIT TITLE; CERTIFICATION FROM [by] the mortgagee REGARDING OUTSTANDING BALANCE OF LOAN AND AMORTIZATION SCHEDULE; MORTGAGE OF CONTRACT; AND, AFFIDAVIT OF UNDERTAKING OF MORTGAGOR. [to release the mortgage on any subdivision lot or condominium unit as soon as the full purchase price for the same is paid by the buyer;]

b. DULY AUDITED BALANCED SHEET (CERTIFIED COPY OF THE ORIGINAL) ISSUED AND SIGNED BY THE AUTHORIZED OFFICIAL OF THE APPLICANT AND UNDER THE LATTER'S AUTHORITY.

b.1 WHEN INDIVIDUAL PERSONS ARE INVOLVED AND NO BALANCE SHEET CAN BE SUBMITTED, INCOME TAX RETURNS FOR THE PRECEDING YEAR DULY RECEIVED BY BIR OFFICE AND TAX RECEIPTS EVIDENCING PAYMENT.

b.2 WHEN APPLICANT IS A NEW CORPORATION, PARTNERSHIP, ASSOCIATION OR SINGLE PROPRIETORSHIP, I.E. NO FINANCIAL STATEMENT OR INCOME TAX RETURN HAS BEEN PREPARED YET, SWORN STATEMENT DECLARING:

b.2.1 OTHER ASSETS OR SOURCES OF FUNDS AND OTHER RESOURCES;

b.2.2 THE NATURE OF CONTROL OR OWNERSHIP OVER SUCH ASSETS, FUNDS OR RESOURCES;

b.2.3 COMMITMENT TO THE EFFECT THAT, IF NECESSARY, THE SAME SHALL BE USED TO COMPLETE THE PROJECT.

c. Articles of Incorporation (or [Articles] of Partnership or Association), [as the case may be with all the] amendments thereof and existing by-laws (OR ITS EQUIVALENT) CLEARLY INDICATING THE AUTHORITY OF THE APPLICANT TO ENGAGE IN REAL ESTATE TRADE PARTICULARLY IN THE DEVELOPMENT AND SELLING OF LOTS OR UNITS. [or instruments corresponding thereto and a copy of latest annual corporate report to the Securities and Exchange Commission, including a copy of the latest financial statements showing the amount and general character of its assets and liabilities certified by a certified public accountant;] WHEN AN APPLICANT DEVIATES FROM THE INTENDED LINE OF BUSINESS STIPULATED IN ITS ARTICLES OF INCORPORATION (OR PARTNERSHIP OR ASSOCIATION), AUTHORIZATION FROM THE SECURITIES AND EXCHANGE COMMISSION (SEC) AND/OR THE APPROPRIATE GOVERNMENT AGENCY TO ENGAGE IN THE DEVELOPMENT AND SELLING OF THE SUBJECT PROJECT.

d. A copy of any circular, prospectus, brochure, advertisement, [letter] or communication USED/to be used for [the] public-offering of SUBJECT PROJECT [the subdivision lots or condominium units;] and FOR CIRCULATION UPON APPROVAL BY THIS BOARD:.

e. SAMPLE Copy [of form] of Contract TO SELL to be used in the PUBLIC OFFERING [sale] of lots, UNITS or LOTS AND units. WHEN AMENDMENTS SHALL BE AFFECTED ON THE FORM CONTRACT SUBMITTED FOR NOTIFICATION/APPROVAL BY HLRB, PRO FORMA AFFIDAVIT SIGNIFYING WILLINGNESS TO CHANGE NAME.

f. ENVIRONMENTAL COMPLIANCE CERTIFICATE (ECC)/CERTIFICATE OF EXEMPTION (CE) DULY CERTIFIED BY THE DEPARTMENT OF ENVIRONMENT AND NATURAL RESOURCES (DENR) (ECC IS STIPULATED AS A CONDITION IN THE ISSUANCE OF A DEVELOPMENT PERMIT; I.E., DEVELOPERS MAY NOT COMMENCE DEVELOPMENT UNTIL AN ECC IS SECURED FROM DENR)

g. PROOF OF COMPLIANCE TO SECTION 18 OF RA 7279.

h. For subdivision projects, [the] approved/VERIFIED SURVEY plan (2 COPIES) [as verified by the Bureau of Lands] WITH LABEL FOR ALL NON-SALEABLE AREAS INCLUDING BUT NOT LIMITED TO:

h.1. PARKS AND PLAYGROUNDS,

h.2 COMMUNITY FACILITIES

h.3 RIGHT OF WAY FOR ROADS AND DRAINAGE EASEMENTS,

h.4 ROAD LOTS AND DELINEATION OR PHASES, IF ANY.

i. For condominium projects, [all plans registered with the Register of Deeds including the] Master Deeds [and the] WITH DECLARATION OF REGISTRATION AND Declaration of Restrictions EVIDENCED BY THE PROPER ANNOTATION THEREOF IN THE TITLE(S) OF THE PROPERTY; CERTIFIED TRUE COPY OF SUCH TITLE(S) FROM THE REGISTER OF DEEDS AND BUILDING PERMIT FROM CONCERNED LOCAL GOVERNMENT UNIT (AS STIPULATED CONDITION IN THE ISSUANCE OF DEVELOPMENT PERMIT).

j. SANGGUNIANG RESOLUTION/ORDINANCE APPROVING THE SUBDIVISION PLAN OR DEVELOPMENT PERMIT OR ITS EQUIVALENT CONTAINING THE FOLLOWING INFORMATION WHEN THE SUBDIVISION APPROVAL IS MADE BY A LOCAL GOVERNMENT PURSUANT TO THE 1991 LOCAL GOVERNMENT CODE AND RELATED ISSUANCES:

j.1 FULL NAME OF THE GRANTEE OR PERMITTEE AND HIS ADDRESS;

j.2 COMPLETE PROJECT NAME AND ITS LOCATION;

j.3 DATE OF THE RESOLUTION OR ORDINANCE;

j.4 PROJECT AREA;

j.5 FULL LISTING OF TITLE(S) COVERING THE PROJECT;

j.6 LEGAL BASIS OF THE APPROVAL (PD 957, BP 220 AND EO 648 OR OTHER LAWS);

j.7 COVERAGE OR NON-COVERAGE BY RA 7279; AND

j.8 MAXIMUM SELLING PRICE FOR BP 220 PROJECTS.

NOTE: WHEN IN ADDITION TO OR IN LIEU OF THE SANGGUNIANG RESOLUTION OR ORDINANCE ABOVE-DESCRIBED, THERE IS A DEVELOPMENT PERMIT OR SUBDIVISION APPROVAL OR OTHER ISSUANCE WHICH LIKEWISE EVIDENCES THE APPROVAL BY THE LOCAL GOVERNMENT OF THE SUBDIVISION SCHEME, AND THE SAME IS BEING SUBMITTED, IT MUST BE ANY ORIGINAL COPY OR ONE CERTIFIED AS TRUE COPY THEREOF BY THE AUTHORIZED LOCAL GOVERNMENT OFFICIAL, INDICATING CLEARLY HIS FULL NAME AND POSITION AND THE DATE OF APPROVAL. IT MUST CONTAIN THE SAME DATA AS ABOVE DESCRIBED. MOST IMPORTANT OF ALL, IT MUST BEAR AN INDICATION OF SANGGUNIAN APPROVAL SUCH AS BUT NOT LIMITED TO WORDS LIKE "APPROVED BY AUTHORITY OF THE SANGGUNIAN" OR OTHERS OF SIMILAR IMPORT, IT BEING UNDERSTOOD THAT THE SANGGUNIAN HAS PROPERLY ISSUED SUCH AUTHORITY.

THE OWNER OR THE REAL ESTATE DEALER INTERESTED IN THE SALE OF LOTS OR UNITS IN A SUBDIVISION OR CONDOMINIUM PROJECT SHALL APPLY WITH THE BOARD FOR A LICENSE TO SELL BY SUBMITTING THE FOLLOWING:

a. PROGRAM OF DEVELOPMENT (BAR CHART, GHANT CHART, PERT-CPM, ETC.) SIGNED AND SEALED BY THE PROJECT ENGINEER OR MANAGER WITH APPROVAL THEREOF BY THE APPLICANT FOR LICENSE TO SELL INDICATING:

a.1 WORK ACTIVITIES/ASPECTS OF THE PROJECTS;

a.2 TIMEFRAME OF ACTIVITIES (SPECIFIC STARTING AND COMPLETION TIMES (DAY/MONTH/YEAR) FOR EACH ACTIVITY).

b. AFFIDAVIT TO SUBMIT PROOF OF EXISTENCE OF TCTs/CCTs OF INDIVIDUAL SALEABLE LOTS OR UNITS. AND CERTIFIED TRUE COPY OF TITLES OF COMMON AREAS WHEREBY THE AFFIANT COMMITS TO DO WITHIN A DEFINITE PERIOD (TO BE SPECIFIED BY HIM SUBJECT TO APPROVAL BY THE BOARD) FROM THE TIME OF ISSUANCE OF THE LICENSE, THE FOLLOWING:

b.1 TO CAUSE THE SEGREGATION OF THE INDIVIDUAL TITLES FOR ALL LOTS OR UNITS WITHIN THE PROJECT;

b.2 TO SUBMIT A CERTIFIED TRUE COPY OF THE TITLE TO SALEABLE LOTS OR UNITS ONLY WHEN REQUIRED BY THE BOARD;

b.3 TO SUBMIT PROOF THAT TITLES TO THE SALEABLE LOTS OR UNITS HAVE BEEN ISSUED, WHICH PROOF MAY INCLUDE A CERTIFICATION BY THE PROPER REGISTER OF DEEDS ENUMERATING DATA SIMILAR TO THOSE REQUIRED UNDER THE REQUIREMENT FOR CERTIFICATE OF REGISTRATION.

b.4 TO ACTUALLY SUBMIT A CERTIFIED TRUE COPY OF TITLE OF THE COMMON AREAS, WHICH TITLE SHALL EXPRESSLY INDICATE THE KIND OF COMMON USE APPROVED THEREFOR, ON OR BEFORE A DEFINITE DATE (TO BE SPECIFIED BY APPLICANT SUBJECT TO APPROVAL BY THE BOARD).

SECTION 4. Certificate of Registration. —

Upon finding that the project may be registered in accordance with the provisions of the Decree and these Rules the [Commission], BOARD shall cause to be published at the expense of the applicant a notice of the filing of the registration statement in two (2) newspapers of general circulations, one published in English and another in Pilipino, once a week for two (2) consecutive weeks, reciting that a registration statement for the sale of subdivision lots or condominium units has been filed with the [Commission] BOARD and that the aforesaid registration statement as well as the papers attached thereto, are open to inspection during business hours by interested parties.

After two (2) weeks from the completion of the publication and upon submission of the affidavit of publications, the [Commission] BOARD shall in the absence of any impediment issue a Certificate of Registration upon payment of the prescribed fees.

SECTION 5. License to Sell. —

No owner or dealer shall sell any disposable subdivision lot or condominium unit in the registered project without a license to sell issued by the [Commission] BOARD.

Upon proper application therefor, submission of the required work program, performance bond and payment of the prescribed license fee by the owner or dealer, the [Commission] BOARD shall issue to him a license to sell the lot or unit in the project or portion thereof covered by the performance bond if the [Commission] BOARD is convinced that he is of good repute, his business is financially stable, and the proposed sale of the subdivision lot or condominium unit to the public is not fraudulent.

SECTION 6. Performance Bond. —

The performance bond required under Sec. 6 of the decree may be in any of the following forms: (PER RES. NO. R-500, S. 1991)

a. A surety bond amounting to twenty percent (20%) of the development cost issued by a duly accredited bonding company and acceptable to the Board. It shall contain a clause stating among others that it shall remain in full force and effect unless it is ordered cancelled or released by the Board; OR,

b. Real Estate Mortgage to be executed by the applicant as mortgagor in favor of the Republic of the Philippines as mortgagee, the latter as represented by and acting through the HLRB, over a property other than that subject of the application, free from any liens and encumbrance and provided, that the value of the property, computed on the basis of the zonal valuation schedule of the Bureau of Internal Revenue, shall be at least twenty percent (20%) of the total development cost; OR,

c. Cash bond equivalent to ten percent (10%) of the development cost which may be in the form of the following:

1. Fiduciary deposit made with the cashier and/or disbursing officer of the Board;

2. A certificate of guaranty deposit issued by any bank or financing institution of good standing in favor of the Board.

3. A letter from any bank of recognized standing certifying that so much has been set aside from the bank account of the applicant in favor of the Board which amount may be withdrawn by the Chief Executive Officer of the Board or by his duly authorized representative, at any time the principal fails or refuses to comply with his duties and obligations under the bond contract;

4. Any irrevocable credit line to be utilized in the development of the project from any bank of recognized standing and a refinancing re-structuring program indicating sources of funding from duly accredited funding institutions.

For pre-existing projects any of the forms of performance bond enumerated above may be availed of.


RULE IV
Registration of Real Estate Dealers, Brokers and Salesmen


SECTION 7. Application for Registration of Dealers, Brokers and Salesmen. —

No dealer, broker or salesman shall engage in the business of selling subdivision lots or condominium units without securing a certificate of registration by filing with the [Commission] BOARD a registration statement [in quadruplicate] containing the following information:

a. Name, age and address

b. If a corporation, partnership, or association, its office, address and branch offices and the names and addresses of its executive officers and directors.

c. Statement that applicant is qualified to act as real estate broker or salesman pursuant to law.

d. If applicant is a salesman, the name and address of the dealer or broker who employs him, attaching a copy of appointment.

e. If the applicant is a broker, the names and addresses of salesmen employed by him.

SECTION 8. Certificate of Registration. —

If the [Commission] BOARD shall find that the applicant is of good repute and has filed the required bond, he shall register the applicant and issue to him a Certificate of Registration, upon the payment of the prescribed registration fee.

The Certificate of Registration shall expire on the thirty-first day of December of each year; provided further, that the Certificate of Registration issued for the current year 1995 shall expire on the 31st day of December 1995.

The Certificate of Registration of a salesman shall be cancelled upon the termination of his employment with a dealer or broker. The dealer or broker shall notify in writing the [Commission] BOARD of such termination, otherwise he shall be liable for acts committed by the salesman prior to the receipt of the notification by the [Commission] BOARD, the salesman shall surrender to the [Commission] BOARD for cancellation of his Certificate of Registration within fifteen (15) days from the date of his employment is terminated.

SECTION 9. Bonds. —

The Bond required under Section 11 of the Decree may be either a cash or a surety bond issued by a duly accredited bonding company. The bond shall contain a clause stating among others that it shall remain in full force and effect unless it is ordered, cancelled or released by the [Commission] BOARD. The bond shall be executed in favor of the [Human Settlements Regulatory Commission] HOUSING AND LAND USE REGULATORY BOARD conditioned upon the faithful and honest discharge by the applicant, as well as the salesman working under a broker or dealer, of their duties and shall further provide that upon failure to discharge those duties, the applicant shall be liable on the bond to any and all persons who may suffer loss by reason of such failure. The amount of the bond shall be Five Thousand Pesos (P5,000) for Dealers/Brokers and One Thousand Pesos (P1,000) for Salesmen. These bonds shall no longer be required if equivalent bonds or securities have already been posted by applicants for the same purpose with other government agencies pursuant to law.

A dealer, broker or salesman may apply in writing with the [Commission] BOARD for the cancellation and release of this bond stating therein his reasons. In appropriate cases the [Commission] BOARD may require the applicant to cause the publication of a notice therefor at the latter's expense in a newspaper of general circulation stating among others, the fact of such application. The proof of publication shall be submitted to the [Commission] BOARD. Any person, having any claim for money or property against the dealer; broker or salesman in his real estate service or practice, must file his claim with the [Commission] BOARD within fifteen (15) days from the date of publication. If the reason for the cancellation of the bond is his cessation from further engaging in the business of selling subdivision lots or condominium units, the dealer, broker or salesman shall surrender his certificate of registration to the [Commission] BOARD and his name shall be cancelled from the Register of Dealers, Brokers and Salesmen.


RULE V
Minimum Design Standards


SECTION 10. Design Standards for Subdivision. —

Residential subdivision PROJECTS [are classified into simple and complex subdivisions. Complex subdivisions are further categorized into Models A, B, and C], shall conform with these DESIGN STANDARDS; applicable zoning ordinances; AND [the] pertinent provisions of the National Building Code [and its implementing rules] for PROJECTS WITH HOUSING COMPONENT [applicable laws and rules affecting roads and related services] and the following design standards:

A. General Provisions

1. Site Criteria

1.1 CONFORMITY WITH ZONING ORDINANCE/LAND USE PLAN. —

Subdivision projects shall be located in RESIDENTIAL ZONES [areas classified as] or OTHER AREAS appropriate for residential uses. [The sites thereof must be accessible from and served by access road to public transportation lines and preferably proximate to basic utilities of services such as water supply, drainage and sewerage system and power supply]. IF THERE IS NO ZONING ORDINANCE OR LAND USE PLAN, THE DOMINANT LAND USE PRINCIPLE AND SITE SUITABILITY FACTORS CITED HEREIN SHALL BE USED IN DETERMINING SUITABILITY OF A PROJECT.

(As a rule the design standards applicable to a particular subdivision project shall be in accordance with the level of development of the locality where it may be situated.]

SUBDIVISION PROJECTS SUPPORTIVE OF OTHER MAJOR URBAN ACTIVITIES (E.G. HOUSING FOR INDUSTRIAL WORKERS) MAY BE ALLOWED.

1.2 PHYSICAL SUITABILITY. —

SUBDIVISION SHALL BE LOCATED WITHIN SUITABLE SITES FOR HOUSING AND OUTSIDE POTENTIAL HAZARD PRONE AREAS, PROTECTION AREAS AND CRITICAL AREAS (E.G. AREAS SUBJECT TO FLOODING, LANDSLIDES AND UNSTABLE SOIL) MUST BE AVOIDED.

THE SITE SHALL BE STABLE ENOUGH TO ACCOMMODATE FOUNDATION LOAD WITHOUT EXCESSIVE EARTHMOVING, GRADING OR CUT AND FILL.

1.3 ACCESSIBILITY. —

THE SITE MUST BE SERVED BY A ROAD THAT IS READILY ACCESSIBLE TO PUBLIC TRANSPORTATION LINES. SAID ACCESS ROAD SHALL CONFORM TO THE STANDARDS SET HEREIN OF THESE RULES TO ACCOMMODATE EXPECTED DEMAND CAUSED BY THE DEVELOPMENT AREA. IN NO CASE SHALL A SUBDIVISION PROJECTS APPROVED WITHOUT NECESSARY ACCESS ROAD/RIGHT-OF-WAY, SAID ACCESS/RIGHT-OF-WAY MAY EITHER BE CONSTRUCTED BY THE DEVELOPER OR THE LOCAL GOVERNMENT UNIT.

1.4 AVAILABILITY OF COMMUNITY FACILITIES AND PUBLIC UTILITIES. —

WHERE APPROPRIATE AND PRACTICABLE, BASIC COMMUNITY FACILITIES AND PUBLIC UTILITIES SHALL BE AVAILABLE WITHIN TWO KILOMETERS (2.0 KM.) RADIUS.

2. [Design and] Planning Considerations

2.1 AREA PLANNING. —

Planning and designing of subdivision projects shall take into account THE SAFETY AND GENERAL WELFARE OF THE WOULD-BE OCCUPANTS; adequate, SAFE, efficient and integrative road circulation system servicing every lot therein; judicious allocation of uses for diversity and amenity; PROPER preservation AND ALTERATION OF site; proper siting or orientation of lots; blending with existing and proposed development in the vicinity; and application of workable design principles or parameters for a well planned and self-sustaining environment.

WHEN A DEVELOPER OR PLANNER SUBMITS A PUD (PLANNED UNIT DEVELOPMENT) TYPE OF DEVELOPMENT, THE LAYOUT SHALL LIKEWISE CONFORM TO THE STANDARDS FOR RESIDENTIAL/CONDOMINIUM PROJECTS.

a. LAND ALLOCATION. —

LAND SHALL BE JUDICIOUSLY ALLOCATED FOR THE VARIOUS REQUIRED FACILITIES AND AMENITIES AS SPECIFIED IN THESE STANDARDS. ALLOCATION SHALL BE BASED. ON THE TOTAL AREA OF DEVELOPMENT AND SHALL ENSURE A BALANCED USE OF LAND.

b. DENSITY. —

DENSITY OF SUBDIVISION PROJECTS SHALL CONFORM WITH THE RESIDENTIAL DENSITIES SETFORTH IN THE ZONING ORDINANCE OF THE MUNICIPALITY WHERE PROJECT IS LOCATED. WHERE THERE IS A MIXTURE, OF HOUSING TYPES WITHIN THE SUBDIVISION (SUCH AS SINGLE-DETACHED, ROW HOUSE, TOWN HOUSES, ETC.) DENSITY, SHALL INCLUDE THE TOTAL NUMBER OF DWELLING UNITS IN MULTI-STOREY STRUCTURE PLUS THE TOTAL NUMBER OF LOTS INTENDED FOR SINGLE AND SEMI-DETACHED HOUSES.

c. OPEN SPACES SHALL CONFORM WITH THE PROVISIONS OF P.D. 1216 AND ITS IMPLEMENTING RULES (AS PER CPR NO. R-346 DATED 08 OCTOBER 1986) AND SHALL INCLUDE THE FOLLOWING:

c.1. STREETS —

ADEQUATE AND SAFE MEANS OF VEHICULAR AND PEDESTRIAN CIRCULATION AND EASEMENTS FOR UTILITIES AND PLANTING STRIPS, SHALL BE PROVIDED FOR IN EVERY SUBDIVISION.

c.2. WALKS/ALLEYS —

PAVED WALKS SHALL BE PROVIDED TO THE LIVING UNITS FROM STREETS, PARKING SPACES AND FROM LIVING UNITS TO PLAY AREAS.

c.3. PARKS AND PLAYGROUND —

SUITABLE RECREATIONAL AREA(S). SHALL BE ALLOCATED WITHIN THE SUBDIVISION. WHERE APPLICABLE, A HIERARCHY OF SUCH RECREATIONAL AREAS MAY BE PROVIDED FOR, SUCH AS, A CENTRALLY LOCATED MAIN PARK AREA IS SUPPLEMENTED OR COMPLEMENTED BY ONE OR MORE SMALLER POCKET(S) OR AREAS FOR RECREATIONAL USE. THESE AREA MUST BE ACCESSIBLE TO LIVING UNITS AND FREE FROM ANY FORM OF HAZARD OR RISK. SAID PARKS AND PLAYGROUND SHALL BE CLEARED AND FREE FROM ANY DEBRIS. PARKS AND PLAYGROUND AS MUCH AS POSSIBLE SHALL BE AT STREET LEVEL.


2.2 SITE PRESERVATION/ALTERATION

a. SLOPE

THE FINISHED GRADE SHALL HAVE A DESIRED SLOPE TO ALLOW RAIN WATER TO BE CHANNELED INTO STREET DRAINS. WHERE CUT AND FILL IS NECESSARY AN APPROPRIATE GRADE SHALL BE ATTAINED TO PREVENT ANY DEPRESSION IN THE AREA.

GRADING AND DITCHING SHALL BE EXECUTED IN A MANNER THAT WILL PREVENT EROSION OR FLOODING OF ADJOINING PROPERTIES.

b. PRESERVATION OF SITE ASSETS

SUITABLE TREES WITH A DIAMETER OF THIRTY CENTIMETER OR MORE, SHRUBS AND DESIRABLE GROUND COVER SHALL BE PRESERVED. WHERE A GOOD QUALITY TOP SOIL EXISTS IN THE SITE IT SHALL NOT BE REMOVED AND SHALL BE PRESERVED FOR FINISHING GRADES OF YARDS, PLAYGROUNDS, PARKS AND GARDEN AREA.

c. GROUND COVER

GRASS, SHRUBS, PLANTS AND OTHER LANDSCAPING MATERIALS USED FOR GROUND COVER SHALL BE OF VARIETY APPROPRIATE FOR ITS INTENDED USE AND LOCATION. THEY SHALL BE SO PLANTED AS TO ALLOW COMPLETE AND PERMANENT COVERAGE OF THE AREA.

2.3. CIRCULATION

DEPENDING ON THE CLASSIFICATION OF ROADS ADJACENT TO THE SUBDIVISION AND THE SIZE OF THE PROJECT SITE, ROAD NETWORK SHOULD RESULT INTO A HIERARCHY OF FUNCTIONS AND SHOULD DEFINE AND SERVE THE SUBDIVISION AS ONE INTEGRATED UNIT.

a. ROADS COMPLEMENTED WITH FOOTPATHS/PATHWAYS WITHIN THE SUBDIVISION MUST BE SO ALIGNED TO FACILITATE MOVEMENT WITHIN AND IN LINKING THE SUBDIVISION TO THE NEAREST MAJOR TRANSPORTATION ROUTE AND ADJACENT PROPERTY.

WHENEVER THERE IS/ARE EXISTING ROADS WITHIN THE PROJECT SITE WHICH SHALL BE MADE PART OF THE. SUBDIVISION PLAN THESE SHALL BE IMPROVED IN ACCORDANCE WITH THE STANDARDS SET FORTH HEREIN.

b. STREETS SHOULD CONFORM TO THE CONTOURS OF THE LAND AS PRACTICABLE.

c. PROVISION OF MAJOR STREET EXTENSION FOR FUTURE CONNECTION TO ADJOINING DEVELOPED AND/OR UNDEVELOPED PROPERTIES SHALL BE MANDATORY AND INTEGRATED OR ALIGNED WITH EXISTING ONES, IF ANY.

d. STREETS SHALL BE SO LAID OUT TO MINIMIZE CRITICAL INTERSECTIONS SUCH AS BLIND CORNERS, ESKEW JUNCTION, ETC.

e. ROADS SHALL CONFORM WITH THE CIVIL WORKS DESIGN CRITERIA AS PER SEC. 1.B.2 OF THIS RULES AND SOUND ENGINEERING PRACTICES PURSUANT TO BOARD RESOLUTION NO. 176, SERIES OF 1984.

f. LAND CIRCULATION SYSTEM SHALL COMPLY WITH THE PERTINENT REQUIREMENTS OF BP 344 OTHERWISE KNOWN AS THE ACCESSIBILITY LAW.

2.4. INSTALLATION OF STREET NAMES/SIGNS:

THE DEVELOPER SHALL BEAR THE COST OF INSTALLATION OF STREET NAMES/SIGNS COINCIDENT WITH THE CONSTRUCTION OF STREETS AND SHALL OBSERVE THE FOLLOWING:

a. STREET NAMES WITHIN THE SUBDIVISION SHALL HAVE APPROPRIATE OR SIGNIFICANT MEANING;

b. SHALL HAVE NO DUPLICATIONS IN SPELLING OR SOUND, OR BEAR ANY SIMILARITY TO EXISTING STREET NAMES IN ADJACENT SUBDIVISIONS, EXCEPT WHEN THEY ARE IN CONTINUATION OF EXISTING ONES;

c. SHALL CONFORM WITH STANDARD SIZES OF STREET NAMES.

2.5 EASEMENTS

SUBDIVISION PROJECTS SHALL OBSERVE AND CONFORM WITH THE PROVISIONS OF EASEMENTS AS MAY BE REQUIRED BY:

a. CHAPTER IV, SECTION 51 OF THE WATER CODE

b. NATIONAL POWER CORPORATION (NPC)

c. FAULT TRACES AS IDENTIFIED BY PHIVOLCS (PER RESOLUTION NO. 515, SERIES OF 1992)

d. RIGHT-OF-WAY OF OTHER PUBLIC UTILITY COMPANIES AND OTHER ENTITIES.

e. FOR PROJECTS ABUTTING NATIONAL ROADS (PRIMARY ROADS) ADEQUATE EASEMENT SHALL BE PROVIDED FOR ROAD WIDENING, LOADING AND UNLOADING AREAS AS MAY BE REQUIRED BY NATIONAL/LOCAL GOVERNMENT UNITS.

3. Design Parameters

3.1 Land Allocation. —

For subdivision projects with an area of one (1) hectare or more the maximum saleable [lots] AREA shall be 70% OF THE GROSS AREA thereof. The owner and/or developer [thereof] shall reserve 30% of the GROSS area for [roads, alleys, pathways, parks, playgrounds and] open spaces IN ACCORDANCE WITH PD 1216.

THE PLANNING AND DESIGN STANDARDS FOR A SUBDIVISION PROJECT ARE SUMMARIZED IN TABLE 2. SEPARATE TABULATION FOR THE CIRCULATION SYSTEM AND COMMUNITY FACILITIES AND UTILITIES FOLLOW:

TABLE 1

CIRCULATION SYSTEM AND COMMUNITY FACILITIES AND UTILITIES FOR A RESIDENTIAL SUBDIVISION PROJECT

DESIGN PARAMETER

A.. LAND ALLOCATION (FIGURE 1)

A.1. OPEN SPACE —

OPEN SPACES CONFORMING WITH THE 30% OPEN SPACE REQUIREMENT ON ALL SUBDIVISIONS ONE (1) HECTARE OR MORE IN AREA SHALL BE ALLOCATED FOR PARKS AND PLAYGROUND, BASIC UTILITIES AND COMMUNITY FACILITIES/SERVICES AND CIRCULATION SYSTEM. WHERE SITES FOR SPECIFIC SERVICES ARE REQUIRED, ALLOCATED SITES MUST BE INDICATED ON THE SUBDIVISION PLAN. A NOTICE OF THE AVAILABILITY OF SITE FOR A SPECIFIC INTENDED. USE SHALL BE POSTED ON STRATEGIC PLACES IN AND OUT OF THE SUBDIVISION SITE FOR THE INFORMATION OF PROSPECTIVE/INTERESTED PARTIES AND PUBLIC.

a. PARKS/PLAYGROUNDS SHALL CONFORM WITH THE VARIABLE AND FOLLOWING RATIO AND PROPORTION:

HECTARES PERCENTAGE

20 AND BELOW 3.5%
21 25 4.0%
26 35 5.0%
36 50 6.0%
51 65 7.0%
ABOVE 65 9.0%

b. REQUIRED FACILITIES VARIABLE

c. CIRCULATION SYSTEM OBSERVE HIERARCHY ROADS

A.2 MAXIMUM SALEABLE AREA 70%

B. MINIMUM LOT AREAS (SQUARE METERS)

B.1 SINGLE DETACHED HOUSES 100 SQ.M.

B.2 DUPLEX/SEMI-DETACHED/SINGLE ATTACHED 75 SQ.M.

B.3 ROW HOUSES 50 SQ.M.


C. MINIMUM LOT FRONTAGE (METERS)

C.1 SINGLE-DETACHED

a. CORNER LOT 12 M.

b. REGULAR LOT 10 M.

c. IRREGULAR LOT 6 M

C.2 DUPLEX/SINGLE ATTACHED/ 7.5 M. SEMI-DETACHED C.3 ROW HOUSE 3.5 M.

D. BLOCK LENGTH (SEE FIGURE 2.) MAX. 400 M.

(BLOCK EXCEEDING 250 METERS SHALL HAVE AN ALLEY)

E. SETBACKS

E.1 FRONT SETBACK 3 M.

E.2 SIDE YARD 2 M.

E.3 REAR YARD 2 M.

E.4 ABUTMENTS MAY BE ALLOWED PER REQUIREMENTS
OF THE NATIONAL BUILDING CODE

3.2 LOT LAYOUT:

WHEN PLOTTING THE SUBDIVISION PROJECT, CONSIDERATION SHALL BE GIVEN TO:

a. PRESERVATION OF SITE ASSETS AND PROPER SITING ORIENTATION OF LOTS;

b. BLENDING WITH EXISTING AND PROPOSED DEVELOPMENT IN THE VICINITY; AND

c. APPLICATION OF WORKABLE DESIGN PRINCIPLES/PARAMETERS FOR A WELL PLANNED ENVIRONMENT.

3.3 Minimum Lot [Sizes] AREA

a. Lot [sizes] AREA for SINGLE DETACHED, DUPLEX/SEMI-DETACHED AND rowhouse[s and duplexes] shall not be less than ONE HUNDRED (100), SEVENTY FIVE (75) AND FIFTY (50) [and 150] square meters, respectively [for all models].

TO ACCOMMODATE A WIDER RANGE OF CLIENTELE (IN TERMS OF INCOME LEVEL AND LIFESTYLE), AND TO PROVIDE DIVERSITY IN HOUSING DESIGN IN A SUBDIVISION PROJECT, THE OWNER/DEVELOPER IS ENCOURAGED TO ALLOCATE AREAS FOR VARIOUS HOUSING TYPES SUCH AS:

a.1. SINGLE-DETACHED

a.2. DUPLEX/SEMI-DETACHED/SINGLE-ATTACHED

a.3. ROWHOUSE

b. TYPES OF LOTS. —

LOTS SHALL BE DEFINED AS FOLLOWS:

b.1 CORNER LOT —

A LOT SITUATED AT THE INTERSECTION OF TWO OR MORE STREETS.

b.2 LOT FOR A SINGLE-DETACHED DWELLING UNIT —

A LOT FOR A STRUCTURE COMPLETELY SURROUNDED BY YARDS.

b.3 LOT FOR A DUPLEX/SEMI-DETACHED/SINGLE ATTACHED DWELLING UNIT —

A LOT FOR A STRUCTURE CONTAINING TWO (2) SEPARATE LIVING UNITS EACH OF WHICH IS SEPARATED FROM ANOTHER BY A PARTY OR PARTY WALL AND PROVIDED WITH INDEPENDENT ACCESS.

b.4 LOT FOR ROWHOUSE UNITS —

EACH LOT CONTAININGSEPARATE DWELLING UNITS IN AN ATTACHED STRUCTURE WITH THREE (3) OR MORE LIVING UNITS DESIGNED IN SUCH A WAY THAT THEY ABUT EACH OTHER AT THE SIDES AND ARE SEPARATED FROM EACH OTHER BY PARTY WALLS HAVING INDEPENDENT ACCESS.

THERE SHALL BE A MAXIMUM OF TWENTY (20) UNITS BUT IN NO CASE SHALL THIS BE BEYOND ONE HUNDRED (100) METERS IN LENGTH.

3.4. LOT DESIGN

a. LOTS SHALL BE SO DESIGNED THAT THEY ARE NOT BISECTED BY ADMINISTRATIVE BOUNDARIES, WATER COURSES, DRAINAGE WAYS AND UTILITY LINES.

b. A LOT SHALL BE SERVED BY AN INDEPENDENT ACCESS ROAD.

c. WHENEVER POSSIBLE LOT FRONTAGE ELEVATION SHALL BE AT STREET LEVEL.

d. LOT LINES SHALL PREFERABLY BE MADE PERPENDICULAR TO STREET LINES.

e. DEEP LOTS AND IRREGULARLY SHAPED LOTS SHALL BE AVOIDED.

f. LOTS SHALL BE PLANNED WITH ADEQUATE WIDTH FOR SIDE YARDS.

g. LOTS SHALL BE PROTECTED AGAINST RISKS OR NO LOTS SHALL BE LAID OUT WHERE POTENTIAL RISKS EXIST (E.G. EROSION, SLIDES, FLOODING, FAULT LINES, ETC.).

3.5 Lot Frontage —

Frontage, for regular lots shall not be less than ten (10) meters [for models A and B and 8 meters for model C] LOTS FOR DUPLEX/SINGLE ATTACHED/SEMI-DETACHED DWELLING. UNITS SHALL OBSERVE, A FRONTAGE OF NOT LESS THAN SEVEN AND ONE HALF (7.5) METERS. FRONTAGE FOR [irregular] CORNER lots shall [observe a frontage of] not BE less than [six] TWELVE [(6)] (12) meters [for all models] AND frontage for rowhouse lots [in all models] shall not be less than three and a half (3.5) meters.

MINIMUM LOT FRONTAGES FOR SUBDIVISION PROJECTS SHALL BE AS FOLLOWS:

a. SINGLE DETACHED

a.1 CORNER LOTS-12 METERS 12 METERS

a.2 REGULAR LOTS-10 METERS 10 METERS

a.3 IRREGULAR LOT-6 METERS 6 METERS

b. DUPLEX/SEMI-DETACHED/ 7.6 METERS

c. ROWHOUSE 3.5 METERS

3.6 SHELTER COMPONENT

a. MINIMUM FLOOR AREA FOR SINGLE DETACHED, DUPLEX/SEMI-DETACHED/SINGLE ATTACHED AND ROWHOUSE SHALL CONFORM WITH THE NATIONAL BUILDING CODE AND LOCAL ZONING ORDINANCE.

b. MINIMUM LEVEL OF COMPLETION —

COMPLETE HOUSE FOR SINGLE DETACHED, DUPLEX/SEMI-DETACHED/SINGLE ATTACHED AND ROWHOUSE.

3.7 LENGTH OF BLOCK —

BLOCK SHOULD NOT BE TOO SHORT NOR TOO LONG SHORT BLOCK INCREASES DEVELOPMENT COST AND TRAFFIC HAZARD WHILE EXCESSIVELY LONG BLOCKS CONTRIBUTE TO INACCESSIBILITY AND INCONVENIENCE MAXIMUM BLOCK LENGTH FOR SUBDIVISION PROJECTS SHALL BE FOUR HUNDRED (400) METERS (FOR SUBDIVISION WITH LOT COMPONENT ONLY). FOR BLOCKS EXCEEDING TWO HUNDRED FIFTY (250) METERS ALLEY SHALL BE PROVIDED. (SEE- FIGURE 2)

3.8 ROAD NETWORK

a. ROAD HIERARCHY AND DIMENSIONS

WITHIN THE CONTEXT OF SUBDIVISION PROJECT DEVELOPMENT, THE FOLLOWING ROAD HIERARCHY SHALL BE OBSERVED:

a.1 MAJOR —

A STREET OR ROAD LINKING THE SITE AND SERVES. AS THE MAIN TRAFFIC ARTERY WITHIN THE PROJECT SITE.MAJOR ROADS SHALL PREFERABLY HAVE A MINIMUM-RIGHT-OF-WAY OF TWELVE (12) METERS AND WITH A CARRIAGEWAY OF EIGHT (8) METERS. RIGHT-OF-WAY OF MAJOR ROADS SHALL BE INCREASED AS PROJECT SIZE INCREASES AND SHALL NOT BE LOWER THAN RIGHT-OF-WAY OF PUBLIC ROAD. A PAVED SIDEWALK WITH AT LEAST ONE (1) METER SHALL BE PROVIDED ON EACH SIDE AND THE REST SHALL BE RESERVED AS PLANTING STRIP. (SEE FIGURE 3)

IN NO CASE SHALL A MAJOR ROAD BE LESS THAN TEN (10) METERS WHEN USED AS MAIN ACCESS ROAD AND/OR AS FUTURE CONNECTION. THE MAIN ACCESS ROAD SHALL TRAVERSE THE LONGER AXIS OF THE PROPERTY.

MAJOR ROADS SHALL MAINTAIN A UNIFORM WIDTH OF ROAD RIGHT-OF-WAY. TAPERING OF ROAD WIDTH SHALL NOT BE ALLOWED.

a.2 MINOR —

A ROAD WHICH MAIN FUNCTION IS TO PROVIDE DIRECT ACCESS TO LOTS AND OTHER ACTIVITY CENTERS.MINOR ROADS SHALL HAVE A MINIMUM RIGHT-OF-WAY OF TEN (10) METERS AND WITH SIX (6) METERS AS CARRIAGEWAY. A SIDEWALK OF ONE (1) METER SHALL BE REQUIRED ON EACH SIDE AND THE REST SHALL BE RESERVED AS PLANTING STRIP. (SEE FIGURE 3 )

a.3 MOTOR COURTS —

SHALL HAVE A RIGHT-OF-WAY OF NOT LESS THAN SIX (6) METERS IN WIDTH WITH PROVISION FOR SUFFICIENT SPACE FOR VEHICULAR TURN AROUND IN. THE FORM OF A CUL-DE-SAC, LOOP, BRANCH OR "T", WITH A MAXIMUM LENGTH OF SIXTY (60) METERS INCLUSIVE OF TERMINAL. (SEE FIGURES 4 & 5 )

a.4 RIGHT-OF-WAY OF ACCESS TO INTERIOR LOT —

SHALL HAVE A MINIMUM RIGHT-OF-WAY OF THREE (3.00) METERS.

a.5 DEAD ENDS SHALL NOT BE ALLOWED.

b. ROAD INTERSECTIONS. —

ROADS SHOULD INTERSECT AT RIGHT ANGLES AS MUCH AS PRACTICABLE. MULTIPLE INTERSECTIONS ALONG MAJOR ROADS SHALL BE MINIMIZED. DISTANCE BETWEEN OFFSET INTERSECTIONS SHOULD NOT BE LESS THAN TWENTY (20) METERS FROM CORNER TO CORNER. INTERSECTIONS SHOULD OCCUR ON STRAIGHT SECTIONS INSTEAD OF ON CURVED SECTIONS OF ROAD AND ON GENTLE GRADES WITH CLEAR SIGHT DISTANCE.

ROAD INTERSECTIONS SHALL BE PROVIDED WITH ADEQUATE CURB RADII CONSISTENT WITH SOUND ENGINEERING PRINCIPLES.

c. ROAD PAVEMENT —

ALL ROADS SHALL BE PAVED IN CONCRETE OR ASPHALT INCLUDING SIDEWALKS.

ROADS WITH CONCRETE PAVEMENT MUST HAVE A THICKNESS OF NOT LESS THAN FIFTEEN (15) CENTIMETERS WHILE ROADS PAVED WITH ASPHALT MUST HAVE A THICKNESS OF NOT LESS THAN FIVE AND EIGHT HUNDREDTHS (5.08) CENTIMETERS. BASE COARSE MIXED WITH ITEM NUMBER TWO HUNDRED (#200) SHALL HAVE A THICKNESS OF TWENTY FIVE (25) CENTIMETERS. SIDEWALKS MUST BE CONCRETE WITH THICKNESS OF FIVE AND EIGHT HUNDREDTHS (5.08) CENTIMETERS.

d. ROAD GRADE (SLOPE). —

CROWN OF THE ROADS SHALL HAVE A SLOPE OF NOT LESS THAN ONE AND A HALF (1.5) PERCENT WHILE CURBS AND GUTTERS SHALL NOT BE LESS THAN SEVEN (7) PERCENT TO NINE (9) PERCENT (SEE FIGURE 6 ).

e. TREE PLANTING. —

EVERY OWNER OF EXISTING SUBDIVISION IS REQUIRED AMONG OTHERS TO PLANT TREES IN DESIGNATED AREA AS PER RESOLUTION NO. R-532, SERIES OF 1993 (APPROVING THE RULES AND REGULATIONS IMPLEMENTING PD 953 "REQUIRING THE PLANTING OF TREES IN CERTAIN PLACES AND PENALIZING UNAUTHORIZED CUTTING, DESTRUCTION, DAMAGING AND INJURING OF CERTAIN TREES, PLANTS AND VEGETATION"); AND ADMINISTRATIVE ORDER NO. 02, SERIES OF 1992 (SUPPLEMENTAL. RULES AND REGULATIONS TO IMPLEMENT PD 953).

3.9 Water Supply System

a. Specific Rules:

Whenever possible, the subdivision water supply shall be connected to an approved public water system or community system provided that the water supply is enough to meet the total daily requirements of the anticipated population.

ALTERNATIVE SOURCES OF WATER SUPPLY MAY BE AVAILED OF SUCH AS COLLECTED RAIN WATER AND OTHER DEVICES WITH WATER IMPOUNDING CAPACITY.

When neither a public water system, nor an acceptable community system is available, a centralized water supply system shall be accepted, provided that:

a.1 the technical consultant of the developer shall determine the location and discharge capacity of the water supply source(s) within the subdivision;

a.2 the permits to dig well(s) or tap water lines from the appropriate government agencies are obtained;

a.3 the water source shall be sufficient to meet the daily water requirements of every household in the subdivision;

a.4 no hazards shall exist in the immediate vicinity of the water source that might reduce or pollute the supply; and

a.5 equal distribution of water is assured. Every water service entrance or connection shall be provided with a pressure-compensating, self-regulating, constant flow valve or fitting to ensure equitable distribution of water, water and power conservation and long-term savings on operational costs of water system.

a.6 Each subdivision must have at least (two) ONE OPERATIONAL deepwell WHICH SHALL PROVIDE SUFFICIENT CAPACITY EQUAL TO THE MAXIMUM DAILY DEMAND.

b. Water Requirements. —

Every dwelling unit shall be served by an individual supply of water. The pipe diameter shall be sufficient to meet the total hourly domestic needs of every household for any eight (8) hour period.

AVERAGE DAILY DEMAND (ADD) 150 LITERS PER CAPITA PER DAY (LCPD) FOR HOUSEHOLD CONNECTION. (PER BOARD RESOLUTION NO. 506, SERIES OF 1992).

c. Fire Protection Demand. —

PROVISION FOR FIRE PROTECTION SHALL COMPLY WITH THE REQUIREMENTS OF THE NATIONAL FIRE PROTECTION CODE. WHENEVER APPLICABLE, THE LOCAL GOVERNMENT UNIT SHALL PROVIDE EACH COMMUNITY WITH FIRE HYDRANTS AND A CISTERN THAT ARE OPERATIONAL AT ALL TIMES.

d. WATER TANK CAPACITY —

20% AVERAGE DAILY DEMAND PLUS FIRE RESERVE.

e. Pipes. —

PIPES SHALL CONFORM WITH THE STANDARDS REQUIRED BY METROPOLITAN WATERWORKS AND SEWERAGE SYSTEM (MWSS) AND/OR LOCAL WATER UTILITIES ADMINISTRATION (LWUA).

3.10 Sewage Disposal System

a. CONNECTION TO COMMUNITY SEWER SYSTEM

CONNECTIONS SHALL BE MADE TO AN APPROVED PUBLIC OR COMMUNITY SEWER SYSTEM, SUBJECT TO THE REQUIREMENTS AND PROVISIONS OF THE SANITATION CODE AND OTHER APPLICABLE RULES AND REGULATIONS.

b. SEPTIC TANKS. —

WHERE COMMUNITY SEWER SYSTEM IS NOT AVAILABLE, SEWAGE SHALL BE DISPOSED OF AND TREATED IN INDIVIDUAL SEPTIC TANKS.

SEPTIC TANKS SHALL BE CONSTRUCTED OF DURABLE MATERIALS, COMPLETELY WATER-PROOFED AND DESIGNED IN ACCORDANCE WITH THE REQUIREMENTS AND PROVISIONS OF THE SANITATION CODE.

3.11 DRAINAGE SYSTEM. —

The DESIGN OF THE drainage system of the subdivision [must] SHALL TAKE INTO CONSIDERATION EXISTING DEVELOPMENT OF ADJACENT AREAS RELATIVE TO THEIR IMPACT/EFFECT ON ITS DRAINAGE SYSTEM IF ANY. FURTHER, IT SHALL conform with the natural drainage pattern of the subdivision site, and shall drain into appropriate water bodies or public drainage system. IN NO CASE SHALL DRAINAGE OUTFALLS DRAIN INTO A PRIVATE LOT. Its layout shall conform with sound engineering design/principles CERTIFIED BY A DULY LICENSED CIVIL/SANITARY ENGINEER. Drain lines shall be of durable materials and approved installation practices. UNDERGROUND DRAINAGE SYSTEM SHALL BE PROVIDED WITH ADEQUATE MANHOLES FOR EFFICIENT MAINTENANCE.

3.12 Electrical Power Supply. —

MANDATORY INDIVIDUAL HOUSEHOLD CONNECTION TO primary and/or alternate sources of power for the subdivision must be readily available for the use of subdivision dwellers. Street lighting, utility poles, features (E.G. TRANSFORMER) and wiring system shall conform with the design standards or provisions of the NATIONAL Electrical Code OR THE LOCAL ELECTRIC FRANCHISE HOLDER/LOCAL ELECTRIC COOPERATIVE OR THE LOCAL UTILITY COMPANY. MAXIMUM DISTANCE BETWEEN STREETLIGHTS SHALL BE. FIFTY (50) METERS.

3.13 Garbage Disposal System. —

The subdivision shall have a sanitary and efficient refuse collection and disposal system, whether independently or in conjunction with the municipal/city garbage collection and disposal services.

SECTION 11. Design Standards and Guidelines for Residential Condominium Projects. —

(AMENDED PER BOARD RES. No. 566, S. 1995)

A.. Conformity to Land Use Plan/Zoning Ordinance/National Building Code

1. Residential condominium projects shall preferably be located in areas zoned as or appropriate for residential uses.

2. Condominium projects shall likewise conform with the minimum building requirements, lot occupancy, open spaces, parking and other requirements of the National Building Code and its implementing rules.

B. Site Preservation/Alteration

Provisions for site preservation/alteration for residential subdivision shall apply.

C. Area Planning

1. Supplementary and supportive activities to residential use shall be allowed provided that the privacy, order and safety of the residents are not jeopardized nor threatened and that the Land Use Plan and/or Zoning Ordinance of. the locality can accommodate such mixture of land uses.

2. Open spaces shall be provided within the project site pursuant to the National Building Code and its implementing rules. These shall include courts, yard, setbacks, lightwells, uncovered driveways, access roads, parking spaces, buffer strips, parks and playgrounds. Except as may hereafter be otherwise provided these spaces shall be open from the ground to the sky. The open space shall also be allocated for basic utilities and community facilities or common areas.

3. Easements for utilities, such as drainage system, water supply, power lines and communication lines, shall be integrated with land circulation system.

4. Building orientation on lot shall take into account proper ventilation, sunlight and land characteristics.

5. No development shall be allowed within the five-meter mandatory easement on both sides of the Marikina Valley Fault Trace and such other fault traces as may be identified by PHIVOLCS. (Approved per Board Res. No. 515, Series of 1992)

D. Space Standards

Space allocations shall provide areas for living, dining, kitchen, sleeping, toilet and bath, laundry/drying area and storage the minimum sizes of which shall be in accordance with the requirements of the National Building Code and its implementing rules.

1. Unit Dimension:

1.1 Condominium unit dimensions shall not be less than 18 square meters for single occupancy or studio units. MINIMUM FLOOR AREA SHALL BE IN ONE FLOOR LEVEL EXCLUSIVE OF MEZZANINE IF ANY. Computation of floor areas of condominium units shall be in accordance with Sec. 6 of RA 4726 (Condominium Act).

2. Parking

2.1 Off-street parking spaces for residential condominium projects shall be provided in accordance with the National Building Code (PD 1096) with the following minimum requirements:

2.1.1 Multi-family living unit regardless of number of storeys with average living unit floor area of:

Up to 50 square meters 1 slot/8 living units

Above 50 square meters 1 slot/4 living to 100 square units

Units More than 100 square meters 1 slot/living unit

2.2 Parking may be off-site provided that it shall not be more then 100 meters away from the condominium projects. (See Figure 7 )

2.3 Whenever basement parking or multi-floor parking garage shall be provided within the project site, the parking space provided therein shall be subtracted from the total parking area required of the project.

2.4 Compliance with additional parking spaces as required by local ordinances shall be mandatory.

3. Parks/Playground and/or Other Recreational Areas

3.1 Parks/Playground (exclusive of easements, access roads, driveways, parking space) shall be required for:

a. Projects with a gross saleable area of 1,000 square meters; or

b. Projects with ten (10) or more condominium units. Except when the condominium is part of a subdivision project or a park/playground not more than or 800 meters away exists, and in reaching it the children will not be unduly exposed to hazard.

3.2 The minimum area for a single park/playground shall, be fifty (50) square meters.
Increments of three (3.00) square meters for every additional FAMILY DWELLING TYPE condominium unit in excess of ten (10) shall be added.

3.3 Parks/playground or other recreational facilities may not be required if the condominium is located not more than or 800 meters from [a] AN [publicly] accessible PUBLIC park/playground/or other recreational facilities.

3.4 Parks/playground shall be properly landscaped to accommodate both active and passive activities.

3.5 Parks/playground may be accommodated in the yard/s provided such yards are adequate and usable as park.

3.6 Other facilities (optional) such as tennis courts, swimming pool, etc. may be integrated with the park/playground.

4. Access Roads

Roads shall serve every building, parking space, park/playground and service points (e.g. garbage collection points). Minimum right-of-way or roads shall be 8 meters, 6 meters thereof shall be the carriageway and the remaining 2 meters shall be developed as sidewalk/planting strip.

Pathwalks shall be provided for pedestrian circulation with a minimum width of 1.2 meters.

Construction of roads, sidewalk and pathwalks shall be in accordance with the standards of a residential subdivision. Space for turn around at dead end shall be provided.

Access to the Property. Direct vehicular access to the property shall be provided by means of an abutting improved public street or alley.

Access to the Dwelling. An independent means of access shall be provided to each dwelling, or group of dwellings in a single plot, without trespassing adjoining properties. Each dwelling must be capable of, maintenance without trespassing adjoining properties, utilities and service facilities must be independent for each dwelling unit.

Each dwelling unit shall be provided with a sanitary means for the removal of garbage and trash.

Access to Living Units. An independent means of access to each living unit shall be provided without passing through any yard of a living unit or any other yard.

E. Basic Facilities and Services

1. Service Area (Laundry/Drying Area)

Adequate laundry and drying areas shall be provided. Where such service areas are held in common, they shall have suitable outdoor locations, fenced or screened and kept away from living rooms, entrance or front yards.

2. Mechanical Equipment and Service Areas

[Elevator shall be optional for condominium projects not exceeding four (4) storeys. For condominium with five (5) or more storeys,] PROVISION OF elevators shall CONFORM [be provided in accordance] with the plans and specifications of the duly licensed design Architect/Engineer who shall determine the requirement for elevators including the number of cars, capacity, safety features and standards, elevator type, speed and location in relation to the over-all design and use of the building; The design architect/engineer shall certify under oath that all the components thereof are in accordance with the National Building Code, the accessibility law, and national and international industry standards and other pertinent laws. (Approved as per Res. No. 554, series of 1974). PROVIDED FURTHER THAT IT SHALL CONFORM WITH THE RELEVANT PROVISIONS OF THE NATIONAL BUILDING CODE.

Compliance to the provisions of the Fire Code shall be mandatory.

3. Refuse Collection/Disposal

Adequate refuse collection and disposal system small be provided independently or in conjunction with the municipality or city garbage collection and disposal services and shall be in accordance with applicable local ordinances, and shall conform to the provisions of the Sanitation Code, the National Building Code and its implementing rules.

4. Water supply, power, sewerage and drainage utilities shall conform with the requirements of a subdivision

4.1 RESERVOIR/WATER TANK

FOR MULTI-STOREY BUILDINGS

IF THE HEIGHT OF THE BUILDING REQUIRES WATER PRESSURE IN EXCESS OF THAT IN THE MAIN WATER LINE, A WATER TANK SHALL BE PROVIDED

TANK SHALL ALSO BE REQUIRED IF THE PEAK DRAWN SHOULD REDUCE THE PRESSURE ON THE HIGHEST USABLE FLOOR TO LESS THAN 10 PSI (POUNDS PER SQUARE INCH) — THE MINIMUM PRESSURE REQUIRED FOR SATISFACTORY OPERATION OF FIXTURES, PARTICULARLY THOSE WITH FLUSH VALVES.

4.2 CAPACITY — 20% AVERAGE DAILY DEMAND PLUS FIRE RESERVE

SECTION 12. Conversion of Existing Structures to Condominium Projects. —

Existing structures five years old and above may be converted into condominium projects upon proper application therefor with the Board and compliance with the requirements of condominium laws and these rules and standards, except as regards parking and loading spaces, the minimum off-street requirements which are as follows:

1. The size of an average automobile parking slot shall be computed at 2.4 meters by 5.00 meters of perpendicular or diagonal parking, at 2.00 meters by 6.00 meters for parallel parking. The parking slot shall be indicated on the plans and specified whether or not parking accommodation, are attendant-managed. Item 2, Rule XIX of the implementing rules and regulations of P.D. 1096 shall be suppletory application particularly as regards to computation of parking requirements.

1.1 Multi-family living units regardless of number of storeys with an average living unit floor area of:

a. Up to 50 sq.m. 1 slot/8 living units

b. Above 50 sq.m. to 100 sq.m. 1 slot/4 living units

c. more than 100 sq.m. 1 slot/living unit
(Approved as per Res. No. 176, series of 1984)



SECTION 13. Variances. —

Variance may be allowed in cases of large scale government and private residential subdivision or condominium projects; housing in areas for priority development or urban land reform zones, including blighted areas end other identified projects under the Urban Land Reform Program; resettlement and rehabilitation projects; in cases of social housing projects oriented towards low income groups, or housing projects financed by any government financing institution; or in cases where strict observance hereof will cause extreme hardship to the subdivision or condominium owner/developer. Such extreme hardship to the subdivision or condominium owner/developer is defined and explained as follows:

1. The location is unique and different from the adjacent locality, and because of its uniqueness, the owners cannot obtain a reasonable return on the residential subdivision/condominium projects;

2. The hardship is not self-created;

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

4. The variance will not alter the essential character of the location where the residential subdivision for which the variance is sought, is located, and will not substantially or permanently conflict the use of the other residential subdivision/condominium in the same locality; particularly those within a one (1) kilometer radius thereof;

5. The variance will not give rise to unauthorized reclassification of the approved residential subdivision/condominium plan (i.e. whether partial of full alteration of the plan) and will not adversely affect the public health, safety or general welfare; and is in keeping with the general welfare of the community. (Per Commission Proper Resolution No. R-53, S. 1982)


TABLE 2

PLANNING AND DESIGN STANDARDS FOR A RESIDENTIAL SUBDIVISION PROJECT

PARAMETERS PD 957
OPEN MARKET HOUSING

1. PROJECT LOCATION WITHIN SUITABLE SITES FOR HOUSING AND OUTSIDE POTENTIAL HAZARD PRONE AND PROTECTION AREAS

2. LAND ALLOCATION

(Percentage of Gross Area, One
hectare and Above

a. Saleable area a. 70% (maximum)
b. Non-saleable area b. 30% minimum)

Mandatory allocation for parks and playgrounds per tabulation below:

b.1 Area allocated for parks and Density % of Gross Area
playgrounds (one hectare
and above) (No. of Lots/Dwelling Units Allocated for Parks
per Hectare) and Playgrounds

20 & below 3.5%
21-25 4.0%
26-35 5.0%
36-50 6.0%
51-65 7.0%
Above 65 9.0%

Note: In no case shall the area be less than 100 sq.m.

b.2 Area Allocated for VARIABLE
Community Facilities
b.3 Circulation System Observe hierarchy of roads

3. MINIMUM LOT AREAS

a. Single Detached 100 square meters
b. Duplex/Single Attached/
Semi-Detached 75 sq.m./unit

c. Rowhouse 50 sq.m.

4. MINIMUM LOT FRONTAGE

a. Single Detached

a.1 corner lot 12 m.
a.2 regular lot 10 m.
a.3 irregular lot 6 m.

b. Duplex/Single/Attached
Semi-Detached 7.5 m.

c. Rowhouse 3.5 m.

5. LENGTH OF BLOCK a. maximum length is 400 m. (for subdivision projects with lot component only)

b. blocks exceeding 250 m. shall be provided with alley

NOTE: FOR ROWHOUSES, THERE SHALL BE A MAXIMUM OF 20 UNITS BUT IN NO CASE BE MORE THAN 100 METERS IN LENGTH.

6. ROADS RIGHT-OF-WAY (ROW)* ROW CARRIAGEWAY

a. Major 12.0 m 8.0m.
b. Minor 10.0 m. 6.0m.
c. Motorcourt (Cul-de-sac, branch, loop, "Tee") 6.0 m.
d. Alley 4.0 m.
e. ROW of access to interior lot. 3.0 m.

*Right-of-Way (ROW) of major roads shall be increased as project size increases. ROW shall not be lower than ROW of public road.

NOTE:
1. INTERIOR SUBDIVISION PROJECT MUST SECURE RIGHT-OF-WAY TO THE NEAREST PUBLIC ROAD.

2. SUBDIVISION PROJECTS WITH DIRECT ACCESS TO A MAIN PUBLIC ROAD

MUST PROVIDE SUFFICIENT SETBACK TO ACCOMMODATE LOADINGAND UNLOADING PASSENGERS.

3. SUBDIVISION PROJECT SHALL PROVIDE PROVISION FOR FUTURE EXPANSION (SEE TEXT)

7. MAXIMUM SIZES OF PROJECT

PER HIERARCHY OF ROADS
Project Size Range:

2.5 has & below major road, minor road, MOTOR COURT, alley
Above 2.5-5 has major road, minor road, MOTOR COURT, alley
Above 5-10 has major road, minor road, MOTOR COURT, alley
Above 15-30 has major road, minor road, MOTOR COURT, ALLEY
Above 30 has major road, minor road, MOTOR COURT, ALLEY

8. ROAD SPECIFICATIONS:

a. Planting Strip/Side walks Planting Strip Sidewalk

a.1 Major Road (each side) 1.0 m. 1.0 m.
a.2 Minor Road (each side) 1.0 m. 1.0 m.

NOTE: REFER TO SUPPLEMENTAL RULES AND REGULATIONS TO
IMPLEMENT PD 953

[HLRB A.O. NO. 02, SERIES OF 1994 (12 APRIL)

b. Road Pavement
b.1 Major concrete/asphalt
b.2 Minor concrete/asphalt
b.3 Motor Court concrete/asphalt
b.4 Sidewalks concrete/asphalt
b.5 Alley concrete/asphalt

9. WATER SUPPLY Mandatory connection to appropriate public water supply system or community system if available; or Centralized water supply system.

NOTE: Each subdivision must have at least one operational deepwell which
shall provide sufficient capacity equal to Maximum Daily Demand

a. Minimum Water Supply 150 liters per capita per day for household connection Requirement

b. Fire Protection Demand Provision for fire protection shall comply with the requirements of the National Fire Protection Code.

10. Drainage System underground

*The drainage system must conform with the natural drainage pattern of the subdivision site, and shall drain into appropriate water bodies, public drainage system or natural outfalls

11. Sewage Disposal System

a. Septic Tank Individual septic tank conforming to standard design of the Sanitation Code.

b. Connection to Community Whenever applicable, connections shall be made to any Sewer System approved public or community sewer system subject to the requirements and provisions of the Sanitation Code and other applicable rules and regulations with regards to materials and installation practices.

12. POWER SUPPLY Mandatory individual household connection to primary
and alternate sources of power if service is available in the locality Installation practices, materials and fixtures used shall be in accordance with the provision of the electrical code and the local utility company.

13. GARBAGE DISPOSAL SYSTEM Provide sanitary and efficient refuse collection and disposal system whether independently or in conjunction with the local government garbage collection and disposal services.

14. SHELTER COMPONENT

a. Minimum Floor Area

a.1 Single Detached Shall conform with the National Building Code

a.2 Duplex/Semi-Detached/ and Local Zoning Ordinance
Single Attached

a.3 Rowhouse

b. Minimum Level of Completion

b.1 Single Detached Complete house

b.2 Duplex/Semi-Detached, Single Attached Complete house

b.3 Rowhouse Complete house

15. SETBACKS/EASEMENTS

a. Front 3 m.
b. Side 2 m.
c. Rear 2 m.
d. Abutments May be allowed per requirements of National Building
Code

Figure 1- Land Allocation Chart

Figure 2 - Block Length

Figure 3 - Street Cross Sections

Figure 4 - Motor Court

Figure 5

Figure 5 - Road Grade (Slope)

Figure 7 - Off-Street Parking


RULE VI

Miscellaneous Provisions


SECTION 14. Definition of Terms. —

For purposes of these rules:

a. BOARD OR HLRB — SHALL MEAN THE HOUSING AND LAND USE REGULATORY BOARD.

b. COMMON AREAS — MEANS THE ENTIRE PROJECT EXCEPTING ALL UNITS SEPARATELY GRANTED HELD OR RESERVED.

c. Condominium — shall mean an interest in real property consisting of a separate interest in a unit in a residential, industrial or commercial building and an undivided interest in common directly or indirectly, in the land on which it is located and in other common areas of the building. A condominium may include, in addition, a separate interest in other portions of such real property. Title to the common areas, including the land, or the appurtenant interests in such areas, may be held by a corporation specially formed for the purpose in which the holders of separate interests shall automatically be members or shareholders, to the exclusive of others, in proportion to the appurtenant interests of their respective units in the common areas.

d. Condominium Project — means the entire parcel of real property divided or to be divided in condominium, including all structures thereon.

e. Condominium Unit — means a part of the condominium project intended for any type of independent use or ownership, including one or more floors (or part or parts of floors) in a building or buildings and such accessories as may be appended thereto.

f. Decree — shall mean Presidential Decree No. 957 otherwise known as "The Subdivision and Condominium Buyer's Protective Decree".

g. Existing Subdivision Project or Condominium Project — shall refer to subdivision or condominium plans or projects approved by the city/municipal government or LAND MANAGEMENT BUREAU/LAND REGISTRATION AUTHORITY/Courts which is not fully developed/constructed or there are still unsold subdivision lots or condominium units as of 12 July 1976, the date the Decree took effect.

h. PROJECT — MEANS THE ENTIRE PARCEL OF REAL PROPERTY DIVIDED OR TO BE DIVIDED IN CONDOMINIUMS, INCLUDING ALL STRUCTURES THEREON.

i. TO DIVIDE REAL PROPERTY MEANS TO DIVIDE THE OWNERSHIP THEREOF OF OTHER INTEREST THEREIN BY CONVEYING ONE OR MORE CONDOMINIUMS THEREIN BUT LESS THAN THE WHOLE THEREOF.

SECTION 15. Submission of Semestral Reports on Operations. —

Every owner or dealer of a registered subdivision or condominium project shall submit to the BOARD semi-annual reports on operations showing the extent/status of land development or building construction changes in corporate officers or managers and their addresses within sixty (60) days after the end of each semester. Copies of corporate reports to the Securities and Exchange Commission shall also be furnished to the BOARD.

SECTION 16. Display of Certificate of Registration and License to Sell. —

The certificate of registration and License to Sell issued by the [Commission] BOARD shall be displayed in a conspicuous place in the principal office of the owner, dealer, broker or salesman, as the case may be and a xerox copy thereto in all its branches and offices.

SECTION 17. Lost or Destroyed Certificate of Registration or License to Sell. —
Upon loss or destruction of a certificate of registration or license to sell a duplicate copy thereof may be issued by the [Commission] BOARD after satisfactory proof of such loss or destruction, and payment of the prescribed fee. The fact that such duplicate has been issued shall be made of record.

SECTION 18. Advertisement. —

Advertisement through print or broadcast media concerning sale of subdivision lots and condominium units shall be declared with the [Commission] BOARD pursuant with Section 19 of the decree. Advertisements shall contain, among others, the license number to sell subdivision/condominium projects as approved by the [Commission] BOARD.

SECTION 19. Extension of Time for Completion. —

Request for extension of time to complete development of a subdivision or condominium project may be granted only in cases where non-completion of project is caused by fortuitous events, legal orders or force majeure and with the written notice to lot or unit buyers without prejudice to the exercise of their rights pursuant to Section 23 of the decree.

The request for extension of time for completion shall be accompanied by a revised work program for a period of one year with project costing and financing scheme therefor. In appropriate cases the BOARD may require the posting of additional performance bond not exceeding fifty percent of development cost, cancel the license to sell, if any, or issue such orders it may deem proper.

SECTION 20. Transfer of Ownership or Change of Name. —

Request for transfer of ownership and/or change of name may be granted only if there is a deed of absolute sale over the subdivision, and condominium project sought to be transferred and/or the name thereof changed with an undertaking on the part of the transferee to assume full responsibility for the completion of the development thereof. The requirements in Sections 4 and 6 hereof shall be observed whenever applicable.

Such request, for transfer of ownership or change of name shall be published at applicant's expense in a newspaper of general circulation within the city or municipality where the project is located at least once a week for two (2) consecutive weeks.

SECTION 21. Alteration of Plans. —

Request for alteration of subdivision or condominium plans may be granted if the requirements of Section 22 of the decree are complied with.

SECTION 22. Non-forfeiture of Payments. —

No installment payment made by a buyer in a new or existing subdivision or condominium project for the lot or unit he contracted to buy shall be forfeited in favor of the owner or developer when the buyer, after due notice to the owner or developer and clearance from the Board desists from further payment due to the failure of the owner or developer to develop the project according to the approved plans and within the time limit for complying with the same. Such buyer may at his option be reimbursed the total amount paid including amortization interests but excluding delinquency interests, with interest thereon at the legal rate.

a. There shall be failure to develop when the owner or developer fails to complete, within the time limit set by the law or extensions granted by the Board, the construction, installation and the provision of operational and usable facilities, improvements, infrastructure and other forms of development, including water supply and lighting facilities as are specified in the approved plans and specifications, contracts, brochures, prospectus, printed matters, letters or in any form of advertisement and the standards and rules specified by the Board.

b. A buyer may desist from further payment of installments if the following conditions are present:

b.1 There is failure to develop as specified above.
b.2 Payment of amortization or installments is up-to-date or the buyer has no arrears.

b.3 The buyer shall notify in writing the following of his intention to stop payment;

b.3.1 developer/owner

b.3.2 HLURB

b.3.3 institution from which loan was secured (if applicable)

b.4 Clearance is issued by the Board to desist from further payment of installments

c. HLRB shall verify the claim of the buyer of owner/developer's failure to develop and informs both the buyer and developer whether clearance to suspend payment of installments is granted to the buyer. (Amended as per Board Res. No. R-540, S. 1994)

SECTION 23. Registration of Conveyances. —

Sales or conveyances of the subdivision lots and condominium units shall be registered within ONE HUNDRED EIGHTY (180) days from execution thereof by the seller with the Register of Deeds of the Province or city where the property is situated pursuant to Section 17 of the Decree. Except as may otherwise be provided for by law the BOARD may in appropriate cases cause the Register of Deeds to cancel registration, entries annotations on titles made on this regard.

SECTION 24. Mortgages. —

Mortgage of any unit or lot by the owner or developer shall be cleared with the BOARD pursuant to Section 18 of the Decree.

SECTION 25. Realty Tax and Other Charges. —

No realty tax assessment or other charges shall be imposed on a lot or unit buyer except as provided for in Section 26 and 27 of the Decree.






SECTION 26. Complaints Against Owners, Developers, Dealers, Brokers and Salesmen. —

Complaints or proceedings against owners, developers, dealers, brokers and salesmen shall be resolved in accordance with the Rules of Procedure to Govern the Conduct of Hearings before the BOARD.

SECTION 27. Administrative Fines. —

a. Any owner or dealer who fails to register an existing subdivision project or condominium project within the period prescribed under these rules and regulations shall be penalized by a fine of Five Hundred Pesos (P500.00) per day of delay but not exceeding Ten Thousand Pesos (P10,000.00), as provided under Section 38 of the Decree.

b. Any owner or dealer who sells any subdivision lot or condominium unit without a valid license from the BOARD to sell such lot or unit shall be penalized by a fine of not more than Ten Thousand Pesos (P10,000.00).

c. Any salesman, broker or dealer who engages in the business of selling subdivision lots or condominium units without a valid certificate of registration from the BOARD shall be penalized of a fine not more than Ten Thousand Pesos (P10,000.00).

d. Any person who violates any provisions of these Standards, Rules and Regulations shall be penalized by a fine of not more than Ten Thousand Pesos (P10,000.00).

The implementation and payment of these administrative fines shall not preclude criminal prosecution of the offender under Section 39 of the Decree.

SECTION 28. Criminal Penalties. —

Any person violating any provisions of these Rules shall be guilty of an offense and shall suffer the penalties provided for under Section 39 of the Decree.

SECTION 29. Identification of Lot Subject of Sale. —

The owner or dealer of a subdivision project shall attach to and shall form part of the sales document of any lot, a sketch plan clearly showing the area, boundaries and dimensions of the lot relation with the block and the whole project, as well as the location of the project in relation with public roads and other land marks, to be certified by a licensed geodetic engineer and signed by the seller and buyer.

SECTION 30. Broker/Salesman as Witness to Sales. —

The broker or salesman who negotiated the sale of a subdivision lot or condominium unit shall act as one of the witnesses to the sales document with an indication of his Certificate of Registration number and renewal date. If the sale was directly made by the owner or dealer, that fact must be so stated in the sales document.


SECTION 31. Fees. —

The BOARD shall collect the following fees (PER RES. NO. R-573, s. 1995)

NAME OF FEES NEW RATE

I. ZONING/LOCATIONAL CLEARANCES

A.. RESIDENTIAL STRUCTURE SINGLE OR DETACHED OTHER THAN THE APARTMENTS/TOWNHOUSES, DORMITOR IESAND
SUBDIVISION/CONDOMINIUM PROJECTS, THE COST OF WHICH ARE:

1. P100,000 AND BELOW P100.00
2. OVER P100,000 P100.00
+ 1/10 OF 1 % OF ADD'L. COST

B. APARTMENTS/TOWNHOUSES

1. FIVE DOORS AND BELOW 200.00
2. MORE THAN FIVE (5) DOORS 200.00
+ 1/10 OF 1% OF ADD'L. COST

C. DORMITORIES

1. TEN (10) ROOMS AND BELOW 200.00
2. MORE THAN TEN (10) ROOMS 200.00
+ 1/10 OF 1% OF ADD'L. COST

D. INSTITUTIONAL

1. P100,000 AND BELOW 200.00
2. OVER P100,000 200.00
+ 1/10 OF 1% OF ADD'L. COST

E. COMMERCIAL, INDUSTRIAL, AGRO-INDUSTRIAL

1. P100,000 AND BELOW 500.00
2. OVER P100,000 500.00
+ 1/10 OF 1% OF ADD'L. COST

F. SPECIAL USES/SPECIAL PROJECTS, INCLUDING MEMORIAL PARKS

1. P100,000 AND BELOW 400.00
2. OVER P100,000 400.00
+ 1/10 OF 1% OF ADD'L. COST

G. ALTERATION/EXPANSION (AFFECTED AREAS ONLY)
SAME COSTOF ALTERATION/EXPANSION

II. SUBDIVISION AND CONDOMINIUM PROJECTS/ACTIVITIES

A.. Approval of Subdivision Plan:

1. Preliminary Processing Fees

a. FOR THE FIRST TEN (10) HECTARES 200.00
b. FOR EVERY ADDITIONAL HECTARE OR 50.00
FRACTION THEREOF

2. Final Processing Fees

a. Subdivisions having a density of
66 and above to 100 families/gross
hectare, PER hectare or a fraction
thereof 550.00

b. Subdivisions having a density of
21 to 65 families/gross hectare,
PER hectare or a fraction thereof 750.00

c. Subdivisions having a density of
20 and below families/gross
hectare, PER hectare or a fraction
thereof 1,200.00

d. ADDITIONAL FEE ON FLOOR AREA OF HOUSES /BUILDINGS AND SOLD WITH THE LOT, PER SQUARE METER 1.00

3. INSPECTION FEE (PER HECTARE)

a. HIGH DENSITY 300.00

b. ECONOMIC SUBDIVISION 400.00

c. OPEN MARKET 500.00

4. Alteration of Plans (AFFECTED SAME AS AREAS ONLY) FINAL
PROCESSING

5. CERTIFICATE OF REGISTRATION AND LICENSE TO SELL (PER SALEABLE LOT)

a. HIGH DENSITY 20.00

b. ECONOMIC SUBDIVISION 60.00

c. OPEN MARKET 120.00

d. ADD'L. FEE ON FLOOR AREA OF
HOUSE/BUILDINGS SOLD WITH THE
LOT, PER SQ.M. 8.00

6. CERTIFICATE OF COMPLETION (PER HECTARE)

a. HIGH DENSITY 300.00
b. ECONOMIC SUBDIVISION 400.00
c. OPEN MARKET 500.00

B. Approval of Condominium Project

1. Preliminary Processing Fee 200.00

2. Final APPROVAL

a. PER SQUARE METER OF THE TOTAL
LAND AREA 2.00
b. ADDITIONAL COST PER SQUARE METER
OF THE FLOOR AREA OF THE BUILDING 1.00

3. INSPECTION FEE (PER SQ.M. OF SALEABLE AREA) 5.00

4. Alteration, Fee (AFFECTED SAME AS AREAS ONLY) FINAL
APPROVAL

5. Conversion [of existing structure to condominiums — same as No. 2.] SAME AS FINAL APPROVAL

6. CERTIFICATE OF REGISTRATION AND LICENSE TO SELL

a. RESIDENTIAL (PER SQ.M. OF SALEABLE AREA) 10.00
b. COMMERCIAL/OFFICE 20.00

7. CERTIFICATE OF COMPLETION
(PER SQUARE METER OF SALEABLE AREA) 10.00

III. APPROVAL OF INDUSTRIAL SUBDIVISION

A. PRELIMINARY APPROVAL AND LOCATIONAL CLEARANCE

1. FIRST FIVE (5) HECTARE 200.00
2. EVERY ADD'L. HECTARE OR FRACTION THEREOF 50.00

B. FINAL APPROVAL (PER HECTARE)
1. OUTSIDE CITIES 500.00
2. WITHIN METRO MANILA OR HIGHLY
URBANIZED AND INDEPENDENT CITY 1,000.00

C. INSPECTION FEE (PER SQUARE METER)

1. OUTSIDE CITIES 500.00

2. WITHIN METRO MANILA OR HIGHLY
URBANIZED AND INDEPENDENT CITY 1,000.00

D. ALTERATION OF PLAN FEE (AFFECTED AREAS SAME AS ONLY) FINAL APPROVAL

E. CERTIFICATE OF REGISTRATION AND LICENSE
TO SELL (PER SQUARE METER OF THE LAND AREA) 1.00

F. CERTIFICATE OF COMPLETION (PER HECTARE)

1. OUTSIDE CITIES 50.00

2. WITHIN METRO MANILA OR HIGHLY URBANIZED
AND INDEPENDENT CITY 100.00

IV. APPROVAL OF COMMERCIAL SUBDIVISION

A. PRELIMINARY APPROVAL AND LOCATIONAL CLEARANCE

1. FIRST TWO (2) HECTARES 200.00

2. EVERY ADDITIONAL HECTARE 50.00

B. FINAL APPROVAL (PER HECTARE)

1. OUTSIDE CITIES 3,000.00

2. WITHIN METRO MANILA OR HIGHLY
URBANIZED AND INDEPENDENT CITY 5,000.00

C. INSPECTION FEE (PER HECTARE)

1. OUTSIDE CITIES 300.00

2. WITHIN METRO MANILA OR HIGHLY
URBANIZED AND INDEPENDENT CITY 500.00

D. ALTERATION OF PLAN FEE (AFFECTED AREAS ONLY) SAME AS
FINAL APPROVAL

E. CERTIFICATE OF REGISTRATION AND LICENSE TO
SELL (PER SQUARE METER OF THE LAND AREA) 1.00

F. CERTIFICATE OF COMPLETION

1. OUTSIDE CITIES 300.00

2. WITHIN METRO MANILA OF HIGHLY
URBANIZED AND INDEPENDENT CITY 500.00

V. APPROVAL OF FARMLOT

A. PRELIMINARY APPROVAL AND LOCATIONAL CLEARANCE

1. FIRST FIVE (5) HECTARE 200.00

2. EVERY ADD'L. HECTARE 20.00

B. FINAL APPROVAL (PER HECTARE) 500.00

C. INSPECTION FEE (PER HECTARE) 300.00

D. ALTERATION OF PLAN FEE (AFFECTED AREAS ONLY) 500.00

E. CERTIFICATE OF REGISTRATION AND LICENSE TO
SELL PER SALEABLE LOT 20.00

F. CERTIFICATE OF COMPLETION PER HECTARE 300.00

VI. APPROVAL OF MEMORIAL PARK PROJECT

A. PRELIMINARY APPROVAL AND LOCATIONAL CLEARANCE

1. FIRST ONE (1) HECTARE 200.00

2. EVERY ADDITIONAL HECTARE 50.00

B. FINAL APPROVAL (PER SQUARE METER) 1.00

C. INSPECTION FEE (PER HECTARE) 100.00

D. ALTERATION OF PLAN FEE (AFFECTED AREAS ONLY) SAME AS
FINAL APPROVAL

E. CERTIFICATE OF REGISTRATION AND LICENSE TO
SELL PER SALEABLE LOT 10.00

F. CERTIFICATE OF COMPLETION/HECTARE 100.00

VII. OTHER CERTIFICATIONS

A. APPLICATION FOR THE FOLLOWING:

1. ADVERTISEMENT APPROVAL 200.00

2. CANCELLATION/REDUCTION OF PERFORMANCE BOND 350.00

3. LIFTING OF SUSPENSION OF LICENSE TO SELL 350.00

4. EXTENSION OF TIME TO COMPLETE DEVELOPMENT 50.00

5. EXEMPTION FROM CEASE AND DESIST ORDER 50.00

6. CLEARANCE TO MORTGAGE 350.00

7. LIFTING OF CEASE AND DESIST ORDER 350.00

8. CHANGE OF NAME/OWNERSHIP 350.00

9. VOLUNTARY CANCELLATION OF CR/LS 350.00

10. ZONING CERTIFICATION 75.00

11. CERTIFICATION — NEW RIGHTS/SALES 75.00

12. CERTIFICATE OF LOCATIONAL VIABILITY 75.00

13. OTHER TYPES TO INCLUDE:

a. AVAILABILITY OF RECORDS/PUBLIC
REQUEST OF COPIES/RESEARCH WORKS 75.00

b. CERTIFICATION OF NO RECORDS ON FILE 75.00
c. CERTIFICATION OF WITH OR WITHOUT CR/LS 75.00

14. REVALIDATION/RENEWAL OF PERMIT- 50% OF THE
CONDOMINIUM ORIGINALFEE

15. CERTIFICATE OF REGISTRATION AND
LICENSE TO SELL (FORM) 75.00

16. CERTIFIED TRUE/XEROX COPY OF DOCUMENTS
a. DOCUMENT OF 5 PAGES OR LESS 20.00
b. EVERY ADDITIONAL PAGES 2.00

VIII. REGISTRATION OF DEALERS/BROKERS/SALESMEN

1. DEALERS/BROKERS 200.00
2. SALESMEN 120.00

IX. LEGAL FEES *

A. COMPLAINT/OPPOSITION FEE

1. NOT MORE THAN P20,000.00 120.00

2. MORE THAN P20,000.00 BUT LESS THAN 150.00
P40,000.00

3. P40,000.00 OR MORE BUT LESS THAN 200.00
P60,000.00

4. P60,000.00 OR MORE BUT LESS THAN 250.00
P80,000.00
5. P80,000.00 OR MORE BUT LESS THAN 400.00
P100,000.00

6. P100,000.00 OR MORE BUT LESS THAN 600.00
P150,000.00

7. FOR EACH P1,000.00 IN EXCESS OF 5.00
P150,000.00

B. PETITION FOR REVIEW FEE 1,000.00

C. PAUPER-LITIGANTS EXEMPT FROM PAYMENT OF LEGAL FEES

1. THOSE WHOSE GROSS INCOME IS NOT' MORE THAN P4,000.00
PER MONTH AND RESIDING WITHIN METRO MANILA.

2. THOSE WHOSE GROSS INCOME IS NOT MORE THAN P3,000.00
PER MONTH AND RESIDING OUTSIDE METRO MANILA.

3. THOSE WHO DO NOT OWN .REAL PROPERTY WITH AN ASSESSED VALUE OF MORE THAN P50,000.00

* Incorporated in the HLRB Rules of Procedures; approved under Res. No. R-576, dated 09 October 1995

D. GOVERNMENT AGENCIES AND ITS INSTRUMENTALITIES ARE
EXEMPTED FROM PAYING LEGAL FEES.

E. LOCAL GOVERNMENTS AND GOVERNMENT-OWNED OR
CONTROLLED CORPORATIONS WITH OR WITHOUT
INDEPENDENT CHARTERS ARE NOT EXEMPT FROM
PAYING LEGAL FEES.

X. SCHEDULE OF FINES NO INCREASE
NOTE: UPLR — SAME COMPUTATION

SECTION 32. Accreditation of Licensed Engineers and Architects. —

Any duly Licensed Architect, Engineer or Planner who desires to be accredited with the BOARD shall file his sworn application containing his name and address, current Professional Regulation.

SECTION 33. Authority for the Issuance of Supplemental Directives or Memoranda. —

Authority is hereby given to the Chief Executive Officer of the BOARD to issue supplemental directives or memoranda implementing or interpreting, and consistent with the provision hereof.

SECTION 34. Applicability. —

These Rules shall apply only to residential subdivision and condominium projects as defined by the Decree and related laws. Development of an existing subdivision shall be governed by the design standards and requirements set forth by the appropriate government agency obtaining at the time of its approval. These Rules shall not apply to the transactions mentioned in Section 7 of the Decree.

SECTION 35. Separability Clause. —

The provisions of these Rules are hereby declared separable, and in the event any of such provisions are declared null and void, the validity of all other provisions shall not be affected thereby.

SECTION 36. Effectivity. —

These Rules shall take effect immediately after its publication three (3) times a week for two (2) consecutive weeks in any newspaper of general circulation.

APPROVED this 9th day of October 1995, Diliman, Quezon City.

(SGD.) DIONISIO C. DELA SERNA
Chairman, HUDCC
Ex-Officio Chairman

(SGD.) ISAGANI B. VALDELLON (SGD.) ERNESTO C. MENDIOLA
Deputy Director-General, NEDA Commissioner and Chief
Ex-Officio Commissioner Executive Officer

(SGD.) PRESBITERO J. VELASCO, JR. (SGD.) ROMULO Q. FABUL
Undersecretary, DOJ Commissioner
Ex-Officio Commissioner

(SGD.) SIMEON M. VENTURA (SGD.) LUIS T. TUNGPALAN
Undersecretary, DILG Commissioner
Ex-Officio Commissioner

(SGD.) JOEL L. ALTEA (SGD.) TERESITA A. DESIERTO
Asst. Secretary, DPWH Commissioner
Ex-Officio Commissioner

Attested by:

(SGD.) CAROLINA A. CASAJE
Officer-in-Charge
Board Secretariat
PRESIDENTIAL DECREE NO. 957
REGULATING THE SALE OF SUBDIVISION LOTS AND CONDOMINIUMS, PROVIDING PENALTIES FOR VIOLATIONS THEREOF

WHEREAS, it is the policy of the State to afford its inhabitants the requirements of decent human settlement and to provide them with ample opportunities for improving their quality of life;

WHEREAS, numerous reports reveal that many real estate subdivision owners, developers, operators, and/or sellers have reneged on their representations and obligations to provide and maintain properly subdivision roads, drainage, sewerage, water systems, lighting systems, and other similar basic requirements, thus endangering the health and safety of home and lot buyers;

WHEREAS, reports of alarming magnitude also show cases of swindling and fraudulent manipulations perpetrated by unscrupulous subdivision and condominium sellers and operators, such as failure to deliver titles to the buyers or titles free from liens and encumbrances, and to pay real estate taxes, and fraudulent sales of the same subdivision lots to different innocent purchasers for value;

WHEREAS, these acts not only undermine the land and housing program of the government but also defeat the objectives of the New Society, particularly the promotion of peace and order and the enhancement of the economic, social and moral condition of the Filipino people;

WHEREAS, this state of affairs has rendered it imperative that the real estate subdivision and condominium businesses be closely supervised and regulated, and that penalties be imposed on fraudulent practices and manipulations committed in connection therewith.

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, by virtue of the powers vested in me by the Constitution, do hereby decree and order:





Title I

TITLE AND DEFINITIONS

SECTION 1. Title. —

This Decree shall be known as THE SUBDIVISION AND CONDOMINIUM BUYERS' PROTECTIVE DECREE.

SECTION 2. Definition of Terms. —

When used in this Decree, the following terms shall, unless the context otherwise indicates, have the following respective meanings:

a) Person. — "Person" shall mean a natural or a juridical person. A juridical person refers to a business firm whether a corporation, partnership, cooperative or associations or a single proprietorship.

b) Sale or sell. — "Sale" or "sell" shall include every disposition, or attempt to dispose, for a valuable consideration, of a subdivision lot, including the building and other improvements thereof, if any, in a subdivision project or a condominium unit in a condominium project. "Sale" and "sell" shall also include a contract to sell, a contract of purchase and sale, an exchange, an attempt to sell, an option of sale or purchase, a solicitation of a sale, or an offer to sell, directly or by an agent, or by a circular, letter, advertisement or otherwise.

A privilege given to a member of a cooperative, corporation, partnership, or any association and/or the issuance of a certificate or receipt evidencing or giving the right of participation in, or right to, any land in consideration of payment of the membership fee or dues, shall be deemed a sale within the meaning of this definition.

c) Buy and purchase. — The "buy" and "purchase" shall include any contract to buy, purchase, or otherwise acquire for a valuable consideration a subdivision lot, including the building and other improvements, if any, in a subdivision project or a condominium unit in a condominium project.

d) Subdivision project. — "Subdivision project" shall mean a tract or a 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.

e) Subdivision lot. — "Subdivision lot" shall mean any of the lots, whether residential, commercial, industrial, or recreational, in a subdivision project.

f) Complex subdivision plan. — "Complex subdivision plan" shall mean a subdivision plan of a registered land wherein a street, passageway or open space is delineated on the plan.

g) Condominium project. — "Condominium project" shall mean the entire parcel of real property divided or to be divided primarily for residential purposes into condominium units, including all structures thereon.

h) Condominium unit. — "Condominium unit" shall mean a part of the condominium project intended for any type of independent use or ownership, including one or more rooms or spaces located in one or more floors (or part of parts of floors) in a building or buildings and such accessories as may be appended thereto.

i) Owner. — "Owner" shall refer to the registered owner of the land subject of a subdivision or a condominium project.

j) Developer. — "Developer" shall mean the person who develops or improves the subdivision project or condominium project for and in behalf of the owner thereof.

k) Dealer. — "Dealer" shall mean any person directly engaged as principal in the business of buying, selling or exchanging real estate whether on a full-time or part-time basis.

l) Broker. — "Broker" shall mean any person who, for commission or other compensation, undertakes to sell or negotiate the sale of a real estate belonging to another.

m) Salesman. — "Salesman" shall refer to the person regularly employed by a broker to perform, for and in his behalf, any or all functions of a real estate broker.

n) Authority. — "Authority" shall mean the National Housing Authority.


Title II

REGISTRATION AND LICENSE TO SELL


SECTION 3. National Housing Authority. —

The National Housing Authority shall have exclusive jurisdiction to regulate the real estate trade and business in accordance with the provisions of this Decree.

SECTION 4. Registration of Projects. —

The registered owner of a parcel of land who wishes to convert the same into a subdivision project shall submit his subdivision plan to the Authority which shall act upon and approve the same, upon a finding that the plan complies with the Subdivision Standards' and Regulations enforceable at the time the plan is submitted. The same procedure shall be followed in the case of a plan for a condominium project except that, in addition, said Authority shall act upon and approve the plan with respect to the building or buildings included in the condominium project in accordance with the National Building Code (R.A. No. 6541).

The subdivision plan, as so approved, shall then be submitted to the Director of Lands for approval in accordance with the procedure prescribed in Section 44 of the Land Registration Act (Act No. 496, as amended by R.A. No. 440): Provided, that it case of complex subdivision plans, court approval shall no longer be required. The condominium plan as likewise so approved, shall be submitted to the Register of Deeds of the province or city in which the property lies and the same shall be acted upon subject to the conditions and in accordance with the procedure prescribed in Section 4 of the Condominium Act (R.A. No. 4726).

The owner or the real estate dealer interested in the sale of lots or units, respectively, in such subdivision project or condominium project shall register the project with the Authority by filing therewith a sworn registration statement containing the following information:

a) Name of the owner;

b) The location of the owner's principal business office, and if the owner is a non-resident Filipino, the name and address of his agent or representative in the Philippines is authorized to receive notice;

c) The names and addresses of all the directors and officers of the business firm, if the owner be a corporation, association, trust, or other entity, and of all the partners, if it be a partnership;

d) The general character of the business actually transacted or to be transacted by the owner; and

e) A statement of the capitalization of the owner, including the authorized and outstanding amounts of its capital stock and the proportion thereof which is paid-up.

The following documents shall be attached to the registration statement:

a) A copy of the subdivision plan or condominium plan as approved in accordance with the first and second paragraphs of this section;

b) A copy of any circular, prospectus, brochure, advertisement, letter, or communication to be used for the public offering of the subdivision lots or condominium units;

c) In case of a business firm, a balance sheet showing the amount and general character of its assets and liabilities and a copy of its articles of incorporation or articles of partnership or association, as the case may be, with all the amendments thereof and existing by-laws or instruments corresponding thereto;

d) A title to the property which is free from all liens and encumbrances: Provided, however, that in case any subdivision lot or condominium unit is mortgaged, it is sufficient if the instrument of mortgage contains a stipulation that the mortgagee shall release the mortgage on any subdivision lot or condominium unit as soon as the full purchase price for the same is paid by the buyer.

The person filing the registration statement shall pay the registration fees prescribed therefor by the Authority.

Thereupon, the Authority shall immediately cause to be published a notice of the filing of the registration statement at the expense of the applicant-owner or dealer, in two newspapers general circulation, one published in English and another in Pilipino, once a week for two consecutive weeks, reciting that a registration statement for the sale of subdivision lots or condominium units has been filed in the National Housing Authority; that the aforesaid registration statement, as well as the papers attached thereto, are open to inspection during business hours by interested parties, under such regulations as the Authority may impose; and that copies thereof shall be furnished to any party upon payment of the proper fees.

The subdivision project of the condominium project shall be deemed registered upon completion of the above publication requirement. The fact of such registration shall be evidenced by a registration certificate to be issued to the applicant-owner or dealer.

SECTION 5. License to sell. —

Such owner or dealer to whom has been issued a registration certificate shall not, however, be authorized to sell any subdivision lot or condominium unit in the registered project unless he shall have first obtained a license to sell the project within two weeks from the registration of such project.

The Authority, upon proper application therefor, shall issue to such owner or dealer of a registered project a license to sell the project if, after an examination of the registration statement filed by said owner or dealer and all the pertinent documents attached thereto, he is convinced that the owner or dealer is of good repute, that his business is financially stable, and that the proposed sale of the subdivision lots or condominium units to the public would not be fraudulent.

SECTION 6. Performance Bond. —

No license to sell subdivision lots or condominium units shall be issued by the Authority under Section 5 of this Decree unless the owner or dealer shall have filed an adequate performance bond approved by said Authority to guarantee the construction and maintenance of the roads, gutters, drainage, sewerage, water system, lighting systems, and full development of the subdivision project or the condominium project and the compliance by the owner or dealer with the applicable laws and rules and regulations.

The performance bond shall be executed in favor of the Republic of the Philippines and shall authorize the Authority to use the proceeds thereof for the purposes of its undertaking in case of forfeiture as provided in this Decree.

SECTION 7. Exempt transactions. —

A license to sell and performance bond shall not be required in any of the following transactions:

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

b) Sale or transfer of a subdivision lot by the original purchaser thereof and any subsequent sale of the same lot.

c) Sale of a subdivision lot or a condominium unit by or for the account of a mortgagee in the ordinary course of business when necessary to liquidate a bona fide debt.

SECTION 8. Suspension of license to sell. —

Upon verified complaint by a buyer of a subdivision lot or a condominium unit in any interested party, the Authority may, in its discretion, immediately suspend the owner's or dealer's license to sell pending investigation and hearing of the case as provided in Section 13 hereof.

The Authority may motu proprio suspend the license to sell if, in its opinion, any information in the registration statement filed by the owner or dealer is or has become misleading, incorrect, inadequate or incomplete or the sale or offering for a sale of the subdivision or condominium project may work or tend to work a fraud upon prospective buyers.

The suspension order may be lifted if, after notice and hearing, the Authority is convinced that the registration statement is accurate or that any deficiency therein has been corrected or supplemented or that the sale to the public of the subdivision or condominium project will neither be fraudulent not result in fraud. It shall also be lifted upon dismissal of the complaint for lack of legal basis.

Until the final entry of an order of suspension, the suspension of the right to sell the project, though binding upon all persons notified thereof, shall be deemed confidential unless it shall appear that the order of suspension has in the meantime been violated.

SECTION 9. Revocation of registration certificate and license to sell. —

The Authority may, motu proprio or upon verified complaint filed by a buyer of a subdivision lot or condominium unit, revoke the registration of any subdivision project or condominium project and the license to sell any subdivision lot or condominium unit in said project by issuing an order to this effect, with his findings in respect thereto, if upon examination into the affairs of the owner or dealer during a hearing as provided for in Section 14 hereof, if shall appear there is satisfactory evidence that the said owner or dealer:

a) Is insolvent; or

b) has violated any of the provisions of this Decree or any applicable rule or regulation of the Authority, or any undertaking of his/its performance bond; or

c) Has been or is engaged or is about to engage in fraudulent transactions; or

d) Has made any misrepresentation in any prospectus, brochure, circular or other literature about the subdivision project or condominium project that has been distributed to prospective buyers; or

e) Is of bad business repute; or

f) Does not conduct his business in accordance with law or sound business principles.

Where the owner or dealer is a partnership or corporation or an unincorporated association, it shall be sufficient cause for cancellation of its registration certificate and its license to sell, if any member of such partnership or any officer or director of such corporation or association has been guilty of any act or omission which would be cause for refusing or revoking the registration of an individual dealer, broker or salesman as provided in Section 11 hereof.

SECTION 10. Registers of subdivision lots and condominium units. —

A record of subdivision lots and condominium units shall be kept in the Authority wherein shall be entered all orders of the Authority affecting the condition or status thereof. The registers of subdivision lots and condominium units shall be open to public inspection subject to such reasonable rules as the Authority may prescribe.


Title III

DEALERS, BROKERS AND SALESMEN


SECTION 11. Registration of dealers, brokers and salesmen. —

No real estate dealer, broker or salesman shall engage in the business of selling subdivision lots or condominium units unless he has registered himself with the Authority in accordance with the provisions of this section.


If the Authority shall find that the applicant is of good repute and has complied with the applicable rules of the Authority, including the payment of the prescribed fee, he shall register such applicant as a dealer, broker or salesman upon filing a bond, or other security in lieu thereof, in such sum as may be fixed by the Authority conditioned upon his faithful compliance with the provisions of this Decree: Provided, that the registration of a salesman shall cease upon the termination of his employment with a dealer or broker.
Every registration under this section shall expire on the thirty-first day of December of each year. Renewal of registration for the succeeding year shall be granted upon written application therefor made not less than thirty nor more than sixty days before the first day of the ensuing year and upon payment of the prescribed fee, without the necessity of filing further statements or information, unless specifically required by the Authority. All applications filed beyond said period shall be treated as original applications.

The names and addresses of all persons registered as dealers, brokers, or salesmen shall be recorded in a Register of Brokers, Dealers and Salesmen kept in the Authority which shall be open to public inspection.

SECTION 12. Revocation of registration as dealers, brokers or salesmen. —

Registration under the preceding section may be refused or any registration granted thereunder, revoked by the Authority if, after reasonable notice and hearing, it shall determine that such applicant or registrant:

1) Has violated any provision of this Decree or any rule or regulation made hereunder; or

2) Has made a material false statement in his application for registration; or

3) Has been guilty of a fraudulent act in connection with any sale of a subdivision lot or condominium unit; or

4) Has demonstrated his unworthiness to transact the business of dealer, broker, or salesman, as the case may be.

In case of charges against a salesman, notice thereof shall also be given the broker or dealer employing such salesman.

Pending hearing of the case, the Authority shall have the power to order the suspension of the dealer's, broker's, of salesman's registration; provided, that such order shall state the cause for the suspension.

The suspension or revocation of the registration of a dealer or broker shall carry with it all the suspension or revocation of the registrations of all his salesmen.





Title IV

PROCEDURE FOR REVOCATION OF REGISTRATION CERTIFICATE


SECTION 13. Hearing. —

In the hearing for determining the existence of any ground or grounds for the suspension and/or revocation of registration certificate and license to sell as provided in Section 8 and 9 hereof, the following shall be complied with:

a) Notice. — No such hearing shall proceed unless the respondent is furnished with a copy of the complaint against him or is notified in writing of the purpose of such hearing.

b) Venue. — The hearing may be held before the officer or officers designated by the Authority on the date and place specified in the notice.

c) Nature of proceeding. — The proceedings shall be non-litigious and summary in nature without regard to legal technicalities obtaining in courts of law. The Rules of court shall not apply in said hearing except by analogy or in a suppletory character and whenever practicable and convenient.

d) Power incidental to the hearing. — For the purpose of the hearing or other proceeding under this Decree, the officer or officers designated to hear the complaint shall have the power to administer oaths, subpoena witnesses, conduct ocular inspections, take depositions, and require the production of any book, paper, correspondence, memorandum, or other record which are deemed relevant or material to the inquiry.

SECTION 14. Contempt. —

a) Direct contempt. — The officer or officers designated by the Authority to hear the complaint may summarily adjudge in direct contempt any person guilty of misbehavior in the presence of or so near the said hearing officials as to obstruct or interrupt the proceedings before the same or of refusal to be sworn or to answer as a witness or to subscribe an affidavit or deposition when lawfully required to do so. The person found guilty of direct contempt under this section shall be punished by a fine not exceeding Fifty (P50.00) Pesos or imprisonment not exceeding five (5) days, or both.

b) Indirect contempt. — The officer or officers designated to hear the complaint may also adjudge any person in indirect contempt on grounds and in the manner prescribed in Rule 71 of the Revised Rules of Court.

SECTION 15. Decision. —

The case shall be decided within thirty (30) days from the time the same is submitted for decision. The Decision may order the revocation of the registration of the subdivision or condominium project, the suspension, cancellation, or revocation of the license to sell and/or forfeiture, in whole or in part, of the performance bond mentioned in Section 6 hereof. In case forfeiture of the bond is ordered, the Decision may direct the provincial or city engineer to undertake or cause the construction of roads and of other requirements for the subdivision or condominium as stipulated in the bond, chargeable to the amount forfeited. Such decision shall be immediately executory and shall become final after the lapse of 15 days from the date of receipt of the Decision.

SECTION 16. Cease and Desist Order. —

Whenever it shall appear to the Authority that any person is engaged or about to engage in any act or practice which constitutes or will constitute a violation of the provisions of this Decree, or of any rule or regulation thereunder, it may, upon due notice and hearing as provided in Section 13 hereof, issue a cease and desist order to enjoin such act or practices.

SECTION 17. Registration. —

All contracts to sell, deeds of sale and other similar instruments relative to the sale or conveyance of the subdivision lots and condominium units, whether or not the purchase price is paid in full, shall be registered by the seller in the Office of the Register of Deeds of the province or city where the property is situated.

Whenever a subdivision plan duly approved in accordance with Section 4 hereof, together with the corresponding owner's duplicate certificate of title, is presented to the Register of Deeds for registration, the Register of Deeds shall register the same in accordance with the provisions of the Land Registration Act, as amended: Provided, however, that it there is a street, passageway or required open space delineated on a complex subdivision plan hereafter approved and as defined in this Decree, the Register of Deeds shall annotate on the new certificate of title covering the street, passageway or open space, a memorandum to the effect that except by way of donation in favor of a city or municipality, no portion of any street, passageway, or open space so delineated on the plan shall be closed or otherwise disposed of by the registered owner without the requisite approval as provided under Section 22 of this Decree.

SECTION 18. Mortgages. —

No mortgage on any unit or lot shall be made by the owner or developer without prior written approval of the Authority. Such approval shall not be granted unless it is shown that the proceeds of the mortgage loan shall be used for the development of the condominium or subdivision project and effective measures have been provided to ensure such utilization. The loan value of each lot or unit covered by the mortgage shall be determined and the buyer thereof, if any, shall be notified before the release of the loan. The buyer may, at his option, pay his installment for the lot or unit directly to the mortgagee who shall apply the payments to the corresponding mortgage indebtedness secured by the particular lot or unit being paid for, with a view to enabling said buyer to obtain title over the lot or unit promptly after full payment thereto;

SECTION 19. Advertisements. —

Advertisements that may be made by the owner or developer through newspaper, radio, television, leaflets, circulars or any other form about the subdivision or the condominium or its operations or activities must reflect the real facts and must be presented in such manner that will not tend to mislead or deceive the public.

The owner or developer shall answerable and liable for the facilities, improvements, infrastructures or other forms of development represented or promised in brochures, advertisements and other sales propaganda disseminated by the owner or developer or his agents and the same shall form part of the sales warranties enforceable against said owner or developer, jointly and severally. Failure to comply with these warranties shall also be punishable in accordance with the penalties provided for in this Decree.

SECTION 20. Time of Completion. —

Every owner or developer shall construct and provide the facilities, improvements, infrastructures and other forms of development, including water supply and lighting facilities, which are offered and indicated in the approved subdivision or condominium plans, brochures, prospectus, printed matters, letters or in any form of advertisement, within one year from the date of the issuance of the license for the subdivision or condominium project or such other period of time as may be fixed by the Authority.

SECTION 21. Sales Prior to Decree. —

In cases of subdivision lots or condominium units sold or disposed of prior to the effectivity of this Decree, it shall be incumbent upon the owner or developer of the subdivision or condominium project to complete compliance with his or its obligations as provided in the preceding section within two years from the date of this Decree unless otherwise extended by the Authority or unless an adequate performance bond is filed in accordance with Section 6 hereof.

Failure of the owner or developer to comply with the obligations under this and the preceding provisions shall constitute a violation punishable under Sections 38 and 39 of this Decree.

SECTION 22. Alteration of Plans. —

No owner or developer shall change or alter the roads, open spaces, infrastructures, facilities for public use and/or other form of subdivision development as contained in the approved subdivision plan and/or represented in its advertisements, without the permission of the Authority and the written conformity or consent of the duly organized homeowners association, or in the absence of the latter, by the majority of the lot buyers in the subdivision.

SECTION 23. Non-Forfeiture of Payments. —

No installment payment made by a buyer in a subdivision or condominium project for the lot or unit he contracted to buy shall be forfeited in favor of the owner or developer when the buyer, after due notice to the owner or developer, desists from further payment due to the failure of the owner or developer to develop the subdivision or condominium project according to the approved plans and within the time limit for complying with the same. Such buyer may, at his option, be reimbursed the total amount paid including amortization interests but excluding delinquency interests, with interest thereon at the legal rate.

SECTION 24. Failure to pay installments. —

The rights of the buyer in the event of this failure to pay the installments due for reasons other than the failure of the owner or developer to develop the project shall be governed by Republic Act No. 6552.

Where the transaction or contract was entered into prior to the effectivity of Republic Act No. 6552 on August 26, 1972, the defaulting buyer shall be entitled to the corresponding refund based on the installments paid after the effectivity of the law in the absence of any provision in the contract to the contrary.

SECTION 25. Issuance of Title. —

The owner or developer shall deliver the title of the lot or unit to the buyer upon full payment of the lot or unit. No fee, except those required for the registration of the deed of sale in the Registry of Deeds, shall be collected for the issuance of such title. In the event a mortgage over the lot or unit is outstanding at the time of the issuance of the title to the buyer, the owner or developer shall redeem the mortgage or the corresponding portion thereof within six months from such issuance in order that the title over any fully paid lot or unit may be secured and delivered to the buyer in accordance herewith.

SECTION 26. Realty Tax. —

Real estate tax and assessment on a lot or unit shall de paid by the owner or developer without recourse to the buyer for as long as the title has not passed the buyer; Provided, however, that if the buyer has actually taken possession of and occupied the lot or unit, he shall be liable to the owner or developer for such tax and assessment effective the year following such taking of possession and occupancy.

SECTION 27. Other Charges. —

No owner or developer shall levy upon any lot or buyer a fee for an alleged community benefit. Fees to finance services for common comfort, security and sanitation may be collected only by a properly organized homeowners association and only with the consent of a majority of the lot or unit buyers actually residing in the subdivision or condominium project.

SECTION 28. Access to Public Offices in the Subdivisions. —

No owner or developer shall deny any person free access to any government office or public establishment located within the subdivision or which may be reached only by passing through the subdivision.

SECTION 29. Right of Way to Public Road. —

The owner or developer of a subdivision without access to any existing public road or street must secure a right of way to a public road or street and such right of way must be developed and maintained according to the requirement of the government and authorities concerned.

SECTION 30. Organization of Homeowners Association. —

The owner or developer of a subdivision project or condominium project shall initiate the organization of a homeowners association among the buyers and residents of the projects for the purpose of promoting and protecting their mutual interest and assist in their community development.

SECTION 31. Donations of roads and open spaces to local government. —

The registered owner or developer of the subdivision or condominium project, upon completion of the development of said project may, at his option, convey by way of donation the roads and open spaces found within the project to the city or municipality wherein the project is located. Upon acceptance of the donation by the city or municipality concerned, no portion of the area donated shall thereafter be converted to any other purpose or purposes unless after hearing, the proposed conversion is approved by the Authority.

SECTION 32. Phases of Subdivision. —

For purposes of complying with the provisions of this Decree, the owner or developer may divide the development and sale of the subdivision into phases, each phase to cover not less than ten hectares. The requirement imposed by this Decree on the subdivision as a whole shall be deemed imposed on each phase.

SECTION 33. Nullity of waivers. —

Any condition, stipulation, or provision in contract of sale whereby any person waives compliance with any provision of this Decree or of any rule or regulation issued thereunder shall be void.

SECTION 34. Visitorial powers. —

This Authority, through its duly authorized representative may, at any time, make an examination into the business affairs, administration, and condition of any person, corporation, partnership, cooperative, or association engaged in the business of selling subdivision lots and condominium units. For this purpose, the official authorized so to do shall have the authority to examine under oath the directors, officers, stockholders or members of any corporation, partnership, association, cooperative or other persons associated or connected with the business and to issue subpoena or subpoena duces tecum in relation to any investigation that may arise therefrom.

The Authority may also authorize the Provincial, City or Municipal Engineer, as the case may be, to conduct an ocular inspection of the project to determine whether the development of said project conforms to the standards and specifications prescribed by the government.

The books, papers, letters, and other documents belonging to the person or entities herein mentioned shall be open to inspection by the Authority or its duly authorized representative.

SECTION 35. Take-over Development. —

The Authority, may take over or cause the development and completion of the subdivision or condominium project at the expenses of the owner or developer, jointly and severally, in cases where the owner or developer has refused or failed to develop or complete the development of the project as provided for in this Decree.

The Authority may, after such take-over, demand, collect and receive from the buyers the installment payments due on the lots, which shall be utilized for the development of the subdivision.

SECTION 36. Rules and Regulations. —

The Authority shall issue the necessary standards, rules and regulations for the effective implementation of the provisions of this Decree. Such standards, rules and regulations shall take effect immediately after their publication three times a week for two consecutive weeks in any newspaper of general circulation.


SECTION 37. Deputization of law enforcement agencies. —

The Authority may deputize the Philippine Constabulary or any law enforcement agency in the execution of its final orders, rulings or decisions.


SECTION 38. Administrative Fines. —

The Authority may prescribe and impose fines not exceeding ten thousand pesos for violations of the provisions of this Decree or of any rule or regulation thereunder. Fines shall be payable to the Authority and enforceable through writs of execution in accordance with the provisions of the Rules of Court.

SECTION 39. Penalties. —

Any person who shall violate any of the provisions of this Decree and/or any rule or regulation that may be issued pursuant to this Decree shall, upon conviction, be punished by a fine of not more than twenty thousand (P20,000.00) pesos and/or imprisonment of not more than ten years: Provided, That in the case of corporations, partnership, cooperatives, or associations, the President, Manager or Administrator or the person who has charge of the administration of the business shall be criminally responsible for any violation of this Decree and/or the rules and regulations promulgated pursuant thereto.

SECTION 40. Liability of controlling persons. —

Every person who directly or indirectly controls any person liable under any provision of this Decree or of any rule or regulation issued thereunder shall be liable jointly and severally with and to the same extent as such controlled person unless the controlling person acted in good faith and did not directly or indirectly induce the act or acts constituting the violation or cause of action.

SECTION 41. Other remedies. —

The rights and remedies provided in this Decree shall be in addition to any and all other rights and remedies that may be available under existing laws.

SECTION 42. Repealing clause. —

All laws, executive orders, rules and regulations or part thereof inconsistent with the provisions of this Decree are hereby repealed or modified accordingly.

SECTION 43. Effectivity. —

This Decree shall take effect upon its approval.

Done in the City of Manila, this 12th day of July, in the year of Our Lord, nineteen hundred and seventy-six