Philippine Housing Backlog and Slums

• The Philippines' population was 116,371,146 in 2025.
• The Philippines experienced a mass housing backlog of 6.66 million as of December 2022.
• The housing backlog is projected to rise to 22.6 million by 2040.
• The Shelter and Housing Developers were prompted to address the shelter shortage.
• The Urban Development and Housing Act (RA 7279) was enacted after 23 years to provide housing needs.

Housing Backlog Projection

• The Philippine housing backlog is projected to reach 22.6 million units by 2040.
• The housing backlog was 3.6 million units in 2007-2010.
• The housing backlog was 5.6 million units in 2011-2016.
• The housing backlog was 6.57 million units in 2017-2022.

Housing Statistics

• 6.66 Million Housing Backlog Needs:
• Central Luzon, Southern Tagalog and NCR is 50.7%.
• Central Visayas, Northern and Southern Mindanao is 49.3%.

Slums

• A slum is a squalid, overcrowded urban street or district inhabited by poor people.
• 22.8 million people live in slums.
• 1.2 million slum dwellers are children.

Homelessness in the Philippines

• Metro Manila ranks number 1 in the list of extremely high homeless population, along with other major cities worldwide.
• The Philippines is the 12th most populous country.
• There's a proliferation of informal settlers and sharing of dwelling units (4/10 no house and lot).
• It is projected that 22.6 million people (60% of the total population) will live in urban areas by 2040.

RA 7279: Urban Development and Housing Act

• It provides socialized housing (20% of the total project area) for underprivileged and homeless citizens.
• Key housing programs & projects include:
  • House & Lot or Home Lot Only
  • Sites and Services Development
  • Long Term Financing (Liberalized interest payment)

Issues on Housing Backlog

• Six issues on housing backlog:
  • Delayed Development Permit (LGU level)
  • Utility Rising Cost
  • Brain Drain (Construction Professionals)
  • Lack of Funding
  • Informal Settlers
  • Land Rising Cost

Housing & Delivery Process

• The housing & delivery process is a system used by an agency or owner for organizing and financing design, construction, operation, and maintenance services for a structure or facility into a legal agreement with one or more entities or parties.
• The project delivery method is the most important decision made by the owner embarking on a construction project.

Fundamentals Project Delivery

• Five important considerations for fundamentals project delivery:
  • Realistic Budget
  • Project Schedule
  • Design (Responsive & Efficient)
  • Risk Assessment
  • Level of Expertise

Project Delivery Methods

• Four project delivery methods:
  • Design-Bid-Build (DBB)
  • Construction Management at Risk (CMAR)
  • Design Build (DB)
  • Integral Project Delivery (IPD)

Design-Bid-Build Method

• Three project phases:
  • Design
  • Procurement
  • Construction

Construction Management at Risk (CMAR)

• A project manager acts as the owner's consultant in the development and design phase, assuming construction performance equivalent to a general contractor.

Design Build (DB)

• Combines architectural and engineering design services with construction under one contract.
• Two types of Design-Build:
  • Design-Build-Operate-Maintain (DBOM)
  • Build-Operate-Transfer (BOT)

Integrated Project Delivery (IPD)

• Contracts requires collaboration among primary parties such as: owner, designer and builder.
• Responsibility and liability are collectively managed and shared.

Selection of Delivery Method

• An owner or developer has several concerns when embarking on a construction project.
• Five selection influences of project delivery method:
  • Budget
  • Design
  • Schedule
  • Risk Assessment
  • Owner's/Developer's/Contractor's Level of Expertise

Socio Economic System

• An economic system involves the production, resource allocation, exchange, and distribution of goods and services in a society or given area.
• There are three basic questions:
  • What and how to produce?
  • What quantities?
  • Who receives production output?

Means of Housing Production

• Four factors of method control of economic control:
  • Ownership
  • Property Rights
  • Means of Production
  • Claims to Proceeds

Systems of Economic Control

• Three systems of economic control
  • Decision Making - economic agents.
  • Incentive - motivate productive activities.
  • Distribution System - income to organization, individual or groups.