Updates On The Balanced Housing Development By: Atty. Antonio M. Bernardo Chief Executive Officer and Commissioner Updates On The Balanced Housing Development By: Atty. Antonio M. Bernardo Chief Executive Officer and Commissioner Compliance for Subdivision Projects

Percentage of Utilization Modes of Compliance Number Of Units New Settlements107,792 Joint Venture with LGUs and Private Developers 94,924 NHA SHUP35,704 Advance Credits21,404 Participation in CMP7,584 Gawad Kalinga and Habitat5,425 Socialized Condominium1,840 Purchase of Bonds115 TOTAL 274,788 Compliance for Subdivision Projects

Percentage of Utilization New Guidelines and Issuances On Section 18 of UDHA New Settlements 39.23% Joint-Venture w/ Private Developers & LGUs 39.23% 34.54% NHA SHUPs12.99% Advance Credits 7.79% Participation in CMP 2.76% Gawad Kalinga & Habitat1.97% Socialized Condominiums.67% Housing Bonds.04% Compliance for Subdivision Projects

M.C. No. 01, s. of 2013 Memorandum Circulars Nos. 01 – 07, series of 2013 [ January 02, 2013 ] Memorandum Circulars Nos. 01 – 07, series of 2013 Revised Implementing Rules and Regulations to Govern Section 18 of UDHA” New Guidelines and Issuances On Section 18 of UDHA Recent Issuances: Board Resolution No. 890, series of 2012 [ January 01, 2013 ] “Implementing Guidelines and Procedure for Board Resolution No. 890, series of 2012”

M.C. No. 03, s. of 2013 New Guidelines and Issuances On Section 18 of UDHA Developers complying with Section 18 by developing the compliance project by itself Developers complying with Section 18 By going into joint- ventures with its accredited subsidiaries or other accredited developers of socialized housing projects, or by contributing to accredited NGOs’ new socialized housing projects “Balanced Housing Development” M.C. No. 01, s. of 2013 “Development of New Settlements” M.C. No. 02, s. of 2013 Memorandum Circulars Nos. 01 – 07, series of 2013

M.C. No. 05, s. of 2013 New Guidelines and Issuances On Section 18 of UDHA Developers complying with Section 18 by contributing to NHA‘s programs and projects, or by purchasing NHA’s instruments of participation Developers complying with Section 18 By going into joint- ventures with the LGUs or HAs for the development of socialized housing projects or provision of facilities, centers or amenities. “Slum Upgrading” M.C. No. 03, s. of 2013 “Joint-Ventures with LGUs and Housing Agencies M.C. No. 04, s. of 2013 Memorandum Circulars Nos. 01 – 07, series of 2013

M.C. No. 06, s. of 2013 New Guidelines and Issuances On Section 18 of UDHA Developers complying with Section 18 through contribution and participation in the CMP, including purchase of asset-backed securities “Participation in Community Mortgage Program” “Participation in Community Mortgage Program” M.C. No. 05, s. of 2013 Memorandum Circulars Nos. 01 – 07, series of 2013

M.C. No. 07B, s. of 2013 New Guidelines and Issuances On Section 18 of UDHA Memorandum Circulars Nos. 01 – 07, series of 2013 Procedure and qualifications for the accreditation of developers of socialized housing projects to enter into joint-ventures “Accreditation of Developers of Socialized Housing Projects” “Accreditation of Developers of Socialized Housing Projects” M.C. No. 06, s. of 2013 Procedure and qualifications for the accreditation of NGOs to receive contributions from developers for the development of new socialized housing projects “Accreditation of Non- Government Organizations” M.C. No. 07, s. of 2013

December 09, 2013 Memorandum Circular No. 19, s. of 2013 Utilization of Unconstructed Housing Components Of Existing Socialized Housing Projects” New Guidelines and Issuances On Section 18 of UDHA Memorandum Circulars Nos. 01 – 07, series of 2013 Reducing the qualification requirement for accreditation of developers of socialized housing projects from 2,000 to only 500 housing units built “Amending M.C. No. 06, s. of 2013 M.C. No. 07B, s. of 2013

December 09, 2013 Memorandum Circular No. 19, s. of 2013 Utilization of Unconstructed Housing Components Of Existing Socialized Housing Projects” Utilization of Unconstructed Housing Components Coverage

UHC of all existing socialized housing projects may be utilized by other developers as compliance through joint-venture UHC of all existing socialized housing projects may be utilized by other developers as compliance through joint-venture UHC of existing socialized housing project/s which were developed by the same developer for future compliance UHC of existing socialized housing project/s which were developed by the same developer for future compliance Coverage Requirements and Limitations Coverage Advance Credits Existing Socialized Housing Projects Existing Socialized Housing Projects Utilization of Unconstructed Housing Components

Existing Socialized Housing Projects Existing Socialized Housing Projects LS of the Compliance Project must have been issued within ten (10) years from utilization (B.R. No. 843, s. of 2009) LS of the Compliance Project must have been issued within ten (10) years from utilization (B.R. No. 843, s. of 2009) Requirements and Limitations Coverage Advance Credits Utilization of Unconstructed Housing Components

Existing Socialized Housing Projects Existing Socialized Housing Projects Basis and Computation of Compliance 5. Subject to rules on approval of alteration of project, housing components may be constructed on originally lots-only projects; 5. Subject to rules on approval of alteration of project, housing components may be constructed on originally lots-only projects; Coverage Requirements and Limitations 4. Utilization and completion of housing component shall be within the original period of development as approved and indicated in the license to sell of the compliance project; 4. Utilization and completion of housing component shall be within the original period of development as approved and indicated in the license to sell of the compliance project; 1. Accreditation of the developer/s of the compliance project/s; 1. Accreditation of the developer/s of the compliance project/s; 2. Declaration of the UHC which may be utilized as compliance with Section 18 of UDHA [ until March 31, 2014 ]; 2. Declaration of the UHC which may be utilized as compliance with Section 18 of UDHA [ until March 31, 2014 ]; 3. Execution of notarized joint- venture between developer of the main subdivision project and compliance project; 3. Execution of notarized joint- venture between developer of the main subdivision project and compliance project; Utilization of Unconstructed Housing Components

Other Provisions Basis and Computation of Compliance Existing Socialized Housing Projects Existing Socialized Housing Projects 1. Total floor area or production cost of the housing components; and 1. Total floor area or production cost of the housing components; and Advance Credits 2. Additional area or cost of land development necessary for the construction of the housing components; 2. Additional area or cost of land development necessary for the construction of the housing components; 1. Amount of contribution or participation of the developer of the main subdivision project in the joint-venture 1. Amount of contribution or participation of the developer of the main subdivision project in the joint-venture Utilization of Unconstructed Housing Components

Incentivized Compliance To Benefit Calamity-Affected Areas New Guidelines and Issuances on Section 18 of UDHA 1. Procedure and Documentation; 2. Annotations of the Licenses to Sell; and 3. Monitoring and Sanctions. Memorandum Circular No. 01, s. of 2014 “Incentivized Compliance To Benefit Calamity-Affected Areas” February 12, 2014 Other Provisions Utilization of Unconstructed Housing Components

Development Of New Settlement Development Of New Settlement Slum Upgrading Joint Venture With Either LGUs or HAs Joint Venture With Either LGUs or HAs Participation in CMP Participation in CMP Manners and Modes of Compliance Manners and Modes of Compliance Balanced Housing Development Proof of 20% Compliance Issuance of CR / LS Accreditation of Developers and NGOs Regular Requirements and Procedure Regular Requirements and Procedure Incentivized Compliance and Procedure Incentivized Compliance To Benefit Calamity-Affected Areas Proof of 20% Compliance Issuance of CR / LS Accreditation of Developers and NGOs

Issuance of License to Sell (LS) of the Main Project Beneficiaries: Calamity –Affected Areas Proof of 20% Compliance Issuance of CR / LS Accreditation of Developers and NGOs Manners and Modes of Compliance Manners and Modes of Compliance Incentivized Compliance and Procedure Incentivized Compliance To Benefit Calamity-Affected Areas

Issued by the RFO upon submission of “preliminary plans and documents” Title or Authority to Develop Basic Facility, Center or Amenity Certificate of Initial Compliance LS of the Socialized Housing Project Site Development Plan Bill of Materials Work Program Undertaking to Complete The Development Issuance of License to Sell (LS) of the Main Project Sanggunian Approval Issued Development Permit Locational Clearance Required Minimum Development Other LGU Requirements Proof of Compliance INCENTIVIZED PROCEDURE Regular Procedure Socialized Housing Project Incentivized Compliance To Benefit Calamity-Affected Areas

Required Amount of Compliance Building Plan Bill of Materials Work Program Title or Authority to Develop Approved Building Plan Sanggunian Approval Locational Clearance Other LGU Requirements Certificate of Initial Compliance Building Permit Undertaking to Complete The Development Issuance of License to Sell (LS) of the Main Project Proof of Compliance Basic Facility, Center or Amenity INCENTIVIZED PROCEDURE Regular Procedure Incentivized Compliance To Benefit Calamity-Affected Areas

OUTRIGHT FULL 20% COMPLIANCE upon application for CR/LS of the Main Subdivision Project REMAINING COMPLIANCE REGULAR PROCEDURE INCENTIVIZED PROCEDURE within the first half of the approved period of development of the Main Subdivision Project REMAINING COMPLIANCE 5 – 20 % INITIAL COMPLIANCE 5 -20% INITIAL COMPLIANCE Required Amount of Compliance INCENTIVIZED PROCEDURE Incentivized Compliance To Benefit Calamity-Affected Areas

Other Modes Of Compliance REMAINING COMPLIANCE INCENTIVIZED PROCEDURE 5 – 20 % INITIAL COMPLIANCE May be utilized as initial compliance by more than one (1) Main Subdivision Projects Beneficiaries: If also for Calamity –Affected Areas INCENTIVIZED PROCEDURE Required Amount of Compliance Incentivized Compliance To Benefit Calamity-Affected Areas

Accreditation Approved Socialized Housing Bonds NHA’s Instrument of Participation or Contribution Asset-Backed Securities REGULAR PROCEDURE INCENTIVIZED PROCEDURE Donation of land, Provision of Facilities in CMP 5 – 20 % INITIAL COMPLIANCE within the first half of the approved period of development of the Main Subdivision Project OUTRIGHT FULL 20% COMPLIANCE upon application for CR/LS of the Main Subdivision Project REMAINING COMPLIANCE Other Modes Of Compliance Incentivized Compliance To Benefit Calamity-Affected Areas

Safeguards and Sanctions REGULAR PROCEDURE INCENTIVIZED PROCEDURE NO REQUIREMENT FOR # of UNITS BUILT HOUSING UNITS BUILT 500 Accreditation Incentivized Compliance To Benefit Calamity-Affected Areas

Suspension of LS of Main Subdivision Project in case of violation / delay in the development of the compliance project Suspension of License to Sell Clearance and Non-Issuance of New License to Sell Withholding or non-issuance of LS for a new main project in case of delay or non-completion of the compliance project Substitution of Compliance Only allowed if substitute compliance shall likewise benefit those affected by calamities Monitoring and Completion Compliance projects shall be immediately subject to regular monitoring upon issuance of certificate of initial compliance Safeguards and Sanctions Proposed Amendments to Section 18 of UDHA Incentivized Compliance To Benefit Calamity-Affected Areas

Sample Computation NUMBER OF SUBDIVISION PROJECTS AND RESIDENTIAL UNITS ISSUED LS 2004 – 2013 YEAR NO. OF PROJECTS NO. OF UNITS , , , , , , , , , ,740 TOTAL6,4591,651,128 Proposed Amendments to Section 18 of UDHA Requirement for Condominium Projects to comply with Section 18 of UDHA [ Balanced Housing Development ] NUMBER OF CONDOMINIUM PROJECTS AND RESIDENTIAL UNITS ISSUED LS 2004 – 2013 YEAR NO. OF PROJECTS NO. OF RES. UNITS , , , , , , , , , ,023 TOTAL ,485

Proposed Amendments to Section 18 of UDHA Modes of Compliance Number Of Units New Settlements107,792 Joint Venture with LGUs and Private Developers 94,924 NHA SHUP35,704 Advance Credits21,404 Participation in CMP7,584 Gawad Kalinga and Habitat 5,425 Socialized Condominium1,840 Purchase of Bonds115 TOTAL 274,788 units Sample Computation Total No. of Compliance Units Produced in 10 yrs. 274,788 units FOR SUBDIVISION PROJECTS

FOR CONDOMINIUM PROJECTS Sample Computation Proposed Amendments to Section 18 of UDHA Average No. of Compliance Units Produced / Year ( 24,788/10yrs) Total No. of Compliance Units Produced in 10 yrs. 274,788 units 27,479 units / yr. FOR SUBDIVISION PROJECTS

Compliance Units of Subdivision and Condominium Projects (20%, 15%, 10%, 5%) Proposed Amendments to Section 18 of UDHA Average no. of condominium units produced per year Total no. of condominium units produced in 10 years 443,485 units Total Saleable Residential Condominium Area (44,349 units x 36 sq.m.) average unit area 44, 349 units / yr. 1,596, 564 sq.m. FOR CONDOMINIUM PROJECTS Sample Computation

visit us at Thank you and visit us at Subdivision Condominium20%15%10%5% 20%45,21938,35031,47924,610 15%40,78433,91527,04420,175 10%36,34929,48022,60915,740 5%31,91425,04518,17411,305 Total Units per Combined Percentage of subdivision and condominium compliance Compliance Units of Subdivision and Condominium Projects (20%, 15%, 10%, 5%) 20%15%10%5% Subdivision20,61013,7396,870 Condominium17,74013,3058,8704,435 Proposed Amendments to Section 18 of UDHA 27,479 Sample Computation

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