Philippines

Dealing with Construction Permits in

Manila - Philippines

Below is a detailed summary of the procedures, time and costs to build a warehouse. This includes obtaining necessary licenses and permits, completing required notifications and inspections and obtaining utility connections.

The information appearing on this page was collected as part of the Doing Business subnational project in Philippines. Download this Doing Business report or explore other cities and topics.

No. Procedure Time to Complete Associated Costs
1 Obtain certified true copy of the land title from the Register of Deeds (RD)

The certified true copy of the land title serves as proof of ownership of the land on which the warehouse is to be built.
5 days PHP 57 (PHP 30 for the certification + PHP 6 for each additional page (2 pages needed) + PHP 15 documentary stamp tax)
* 2 Obtain certified true copy of the tax declaration of real property and tax clearance from the City Assessor's Office (CAO)

The certified true copy of the tax declaration of real property enables the company to identify the property by its index number. The tax clearance serves as proof that there are no arrears in the payment of realty taxes.
1 day PHP 60
* 3 Obtain lot plan with site map from the geodetic engineer

The company must obtain the lot plan with site map from a geodetic engineer to confirm the location of the land purported to be in the land title. A lot plan with site map is signed, sealed, and prepared after a meticulous geodetic survey, or at least after an analysis has been conducted of the lot technical description appearing on the title.
3 days PHP 1,000
4 Obtain barangay clearance

The barangay clearance is generally a requirement for obtaining the locational clearance. The costs for barangay clearances vary as barangays have the discretion to impose their own fees for as long as such fees are reasonable and within the limits imposed by the Local Government Code and city ordinances.
2 days PHP 100
5 Obtain locational clearance from the City Planning and Development Office (CPDO)

The locational clearance is required to ensure that the construction conforms to the city’s Comprehensive Land Use Plan and zoning ordinances.

The applicant must submit the following requirements:
a. Notarized locational clearance application form;
b. Barangay clearance;
c. Transfer Certificate of Title (TCT);
d. Latest real property tax receipt;
e. Architectural plan; and
f. Other documents required by the city.

20 days PHP 8,279 (PHP 5 per square meter for land use fee + 25% service processing fee + PHP 150 application fee)
6 Apply for the building permit and ancillary permits at the Office of the Building Official (OBO)


1 day No cost
7 Apply and obtain Fire Safety Evaluation Clearance (FSEC) from the local Fire Marshall at the Bureau of Fire Protection (BFP)

The FSEC is a clearance with a fire safety checklist that enumerates the life and fire safety requirements of the Fire Code.

The City Fire Marshall evaluates one set of plans and specifications submitted by the applicant to ensure that they conform to the fire safety and control requirements of the Fire Code. The applicant must also submit 3 sets of the Fire and Life Safety Assessment Report (FALAR) 1 (which documents the fire and life safety features of the building) prepared by an architect who is duly certified by the BFP to prepare this report.

1 day PHP 19,500 (0.1% of estimated project cost)
8 Obtain the building permit and ancillary permits at the OBO

The ancillary permits consist of: (1) the architectural permit, (2) civil/structural permit, (3) electrical permit, (4) mechanical permit, (5) sanitary permit, (6) plumbing permit, and (7) electronics permit.

The applicant must submit the following requirements:
a. Certified true copy of Original Certificate of Title (OCT)/TCT on file with the Registry of Deeds;
b. Tax declaration;
c. Current real property tax receipt;
d. Building permit application form;
e. Five (5) sets of survey plans, design plans, specifications and other related documents (i.e., architectural documents, civil/structural documents, electrical documents, mechanical documents, sanitary documents, plumbing documents, electronics documents, geodetic documents, and clearances from other agencies); and
f. Locational clearance from the CPDO.

63 days PHP 39,733 (PHP 600 PHP filing fee + PHP 115 for location with respect to abutment to street specific charge + PHP 30 per square meter)
9 Notarize the building permit application form at the notary

The applications mentioned in the previous procedure should be duly notarized. While submitting the application itself may be free of charge, the notarization could cost about PHP 200, fixed and based on a Supreme Court circular strictly regulating the practice of notaries.
1 day PHP 200
10 Receive inspection from the OBO during construction

During the construction of the warehouse, the OBO conducts an inspection to ensure that the construction follows the approved building plans and design.
1 day No cost
11 Apply for the Certificate of Occupancy and Certificate of Final Electrical Inspection (CFEI) at the OBO

In applying for a Certificate of Occupancy, the applicant must submit the following to the OBO:

a. Certificate of completion for mechanical;
b. Original logbook signed and sealed by Engineer-in-Charge of construction;
c. As-built plan signed and sealed by Engineer-in-Charge in case;
d. Electrical plan/sketch duly signed and sealed by Professional Electrical Engineer; and
e. Insulation/Merger test result for electrical works.

Requirements for CFEI:

a. Duly accomplished electrical permit application form;
b. Tax declaration/TCT; and
c. Current tax receipt.

The CFEI certifies that a final inspection of the electrical installation has been conducted and that such installation has been completed in accordance with the approved plans and specifications on file with the OBO.

1 day No cost
12 Apply for the Fire Safety Inspection Certificate (FSIC) at the BFP

Once construction has been completed, the company requests the BFP to inspect the site to certify that the required fire safety construction, fire protective and/or warning systems are properly installed and in good working condition. The applicant must submit a Fire and Life Safety Assessment Report 2 (which certifies that the construction of the building was in accordance with FALAR 1), prepared by an architect who is duly certified by the BFP to prepare this report.
1 day PHP 4,801 (10% of all fees charged by the Building Official)
13 Receive final inspection for the FSIC from the BFP


1 day No cost
14 Obtain the FSIC from the BFP


14 days No cost
* 15 Receive final inspection for the certificate of occupancy and CFEI from the OBO

The OBO conducts a final inspection to check the building based on the Certificate of Completion, construction logbook, building inspection sheets, original and as-built plans and specifications.
1 day No cost
* 16 Obtain the Certificate of Occupancy and CFEI from the OBO

After the OBO has processed the application and conducted the inspection, it then issues an assessment and order of payment. The OBO issues the certificate of occupancy after the applicant has paid the corresponding fees.
10 days PHP 3,122
17 Apply for electricity connection from Manila Electric Company (Meralco)

The electric company is Meralco. The company visits Meralco to request the connection and submit the CFEI and electrical plans. Meralco conducts an inspection of the warehouse and in the following days the technical staff visits the site for the electricity connection.
1 day No cost
18 Receive electricity inspection


1 day No cost
19 Obtain electricity connection from MERALCO

The electric company is Manila Electric Company (Meralco). The company visits Meralco to request the connection and submit the certificate of electrical inspection and electrical plans. Meralco conducts an inspection of the warehouse and in the following weeks the technical staff visit the site for the electricity connection.
56 days PHP 564,490 (PHP 35,000 for poles + PHP 334,400 for two 75 kVA transformers + PHP 44,000 for dressings + PHP 6,700 for guying + PHP 144,390 for security deposit)
* 20 Apply for water and sewage connection from Maynilad Water Services, Inc. (Maynilad)

The water company is Maynilad. The company visits Maynilad to request the connection and inspection takes place in a week. Maynilad subcontracts the installation to a contractor and the time of actual installation depends on the contractor.
1 day PHP 6,411
* 21 Receive inspection for water connection from Maynilad


1 day No cost
* 22 Obtain water and sewage connection from Maynilad


30 days No cost
* 23 Obtain telephone connection from the telephone company

There are three telephone companies providing landline services in Manila City. The cost is PHP 1,500 for Philippine Long Distance Co. (PLDT), and PHP 999 for Bayantel. Globelines requires proof of financial capability but does not charge any fee. There is a lock-in period of 12 months for the three providers. The case study assumes that the company will request services from Globelines as this is the option most favorable to the company.
5 days PHP 1,500
* 24 Apply for the tax declaration of improvement at the CAO

The company must update its official records to include the newly built warehouse for tax purposes. The OBO furnishes the CAO with a copy of the building plan and certificate of occupancy to notify them of the new building construction. The company must submit the floor plan and as-built plan to the CAO.
1 day No cost
* 25 Receive inspection from the Appraiser of CAO


1 day No cost
* 26 Obtain tax declaration of improvement at CAO

The tax declaration of improvement is released after an appraiser inspects the property, which can be done on the following day or sometimes even on the same day.
1 day No cost
* Takes place simultaneously with another procedure.

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