The number of building constructions in the Philippines from approved permits grew 2 percent annually in March 2026 to 16,066, led by residential projects and a surge in non-residential values, government data showed.
The Philippine Statistics Authority (PSA) reported that the March expansion quickened slightly from the 1.8 percent annual growth pace recorded in February 2026. The March 2026 figure increased from 15,750 constructions in March 2025.
However, the total value of these constructions fell 0.5 percent to P49.07 billion from P49.33 billion in the same month last year. Total floor area also shrunk 7.8 percent annually to 3.41 million square meters from 3.70 million square meters.
Residential buildings accounted for the largest share of approvals, making up 62 percent of the total with 9,955 constructions. This represents a 1.1-percent increase from the 9,843 residential units approved in March 2025. Single-type houses dominated the sector, comprising 74.4 percent of all residential approvals with 7,407 projects.
Non-residential constructions formed the second-largest category at 3,663 approvals, or 22.8 percent of the total. The sector expanded at an annual rate of 4.9 percent, led by commercial buildings which made up 68 percent of non-residential construction with 2,490 projects.
While residential projects led in volume, non-residential buildings took the largest share of investment value.
Non-residential building projects were valued at P24.87 billion, accounting for 50.7 percent of the total construction value for the month. This represents a 7.7-percent increase from the P23.09 billion value posted in March 2025. Institutional-type buildings logged the highest value within the non-residential sector at P10.51 billion, or 42.3 percent.
Residential building values reached P18.70 billion, making up 38.1 percent of the total monthly construction value. This is a 0.3-percent increase from the P18.64 billion recorded in March last year. Single-type buildings registered the highest value at P11.43 billion, or 61.1 percent of the residential value.
New additions to existing structures, alterations and repairs and other constructions contributed 4.2 percent, 7.6 percent and 3.5 percent to the total project volume, respectively.
Additions surged 12.1 percent in volume and 47.6 percent in value to P0.83 billion. Alteration and repair projects fell 11.8 percent in volume and 29.8 percent in value to P4.10 billion. Other constructions increased 27.4 percent in volume but dropped 52.6 percent in value to P0.57 billion.
The non-residential sector made up more than half of the total floor area at 1.88 million square meters, or 55.2 percent, despite dropping 8.6 percent from the 2.06 million square meters tracked in March 2025. Residential floor area fell 7.6 percent to 1.47 million square meters, accounting for 43 percent of the total.
Average building costs jumped 15 percent to P12,987.74 per square meter in March 2026 from P11,295.51 per square meter in March 2025. These cost calculations exclude alterations, repairs and certain minor structures because they lack reported floor areas.
By project type, additions yielded the highest average cost at P13,330.67 per square meter. Non-residential projects averaged P13,159.53 per square meter while residential projects averaged P12,752.38 per square meter.
Within the non-residential segment, institutional buildings recorded the highest average cost at P16,848.78 per square meter, whereas agricultural buildings recorded the lowest at P7,381.40 per square meter. For residential constructions, residential condominiums posted the highest average cost at P24,146.94 per square meter and other residential constructions recorded the lowest at P10,483.72 per square meter.
