April 2025 Construction Statistics: 8 Key Insights from Approved Building Permits
- bedandgoinc
- 6月25日
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June 25, 2025
The Philippine construction industry plays a vital role in shaping urban landscapes, supporting population growth, and powering national infrastructure. Each month, the Philippine Statistics Authority (PSA) releases building permit data that serves as a barometer of market demand, developer activity, and sector resilience. The April 2025 statistics paint a compelling picture of shifts in construction activity, real estate priorities, and project spending.
Here are eight essential insights from the April 2025 construction report:
1. Residential Constructions Remain the Backbone of the Market
In April 2025, the total number of constructions approved across the Philippines reached 14,111, marking a 9.6% drop from April 2024. While the decline may raise concerns, residential buildings still dominate activity — accounting for 65.8% of all projects.
Figure 1, Graph A: Single detached homes took the lead with 7,462 approvals, followed by apartments/accessoria and duplexes. Interestingly, only 15 condominium projects were approved, suggesting a slight shift toward low-rise and single-family builds, especially outside central business districts. The data underlines that housing demand remains robust, even amid broader construction slowdowns.
2. Non-Residential Projects Show Mixed Signals
Figure 1, Graph B: Out of the total permits, 2,961 non-residential constructions were approved in April 2025, making up 21% of the total. These include commercial buildings (2,007 projects), which lead the segment, followed by institutional and industrial facilities.
Despite economic pressures, retail, office, and institutional developments continue to hold ground. While fewer in number compared to residential builds, their scale and complexity contribute significantly to overall construction value and area.
3. Construction Additions and Repairs Show Resilience
Beyond new builds, there were significant activities in construction modifications. Additions to existing structures made up 3.7% of total projects, while alterations and repairs contributed another 7.0%. This trend suggests that property owners are investing in upgrades and retrofits instead of pursuing entirely new developments—a strategic choice in times of tighter budgets.
These types of projects help sustain employment in the construction industry and improve building utility without full-scale rebuilds.
4. Residential Projects Lead in Total Construction Value
Despite a dip in overall project numbers, residential constructions led the way in project valuation. Out of the PhP 41.08 billion worth of total approved construction value in April 2025, residential buildings contributed PhP 20.71 billion—a 5.7% increase year-on-year.
This surge underscores strong capital flow into housing, especially in single detached homes and condominiums, which drew PhP 11.16 billion and PhP 5.71 billion respectively. It reflects both end-user demand and investor confidence in long-term residential appreciation.
5. Commercial and Institutional Constructions Decline in Value
While residential values surged, the non-residential sector dipped by 21.6%, reaching just PhP 15.87 billion. Commercial buildings still led within the segment, yet they recorded a noticeable contraction in value, signaling cautious spending among developers and businesses.
Institutional constructions, such as schools and hospitals, also saw reduced investment. This may be influenced by project delays or budget reprioritizations. Nonetheless, these buildings remain critical to urban infrastructure, and even modest activity is a sign of ongoing development.
6. Commercial Projects Dominate in Floor Area Allocation
In terms of physical space, non-residential projects edged out residential buildings, totaling 1.79 million square meters, or 50.3% of the national total. Commercial constructions led with over 1.04 million sqm, indicating the continued preference for spatially large commercial facilities like malls, offices, and warehouses.
By comparison, residential constructions reached 1.69 million sqm, with condominiums and single houses sharing a near-equal share. This signals a balanced mix of vertical and horizontal housing strategies, especially in growing urban centers and suburban areas.
7. Condominium and Institutional Buildings Command Highest Construction Costs
The national average construction cost for April 2025 stood at PhP 10,427.65 per sqm, a 4.3% decline from the prior month. However, a breakdown reveals cost disparities between building types.
Figure 4, Graph Red: Condominiums topped the residential category at PhP 14,784.34/sqm, owing to their premium designs, elevator systems, and urban locations. Figure 4, Graph Blue: Institutional buildings were the most expensive in the non-residential group, averaging PhP 13,556.25/sqm, due to their need for specialized facilities and compliance with safety standards.
8. Stability Amid Slight Contraction
The slight reduction in total constructions and floor area suggests market recalibration rather than stagnation. With inflation, interest rates, and global market uncertainties in play, developers may be prioritizing fewer but higher-value projects.
The rise in residential construction value, especially in single houses and condominiums, offers a strong signal of demand continuity. At the same time, the enduring presence of commercial and institutional builds underscores that urban and rural development remains active—just more selective.
Why April 2025's Construction Statistics Matter
The April 2025 construction data reveals a market adapting to new economic realities—where fewer projects are being launched, but those that proceed are more targeted, cost-efficient, and focused on high-demand sectors.
For real estate investors, urban planners, and construction firms, these statistics provide not just a snapshot, but a strategic tool. By identifying where money is flowing, what sectors are growing, and how spatial needs are evolving, stakeholders can make data-driven decisions in a fast-changing property landscape.
Tracking these monthly insights from the PSA ensures that industry players stay aligned with market momentum and policy shifts—key to unlocking long-term success in the Philippine construction and real estate sectors.
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