Private sector airs concerns over residential housing issues

THE PRIVATE sector, particularly the

Realty Owners' Association of the

Philippines, has urged the government

to provide loans to realty developers

interested in the apartment business.

ROAP president Victor T. Salinas said that even if the

government concentrates on plans to help people own a house

and lot, it should not forget low-income groups who opt for

affordable apartment rentals. The country's housing backlog is

estimated to be approaching the four million mark.

''We also want the government to focus on rental houses. A lot

of developers are willing to support the government's drive to

eliminate the backlog. So my proposal is to provide loans--a

special portfolio for apartment loans and apartment housing. In

Manila, a lot of people, particularly in the middle- to low-income

group, are just looking for affordable places to rent, not

necessarily a place to own,'' he said.

Meanwhile, Salinas, who is also consultant to the Condominium

Developers and Builders Association of the Philippines, said

that that the CDBAP was "worried about a certain provision

included in the bill for the creation of the Department of

Housing." This states that the government would control house

and lot prices, including condominiums.

He added that the association has already sent its appeal to the

House committee on housing and plans to talk to Sen. Franklin

Drilon and House Speaker Manny Villar. The association is

worried that if prices are controlled, there will no longer be an

open market.

ROAP has been vocal recently, having earlier aired its

opposition to the extension of the Rent Control Law or House

Bill 7591 regulating the increases of lessors or property owners

on residential units for rent to an annual rate increase of up to

10 percent only.

If approved, the law would take effect on Jan. 1, 2002 up to Dec.

31, 2005, immediately replacing the current rent control law that

expires on Dec. 31, 2001. Changes in the law include the

provision that all units rented at P7, 500 and below shall be

covered by the measure regardless of the year the unit was

constructed. The proposed measure is also pushing for the

inclusion of boarding houses, dormitories, rooms and bed

spaces offered for rent by property owners.