Cebu Construction Slump: Building Permits Drop 5.9% in December 2025
Cebu Building Permits Fall 5.9% in December 2025

Construction activity in Cebu experienced a notable downturn in December 2025, as the number of approved building permits fell by 5.9 percent compared to the same month in the previous year. This decline occurred even as non-residential projects continued to account for the majority of construction value during the period, highlighting a shift in the sector's dynamics.

Permit Numbers and Annual Trends

Preliminary data released by the Philippine Statistics Authority reveals that the total number of constructions from approved building permits stood at 11,411 in December 2025. This figure represents a decrease from 12,127 permits recorded in December 2024. The drop follows an even steeper annual decline of 10.1 percent observed in November, indicating a persistent downward trend in construction approvals as the year concluded.

Breakdown by Project Type

Residential buildings maintained their position as the most numerous category, accounting for 7,203 projects or more than three-fifths of the total constructions for the month. However, this segment saw a seven percent reduction from 7,741 projects a year earlier. Within residential constructions, single-type houses dominated, comprising 6,312 projects or 87.6 percent of the total.

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Non-residential constructions ranked second with 2,666 projects, making up 23.4 percent of total constructions. This category experienced a 3.6 percent year-on-year decline. Commercial buildings were the leading subcategory within non-residential projects, with 1,802 constructions representing 67.6 percent of the segment.

Other construction types included additions to existing structures at 3.4 percent of the total, alteration and repair at 7.5 percent, and other constructions at 2.6 percent. Compared to December 2024, other constructions rose by 2.1 percent, while additions fell 2.3 percent and alteration and repair dropped eight percent.

Construction Value and Cost Analysis

The total construction value for December 2025 amounted to P33.62 billion, marking a significant 13.4 percent decrease from P38.84 billion in December 2024. Non-residential buildings accounted for the largest share at P17.81 billion or 53 percent of the total, though this value was 1.2 percent lower year-on-year. Institutional buildings posted the highest value within this segment at P7.07 billion, representing 39.7 percent of non-residential construction value.

Residential buildings generated P12.13 billion or 36.1 percent of the total, plunging 30.3 percent from P17.40 billion in December 2024. Single-type houses contributed P9.61 billion or 79.2 percent of residential construction value. Meanwhile, additions were valued at P0.48 billion (1.4 percent), alteration and repair at P2.60 billion (7.7 percent), and other constructions at P0.60 billion (1.8 percent). Additions and alterations and repairs rose by 16.6 percent and 23 percent, respectively, while other constructions declined 32 percent.

Average Construction Costs

The average cost of construction eased by 7.4 percent year-on-year to P11,366.71 per square meter from P12,278.33. Residential buildings recorded the highest average cost at P11,973.30 per square meter, followed by non-residential buildings at P11,044.09 and additions at P9,471.35.

Among residential projects, condominiums posted the highest average cost at P25,135.68 per square meter, while other residential constructions recorded the lowest at P7,814.24. Within the non-residential category, institutional buildings had the highest average cost at P15,108.51 per square meter, while agricultural buildings posted the lowest at P7,069.82.

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