How delays in housing permits impacted project launches

CEBU CITY, Philippines — One of the largest developers in the country had to push back multiple launches this year as delays in the issuance of housing permits continue to affect the real estate sector.

Cebu Landmasters Inc. (CLI) disclosed their decision to defer the launches of at least four development projects since their licenses to sell (LTS) remained pending, said Chief Executive Officer (CEO) Jose Franco Soberano.

“It’s a significant impact… That’s really affected our one-year source of launches,” Soberano told audience during the developer’s briefing.

The postponement resulted in an 82 percent drop in project launches compared to the previous year. Additionally, the lack of fresh inventory meant that reservation sales fell to P10.7 billion, down from P14.3 billion in the same period last year.

The delays were attributed to a move to centralize the review process for licenses, a move that prompted concerns from both realtors and developers alike.

Developers needed to secure LTS in order to start promoting and selling their projects.

Under normal conditions, the LTS part of the permitting process typically takes about three months once all local permits, such as environmental compliance and building permits, are secured.

“However, we are very hopeful that strong support from our regulators, corrective actions (will be) legislated,” Soberano said.

2nd half

With the regulatory backlogs, CLI plans to “come out swinging” in the second half of 2026 by launching 11 projects worth 25 billion pesos, comprising approximately 5,600 units.

READ: Beyond NCR: Where Philippine housing demand is growing

The Soberano-led firm is expecting to receive licenses for four projects within weeks, which will bring nearly 1,000 units to the market. These projects include Alto Ranudo in Cebu City, and housing developments in Ormoc, Bogo City, and South Cebu.

CLI ended the first half with a 95-percent sell-through rate across 107 property-for-sale projects comprising 45,507 residential units valued at P176.1 billion.

This improved from 92 percent in the previous quarter.

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