On getting a foot on the socialized housing ladder

(Conclusion)

Under the Urban Development and Housing Act, all city and municipal governments shall conduct an inventory of all lands and improvements thereon within their respective localities.

From this inventory, these local government units (LGUs), in coordination with certain governmental agencies, shall identify those for socialized housing and resettlement areas for the immediate and future needs of the underprivileged and homeless in the urban areas.

In this regard, LGUs shall consider the degree of availability of basic facilities and services, their accessibility and proximity of job sites and other economic opportunities, and the actual number of registered beneficiaries.

Meanwhile, lands for socialized housing may be acquired in the following order: (a) those owned by the government or its subdivisions, instrumentalities, or agencies, including government-owned and -controlled corporations and their subsidiaries; (b) alienable lands of the public domain; (c) unregistered or abandoned and idle lands; (d) those within the declared Areas for Priority Development, Zonal Improvement Program sites, and Slum Improvement and Resettlement Program sites which have not yet been acquired; (e) Bagong Lipunan Improvement of Sites and Services (BLISS) sites which have not yet been acquired; and (f) privately owned lands.

This order of priorities shall not apply, however, where onsite development is found more practicable and advantageous to the beneficiaries. LGUs shall give budgetary priority to onsite development of government lands.

Modes of acquiring these properties shall include, among others, community mortgage, land swapping, land assembly or consolidation, land banking, donation to the government, joint venture agreement, negotiated purchase, and expropriation. In this regard, expropriation may only be resorted to when other modes of acquisition have been exhausted, and shall exclude parcels of land owned by small property owners.

Meanwhile, LGUs or the National Housing Authority (NHA) shall acquire government-owned and foreclosed properties primarily through negotiated purchase in which qualified beneficiaries who are actual occupants thereof shall be given the right of first refusal.

All idle lands in urban and urbanizable areas shall be expropriated and form part of the public domain. The government shall dispose or utilize them such that it conforms with their land use plans.

Moreover, expropriation proceedings shall be instituted if, after the lapse of one year following receipt of notice of acquisition, the owner fails to introduce improvements as defined under the Act, except in the case of force majeure and other fortuitous events.

The NHA, with respect to lands belonging to the national government, and LGUs, with respect to other lands within their respective localities, shall coordinate with each other to formulate and make available various alternative schemes for disposing lands to the beneficiaries of the Urban Development and Housing Program.

These schemes may involve transfer of ownership in fee simple, as well as lease with option to purchase, usufruct, public rental housing, or other variations LGUs or the NHA may deem most expedient in carrying out the purposes of the Act.

Land for socialized housing, including improvements or rights thereon, shall only be sold, alienated, conveyed, encumbered, or leased to qualified Program beneficiaries as determined by the government agency concerned.

Should the beneficiary unlawfully sell, transfer, or otherwise dispose of his lot or any right thereon, the transaction shall be void. He shall also lose his right to the land, forfeit the total amortization paid thereon, and shall be barred from the benefits under the Act for 10 years from the date of violation.

Meanwhile, should the beneficiary die before full ownership of the land is vested on him, transfer to his heirs shall only take place upon their assumption of his outstanding obligations. In case of failure by the heirs to assume the same, the land shall revert to the government for disposition in accordance with the Act.