"x x x.
Foreign/alien acquisition of condominium units in the Philippines is legally allowed only if it does not exceed 40 percent ownership of the condominium project. Moreover, to allow foreigners to do so, a condominium corporation is mandatory because title over the land where the project is built will be held by it. Under Philippine law, foreigners are not allowed to acquire private lands except in cases of intestate succession (without a last will and testament) or in cases of transfers in favor of a former Filipino citizen.
There are a lot of condominium projects within Metro Manila and other cities. Foreigners can invest in this type of real estate since some of the projects are located in prime business centers like Bonifacio Global City, Makati Business District and the Ortigas Center, which are all located in Metro Manila.
A new form of condominium project is flourishing at the University Belt, a stretch of land where several schools can be found, such as: Far Eastern University, University of the East, San Beda College and Centro Escolar University. The type of project at the University Belt is what is known as “condominium dormitory,” wherein a unit’s use is maximized by having many beds. Foreigners can easily profit from this by renting out the unit to several employees and students alike. In fact, there are condominium projects which are near to, or are integrated with, malls such as SM Supermalls, Robinsons and Ayala Land.
There are also condominium projects which are situated in tourist destinations like Baguio City, Benguet and Tagaytay City in Cavite. In these places, the projects are primarily “condotel” or condominiums which are operated like a hotel where the unit you buy can be rented out to transients, visitors, and tourists for a short period of time under a hotel-like management and service.
You might also be wondering if condominiums refer only to high rise or mid-rise buildings otherwise known as vertical condominium projects. This is understandable because we have been accustomed to this type of project, especially in highly populated places; but, the current trend now is that horizontal condominium projects are being developed, which are patterned after townhouses, or cottages near the beach or other vacation spots.
What distinguishes this new type of condominium project from a regular townhouse or cottage is that a Master Deed is required, which must be recorded with the Registry of Deeds in order for it to be legally converted into a condominium project. One other thing is the issuance of a Condominium Certificate of Title instead of the regular land title. However, in case this type of project is opened for foreign ownership, a condominium corporation must be established. Examples of horizontal condominium projects are Kasa Luntian (Green House in English) developed by Ayala Land in Tagaytay City, Cavite and beach front condos in Vista de Loro in the province of Batangas in Luzon.
Jeremy O. Panganiban is a licensed real estate broker and lawyer in Quezon City, Philippines. Contact him at atty_jeremy_o_panganiban@yahoo.com or by phone at +632917-8749678 using viber every Wednesday, Friday and Sunday between 7-8 p.m. Philippine time.
x x x."
No comments:
Post a Comment