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THIRTEENTH CONGRESS OF THE REPUBLIC ) 
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OF THE PHILIPPINES 
Third Regular Session 
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S.B. No. 
2518 
S E N A T E  
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Prepared by the Committee on Urban Planning, Housing and Resettlement 
With Senators Biazon and Rba5as authors 
“I 
AN ACT 
PROVIDING FOR THE “NO BIDDING” SALE OF LANDS OWNED BY THE 
NATIONAL GOVERNMENT OR ANY OF ITS AGENCIES OR INSTRUMENTALTIES 
TO ITS OCCUPANTS FOR SOCIALIZED HOUSING, AMENDING FOR THE 
PURPOSE REPUBLIC ACT NO. 7279 OTHERWISE KNOWN AS THE URBAN 
DEVELOPMENT AND HOUSING ACT OF 1992, AND FOR OTHER PURPOSES 
Be it enacted by the Senate and the House of Representatives of the Philippines in Congress 
assembled: 
SECTION I. 
Section 12 of Republic Act No. 7279 otherwise known as the “Urban 
Development and Housing Act of 1992 is hereby amended to be read as follows: 
Sec. 12. Disposition of Lands for Socialized Housing. - The National Housing 
Authority, with respect to lands belonging to the National Government, and the local 
government units with respect to the other lands within their respective localities, 
shall coordinate with each other to formulate and make available various alternative 
schemes for the disposition of lands to the beneficiaries of the Program. These 
schemes shall not be limited to those involving transfer of ownership in fee simple 
but shall include lease, with option to purchase, usufruct or such other variations as 
the local government units or the National Housing Authority may deem most 
expedient in carrying out the purposes of this Act. 
Consistent with this provision, a scheme for public rental housing may be 
adopted. 
SALE OF LANDS OWNED BY THE NATIONAL GOVERNMENT OR ANY OF 
ITS AGENCIES OR INSTRUMENTALTIES MAY BE ALLOWED WITHOUT PUBLIC 
BIDDING SUBJECT TO THE FOLLOWING CONDITIONS: 


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A) THE LANDS ARE WITHIN A RESIDENTIAL ZONE AS CLASSIFIED BY 
THE LOCAL GOVERNMENT UNIT CONCERNED; 
B) THE LANDS ARE CERTIFIED TO BE FOR SOCIALIZED HOUSING 
PURPOSE BY THE 
HOUSING AND 
URBAN DEVELOPMENT 
COORDINATING COUNCIL; 
C) THE 
OCCUPANTS 
ARE 
QUALIFIED 
BENEFICIARIES 
IN 
ACCORDANCE WITH SECTION 16 AND ARE REGISTERED AS SUCH 
IN ACCORDANCE WITH SECTION 17 OF THIS ACT; 
D) THE COST OF SAID LANDS SHALL BE MADE AFFORDABLE TO THE 
BENEFICIARIES, TAKING INTO CONSIDERATION THEIR INCOME AND 
LAND VALUATION REQUIRED IN SECTION 13 OF THIS ACT; 
E) ANY SUBSEQUENT DISPOSITION OF THE SAID LANDS SHALL BE 
SUBJECT TO THE LIMITATIONS PROVIDED IN SECTION 14 OF THIS 
ACT; AND 
F) THE OCCUPANTS HAVE RESIDED ON THE SAID LANDS SUBJECT TO 
THE PROHIBITIONS PROVIDED IN SECTION 30 OF THIS ACT. 
SEC. 2. Separability Clause. - If any part or provision of this Act shall be held 
unconstitutional or invalid, other provisions hereof that are not affected thereby shall 
continue to be in full force and effect. 
SEC. 3. Repealing Clause. - All laws, presidential decrees, executive orders, 
rules and regulations, or parts thereof, which are not consistent with this Act, are 
hereby repealed, amended or modified accordingly. 
SEC. 4. Effectivity Clause. - This Act shall take effect fifteen (15) days after 
its publication in at least two (2) newspapers of general circulation. 
Approved, 
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