2014-10-27

NPM 086-2014

Requesting Entity: Philippine Health Insurance Corporation (PHILHEALTH)

Issues Concern: Definition of Rentable Area under the Guidelines for Lease of Privately-Owned Real Estate and Venue

 

Details

Whether a lobby and comfort room located in one floor that is solely occupied by a particular office, and only the latter’s officer, employees and clients are going to and from the said floor, are considered rentable area as defined under the implementing Guidelines for Lease of Privately-Owned Real Estate and Venue (Guidelines).

Under Appendix B of the Guidelines, the Rentable Area is defined as the total area of the real estate in square meters being occupied or to be occupied by the Lessee less the common area like lobby, stairway, elevator hall, common comfort room, machine room for air conditioner, and other areas of common use by the public or upper floor occupants.

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Accordingly, the lobby and comfort room that are being used exclusively by the government agency occupying the whole floor as lessee, under the contract of lease, should be included within the definition of the Rentable Area under Appendix B of the Guidelines.