WHO OWNS YOUR ROAD?

Here’s a little-known quirk about subdivisions in the Philippines: Once a developer finishes building a village, they sometimes donate the roads inside it to the local government (LGU).

Why would they do this?

To dodge paying real property tax on the roads.

To pass the headache of road repairs and drainage upkeep to the LGU.

Which, in turn, lowers the annual homeowners association (HOA) fees.

Sounds practical, right? But here’s where it gets interesting for homebuyers.

If the LGU owns the roads, don’t be surprised if maintenance is slower, or potholes linger a little longer than you’d like. On the flip side, if the HOA owns the roads, you’ll likely enjoy better upkeep—but your monthly HOA dues will be heavier.

And then there’s the issue of security.

A few years back, a Quezon City subdivision made headlines when the LGU sent bulldozers to tear down its gates, declaring the roads were public property and must be opened to ease traffic. Residents fought back and, in the end, won. The gates went up again.

But think about it: what if the residents had less political pull? Overnight, their “exclusive” village would have become just another shortcut for rush-hour motorists.

Moral of the story:

When buying a home, it helps to look beyond the house itself—lot size, floor area, or amenities are just the basics. One often-overlooked factor is the ownership of the roads inside the village.

Whether they’re under the LGU or the HOA can shape your experience as a resident—affecting dues, maintenance, security, and even the true “exclusivity” of the neighborhood.

An easy way to check is to ask the HOA who handles road maintenance—whether it’s them or the LGU.