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1. The following areas shall not be subject to or non-negotiable for conversion :
   • Agricultural lands within protected areas designated under the National Integrated Protected Areas System (NIPAS), including watershed and recharged areas for acquifiers, as determined by DENR.
   • All irrigated lands, as delineated by the Department of Agriculture (DA) and/or the National Irrigation Administration (NIA), where water is available to support rice and other crop production, and all irrigated lands where water is not available but are within areas programmed for irrigation facility rehabilitation by the DAR and/or NIA.
   • All irrigable lands already covered by irrigation projects with firm funding commitments, as delineated by DA and/or NIA.
   • All agricultural lands with irrigation facilities operated by private organizations.
2. Areas Highly Restricted for Conversion - The following areas shall be classified as highly restricted for conversion :
   • Irrigable lands not covered by irrigation projects with firm funding commitment.
   • Agro-industrial croplands or lands presently planted to industrial crops that support the economic viability of existing agricultural infrastructure and agro-based enterprises.
   • Highlands or areas located in elevations of 500 meters or above and have the potential for growing semi-temperate and usually high value crops.
   • Environmentally critical areas (ECAs) as determined by the DENR.
   • Lands issued with notice of valuation and acquisition, or subject of a perfected agreement between the landowner and the beneficiaries under voluntary land transfer/direct payment scheme (VLT/DPS) under the Comprehensive Agrarian Reform Program

   Applications for conversion involving areas highly restricted from conversion shall require, apart from the standard requirements, a project feasibility study and environmental compliance certificate (ECC) if within ECAs.

3. Priority Development Areas - The following are considered prior development areas for conversion :
   • Specific areas in regional agri-industrial centers/regional industrial centers (RAICs/RICs) identified by the Department of Trade and Industry (DTI) and the DA.
   • Tourism development areas (TDAs) identified by the Department of Tourism (DOT) as indicated in the current Medium Term Philippine Development Plan.
   • Sites identified and proposed to be developed by local government units into socialized housing projects which are presently used for agricultural purposes.
   • Agricultural areas intended for ECOZONE Projects pursuant to R.A. 7916.

   In priority development areas, an ECC shall not be a pre-condition to the approval of the conversion application; instead, it shall form part of the conditions thereof where applicable.

4. Standard Documentary Requirements for Conversion Application.
   • Notarized application for conversion.
   • Special power of attorney if applicant is not the registered owner, or board resolution authorizing applicant if the owner is a corporation.
   • True copy of OCT/TCT as certified by the Register of Deeds not later than thirty days prior to filing. In case of unfilled land, the following shall be submitted in lieu of title :
     • Certification from the DENR Community Environment and Natural Resources Officer (CENRO) that the landholding has been classified as alienable ad disposable; and
     • Certification from the DENR CENTRO (for administrative confirmation of imperfect title) or the Clerk of Court (for judicial confirmation of imperfect title) that the titling process has been commenced and there are no adverse claimants)
     • Recent 5R photographs of the property duly certified by the photographer/ applicant.
     • Socio-economic benefit cost study inclusive of detailed site development and work and financial plan.
     • Proof of financial and organizational capability to develop land, including developer’s profile, financial statement authenticated by a certified public accountant, and articles of incorporation or partnership if applicant is a corporation or partnership.
     • List of tenants/farm workers/bona fide occupants who will be affected by the land use conversion, and proof of payment or agreement to pay disturbance compensation duly attested to by the MARO.
     • Certification from the HLURB Regional Officer or the Deputized Zoning Administrator of the actual zoning classification of the land, citing the Municipal or City Zoning Ordinance and the date of its approval by the HLURB or the Sangguniang Panlalawigan, as the case may be.
     • Certification from the authorized DA official stating, among others, the classification of the land, its convertibility status whether non-negotiable or highly restricted from conversion and its irrigation coverage and suitability for agriculture.
     • Certification from the DENR Regional Executive Director that the area subject of application for conversion is not within the NIPAs, not within environmentally critical areas, and will not involve the establishment of an environmentally critical project.
5. Special Documentary Requirements for Conversion Application :
   • If applicant is beneficiary of agrarian reform program :
     • Certification from Provincial Agrarian Reform Officer (PARO) that at least five years have lapsed since the award of the land.
     • Certification from the Land Bank that the beneficiary has fully paid his obligations.
     • Joint venture agreement or any other business arrangement between tile beneficiary and the developer.
   • If application involves priority development areas - Endorsement from the government agencies in case of priority development areas; Provided, that an endorsement from the HLURB is needed if the project is for socialized housing; Provided, further, that a board resolution approving the project from Philippine Economic Zone Authority (PEZA) shall be required if the area is intended for ECOZONE projects.
   • If area is highly restricted from conversion - Project feasibility study.
   • If application involves ECAs or ECPs - Environmental Compliance Certificate.
6. Disturbance Compensation :
   • Disturbance compensation in cash or in kind or both shall be paid by the landowner or developer as may be appropriate to tenants, farmworkers, or bona fide occupants such amounts or under such terms as may be mutually agreed upon, but which shall not be less than five times the average gross harvests on their landholding during the last five preceding calendar years.
   • Compensation in kind may consist of   free housing, homelots, employment, and other benefits. The DAR shall approve the terms of any agreement for the disturbance compensation and monitor compliance therewith. In no case shall compliance with the terms of the agreement extend beyond sixty days from date of approval of conversion application.
   • In case of disagreement between the parties on the disturbance compensation, the issue may be brought by either of them before the DAR Adjudication Board.
7. Officials authorized to Approve/Disapprove Conversions :
   • The DAR Regional Director for areas of not more than five hectares.
   • The duly authorized DAR Undersecretary for areas above five hectares but not more than fifty hectares.
   • The DAR Secretary for areas of more than fifty hectares, except for those highly restricted from conversion which shall be subject to his approval regardless of the area.

Purchase Of Agricultural Land

1. When the area consists of five hectares or less, the sale requires DAR clearance. The application for DAR clearance is submitted to the Municipal Agrarian Reform Officer and accompanied, among others, by:
• Certified copy of OCT/TCT of the land, or tax declaration if land is not covered by a certificate of title
• Duplicate copy or certified true copy of the deed or instrument of conveyance.
• Seller’s affidavit that the hectarage he is selling is his retention area.
• Buyer’s affidavit that the hectarage he is buying, together with his present agricultural landholding, if any, does not exceed five hectares.
• Seller’s affidavit of no-tenancy or tenant’s affidavit of voluntary surrender, as the case may be.
2. When the area is five hectares or less but buyer will use the land for non- agricultural purpose, or when the area consists of more than five hectares regardless of the buyer’s intended utilization, what is required is DAR conversion.
3. Sale by Agrarian Reform Beneficiaries (ARBs) - In all cases, lands awarded to ARB’s may only be sold by them after the issuance of DAR clearance, subject to the following policies :
   • Any change from agricultural use shall not be allowed except with the DAR approval under its rules on conversion.
   • The buyer will not exceed the aggregate ownership ceiling of five hectares.
   • If the ARB was identified as tenant as of October 21, 1972 and amortizations were fully paid, the land may be sold by the original tenant or his heirs regardless of the date of issuance of Emancipation Patent.
   • If the land was identified as tenanted after 1972, the sale may be allowed only after ten years from the date of recognition of tenants.

Voluntary Offer To Sell

1. Landowners whose lands are subject for coverage under R. A. 6657 may voluntarily offer their lands for sale to the government. However, lands for which notices of coverage have already been sent by the government and received by the landowner shall no longer be considered as voluntarily offered lands.
2. The DAR may reject a voluntary offer to sell under the following circumstances :
   • The land is not suitable for agriculture or is undeveloped, and has a slope of more than 18%
   • When there are no takers or willing agrarian reform beneficiary for valid reasons, such as peace and order situation in the area.
3. Withdrawal of voluntary offer to sell shall no longer be allowed after the letter offer for VOS is received by DAR, except when the landholding is determined by DAR to be more suitable for a townsite, resettlement site or institutional site needed to address a matter of national interest or concern in a calamity situation.

1. Maximum Area, General Rule - Landowners are entitled to retain not more than five hectares. Three hectares may be awarded to each child of the landowner who is at least fifteen years old as of June 15, 1988 and actually tilling the land or directly managing the farm.
2. Exemptions - The following landowners may be allowed bigger retention :
   • Landowners whose lands were covered by then Presidential Decree 27 shall be allowed to keep the original seven hectares retained by them.
   • Original homestead grantees or direct compulsory heirs who still own the original homestead shall retain the same areas as long as they continue to cultivate said areas.
   • Retention by Spouses :
     • For marriages covered by the Civil Code - In the absence of an agreement for absolute separation of property before the marriage, spouses who own only conjugal properties may retain a maximum of five hectares from such properties. However, if either or both of them are landowners in their respective rights (meaning the husband and the wife own capital and paraphernal lands, respectively), each of them may retain a maximum o five hectares from their respective lands, but in no case shall the total retention of said couple exceed ten hectares.
     • For marriages covered by the Family Code (August 3, 1988) - if the spouses executed an agreement for absolute separation of properties before the marriage, the husband who owns capital lands arid the wife who owns paraphernal lands, may each retain a maximum of five hectares from their respective properties. In the absence of such ante-nuptial agreement for absolute separation of properties, all properties belonging to said spouses shall be considered in absolute community, and the said spouses can retain only a total of five hectares.

Exemptions And Exclusions

The following are exempt from coverage of the agrarian reform law :

1. Lands actually, directly and exclusively used for prawn farms and fishponds provided that they have not been distributed and Certificates of Land Ownership Award (CLOA) issued to agrarian reform beneficiaries.
2. Lands devoted to the raising of livestock; poultry or swine.
3. Agricultural lands reclassified as residential, commercial or industrial thru zoning ordinances approved by the Housing and Land Use Regulatory Board before June 15, 1988.
4. Agricultural lands with 18% slope or more.
5. Lands actually, directly and exclusively used and found necessary for parks, wildlife, forest reserves, reforestation, fish sanctuaries and breeding grounds, watersheds and mangroves.
6. Lands actually, directly and exclusively used and found necessary for national defense, school sites, church sites, mosque sites, communal burial grounds, and penal colonies.

ESCROW AGREEMENT

KNOW ALL MEN BY THESE PRESENTS:

This Escrow Agreement made this ______ day of ____, 20 ______ at ______, Philippines, by and among:

______________, Filipino, of legal age, with residence and postal addressat _________________, hereinafter referred to as the SELLER;_____________, Filipino, of legal age, with residence and postal address at__________________, hereinafter referred to as the BUYER; AND_________________, a corporation, duly organized and existing under the laws of the Philippines, with principal office at _____________________ represented in this act bv ___________________ and _____________________, hereinafter called the ESCROW AGENT.

W  I  T  N  E  S  S  E  T  H  :  That

WHEREAS, the SELLER is an individual owner of certain parcels of land together with the house and other improvements thereon, situated at ______________ and more particularly described as follows:

Technical Description

WHEREAS, the SELLER has agreed to sell and the BUYER has agreed to buy the above property.

WHEREAS, in connection with the sale of the property, the BUYER shall deposit the amount of ___________ (Php___________) with the ESCROW AGENT upon signing of this Escrow Agreement;

WHEREAS, the SELLER and the BUYER have agreed to appoint ______________ as the ESCROW AGENT.

NOW THEREFORE, premises considered, the SELLER and the BUYER, hereby name, appoint and constitute the ESCROW AGENT as such under the following terms and conditions:

1. The BUYER shall deposit in escrow with the ESCROW AGENT the sum of ____________ (Php____________) upon the execution of this Agreement.
2. The SELLER shall take immediate steps to have some of the above-described Transfer Certificates of Title released from the custody of the ________________and turn over all the said certificates of title, including those which arc presently in the possession of the SELLER, to the BUYER to enable the latter to register the sale and transfer the titles to his name.
3. Upon presentation of tlie Owner’s duplicate copies of the above-mentioned transfer certificates of title and the delivery of a clean Deed of Absolute Sale conveying the above properties, free from all liens and encumbrances, to the BUYER by the SELLER, the ESCROW AGENT shall forthwith pay to the SELLER the aforesaid amount deposited in Escrow minus the interest or yield from the investment or re-investment thereof which shall acrrue to the BUYER. The SELLER shall also execute and/or furnish the BUYER the following documents necessary to effectively transfer the above-mentioned certificates of title in the BUYER’S name:
   - Real Estate Tax Clearance:
   - Certified true copies of Tax Declaration of Land and Improvements; and
   - Association Dues Clearance; and
4. The ESCROW Agent is hereby authorized to invest and re-invest the escrow fund in accordance with its internal investment guidelines and practices.
5. The ESCROW AGENT shall be entitled to receive a fee of ____________(php ________ ) per month, a fraction of a monthbeing considered one month. The ESCROW AGENT’S fee shall be shouldered by the SELLER. However, the ESCROW AGENT is hereby duly authorized to deduct or offset such fee from or against the fund deposited.
6. The ESCROW AGENT shall not be bound in any way by any contract between the other parties hereto, whether or not it has knowledge thereof or of its terms and conditions. Its only obligation shall be those expressly stated in this Agreement. The ESCROW AGENT has no responsibilities whatsoever as to the due compliance of the obligations of the BUYER or SELLER set forth in this Agreement and to ascertain the genuineness and sufficiency of the documents and Certificates of Title delivered to it and shall have no liability acting upon the instructions of the SELLER or BUYER , as the case may be, as provided in this Agreement.
7. This ESCROW Agreement shall take effect upon the signing of this agreement and shall automatically terminate upon the delivery of the escrow fund to the SELLER.

 

IN WITNESS WHEREOF, the donor and donee have hereunto set their hands this _________ day of ___________________, 20_____, ___________, Philippines.

____________________ _____________________

(SELLER) (BUYER)

_______________________________
(ESCROW AGENT )

By:

_______________________________                          _____________________________
(Name of Officer )                                                   (Position)

SIGNED IN THE PRESENCE OF :

____________________ ____________________

(NOTARIAL ACKNOWLEDGEMENT)

DEED OF DONATION

(Inter Vivos)

KNOW ALL MEN BY THESE PRESENTS:

This DEED OF DONATION, made and executed by (full name of donor}, of legal age, single/married to __________________ and with residence address at ___________________hereinafter called the DONOR, in favor of (full name of donee) of legal age, Filipino, single/married to _______________, and with residence address at _______________ hereinafter called the DONEE.

WITNESSETH:

That the DONOR is the owner in fee simple of that certain real property with the buildings and improvements thereon, situated in the _______ more particularly described in Original/Transfer Certificate of Title No. _______ of the Registry of Deeds for_______ as follows, to wit:

Technical Description

That for and in consideration of the love and affection which the DONOR has for the DONEE, the said DONOR by these presents does hereby give. transfer and convey unto the DONEE, his heirs and assigns, the above-described real property with all the buildings and improvements thereon, free from all liens and encumbrances.

That the DONOR does hereby state, for the purpose of giving full effect to this donation, that he/she has reserved for himself/herself in full ownership sufficient property to support him/her in a manner appropriate to his/her needs.

That the DONOR hereby retains the rights to control and dispose at will the above-described property before his death, without need of the consent or intervention of the DONEE.

That the DONEE does hereby accept this donation of the above-described real property, and does hereby express his/her gratitude for the and liberality of the DONOR.

IN WITNESS WHEREOF, the donor and donee have hereunto set their hands this _________ day of ___________________, 20_____, ___________, Philippines.

_________________________

(Donor)

ACCEPTED BY:

_______________________________
(Donee)

SIGNED IN THE PRESENCE OF :

____________________ ____________________

(NOTARIAL ACKNOWLEDGEMENT)

KNOW ALL MEN BY THESE PRESENTS:

This DEED OF DONATION, made and executed by (full name of donor), of legal age. single (or married to __________________) and residence of___________________. hereinafter called the DONOR in favor of (full name ofdonee) Filipino. of legal age, single (or married to ___________________) andresidence of ________________________ hereinafter called the DONEE.

WITNESSETH:

That the DONOR is the owner in fee simple of that certain real property with the building and improvements thereon, situated in _________ covered by Transfer (or Original ) Certificate of Title No. _______.of the Registry of Deeds of _________ and more particularly described asfollows, to wit:

Technical Description

That for and in consideration of the love and affection which the DONOR has for the DONEE, the said DONOR by these presents does hereby give. transfer and convey unto the DONEE, his heirs and assigns, the above-described real property with all the buildings and improvements thereon, to become effective upon the death of the DONOR, the present donation shall be deemed rescinded and of no further force and effect.

That the DONEE does hereby accept this donation and does hereby express his gratitude for the kindness and liberality of the DONOR.

That the DONOR hereby retains the rights to control and dispose at will the above-described property before his death, without need of the consent or intervention of the DONEE.

IN WITNESS WHEREOF, the donor and donee have hereunto signed this deed of donation, this _________ day of ___________________, 20_____, ___________, Philippines.

____________________ _____________________

(DONOR) (DONEE)

ATTESTATION CLAUSE

We, the undersigned witnesses, whose residences are stated opposite our respected names, do hereby certify: That the donor ______, has made known to us the foregoing donation mortis causa consisting of ___ pages, numbered correlatively in letters on the upper part of the page, as his/her donation mortis causa and has signed the same and every page thereof, on the left margin in our joint presence and we, in turn at his/her request have witnessed and signed the same and every page thereof, on the left margin, in the presence of the donor and in the presence of each and all of us.

________________________________ ___________________________

                  (Signature of witness)          Residence

________________________________ ___________________________

                  (Signature of witness)          Residence

________________________________ ___________________________

                  (Signature of witness)          Residence

(NOTARIAL ACKNOWLEDGEMENT)