THE Supreme Court ruled that open spaces and road lots inside subdivisions don’t automatically become government property without a written deed of donation.

​In a decision penned by Associate Justice Jhosep Lopez, the Court’s Second Division affirmed that the Quezon City government failed to prove ownership of common areas in Capital Park Homes Subdivision (CPHS).

​The case stemmed from a petition filed by Rainier Madrid, a Quezon City taxpayer and resident of a nearby subdivision, who questioned the use of public funds to improve the CPHS properties. He argued that developer VV Soliven never executed a deed of donation transferring the areas to the city, which made them private rather than public property.

​While the city government cited a 1964 ordinance that required subdivision developers to allocate 6 percent of their land for public use before plan approval, the Court stressed that compliance with the ordinance doesn’t replace the legal requirement of a written donation.

Court rules on subdivision open spaces, road lots

​The Capital Park Homeowners Association admitted there was no deed of donation but pointed to a board resolution acknowledging the supposed turnover. The Regional Trial Court initially dismissed Madrid’s petition for lack of standing, but the Court of Appeals reversed the ruling, finding merit in his challenge.

​The Supreme Court upheld the appellate court, ruling that local governments must show a valid transfer of property through a deed of donation and proof of acceptance under the Civil Code. Without such documents, ownership remains with the subdivision developer.

”The donation of subdivision land to a local government unit must be in writing for ownership to be transferred,” the Court said, reiterating that local ordinances alone can’t establish government ownership.

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