The New Bilibid Prison property, which has an aggregate land area of about 531.08 hectares, was originally intended as a national penitentiary for the safekeeping and rehabilitation of prisoners.


Former President Corazon C. Aquino issued Presidential Proclamation No. 792 on September 5, 1991, which was amended by Presidential Proclamation No. 120 on December 15, 1992 segregating 104.22 hectares as housing site intended for the Department of Justice (DOJ) employees and other government employees. The housing project is now known as the Katarungan Village.
Katarungan Village
When President Arroyo assumed office, she gave an instruction to HUDCC to "look into the rationalization of the segregation and allocation of the areas for housing projects in the Muntinlupa Penitentiary to ensure that the remaining areas may be utilized wisely to address the housing requests of low-salaried government employees and for socialized housing purposes".
The President issued President Proclamation No. 234 on August 15, 2002, segregating fifty (50) hectares to be developed as socialized housing site for the families affected by the Rail Linkage Project in the Muntinlupa alignment estimated at 10,555 families.

On September 8, 2006, the President issued the following issuances to fast track the development of the NBP property into a residential and mixed-use development:
a. Proclamation No. 1159
The Proclamation declared the New Bilibid Prison Reservation as government and socialized housing sites with mixed-use component to be disposed to qualified beneficiaries. It also directed HUDCC to rationalize the land use and prepare a Master Development Plan to optimize the use of the remaining areas of the NBP property.
The Proclamation identified the land uses/allocation of the 366.7 hectares, as follows:
- Seventy-eight hectares (78 has.) for government housing purposes;
- Twenty-two hectares (22 has.) for mixed-income residential purposes (with priority given to existing and qualified residents within NBP);
- Forty-four hectares (44 has.) for institutional, public or quasi-public purposes;
- One hundred forty-seven hectares (147 has.) for mixed-use/commercial/residential purposes;
- Fifty-one hectares and seven hundred square meters (51.7 has.) for open space/park purposes; and
- Twenty-four hectares (24 has.) for the implementation of the Daang-Hari SLEX Road Link Project.
An Inter-Agency Steering Committee was established to oversee the preparation and implementation of the Master Development Plan of the NBP site and will prepare the implementing rules and regulations (IRRs). The Steering Committee shall be chaired by HUDCC, DOJ as co-chairman, and OP, DENR, DOJ, BuCor, NHA, City Government of Muntinlupa City and the Office of Lone Congressional District of Muntinlupa City as members. The NHA shall be the lead implementing agency or sponsor of all development subprojects within the NBP site.
b. Proclamation No. 1158
The Proclamation allocates two hundred seventy hectares (270) of land located in Brgy. Cuyambay, Tanay, Rizal as the new site of the New Bilibid Prison Penitentiary facilities from Muntinlupa City.
c. Executive Order No. 568
The EO tasked the DOJ to coordinate all the tasks and activities related to the transfer of the New Bilibid Prison such as the preparation of the technical plans for the new site, the procurement of works and services, and the development and management of the new correctional facility. In particular, DOJ was tasked to coordinate with the Department of Budget and Management (DBM), the Department of Environment and Natural Resources (DENR) and other concerned agencies to prepare and finalize the implementation scheme and financing plan for the transfer of the NBP penitentiary facilities within six (6) months from the date of the issuance of the said Executive Order.