What term describes the increased value resulting from the consolidation of two adjacent lots into one larger lot?

The term that describes the increased value resulting from the consolidation of two adjacent lots into one larger lot is known as plottage. This value enhancement occurs because combining smaller lots can create a more valuable, usable, or desirable piece of land than the individual lots could achieve on their own.

For instance, combining two smaller lots may allow for a larger development or improved access, which can enhance the overall marketability and utility of the property. This is why plottage is significant in real estate, as it reflects the principle that the whole can be worth more than the sum of its parts when combined effectively.

In contrast, aggregation refers more generally to the process of coming together or collecting things, which doesn’t specifically denote the increase in value aspect. Assemblage is the actual act of bringing those lots together but does not define the resultant value increase. Parceling, on the other hand, refers to the division of larger tracts of land into smaller parcels, which is the opposite of what occurs in this scenario.