Plottage

Plottage Definition

Plottage is a combination of two (or more) adjacent land parcels, in turn, creating a larger, and more valuable, lot.

Explanation

In real estate terms, plottage refers to the strategic combining of multiple adjacent real estate parcels to enhance the collective value.

The process involves combining smaller lots into a single larger lot. This is done through a process of new surveys, deeds, and land use action, such as a property line adjustment or vacation of lot lines.

This practice capitalizes on the principle that the total value of the combined land would be greater than the sum of the individual parcels.

This increase is due to plottage allowing for increase in buildable area, access, overall development, and market desirability.

Plottage can play a significant role in urban planning and property development. Developers often benefit from the ability to combine smaller, once residential lots, into larger, now zoned commercial lots, so that they may undertake larger scale projects.

Plottage allows for a higher overall property value, as well as a greater potential for development.

A large consolidated property can attract a broader range of potential uses, from commercial or business parks, to residential developments, maximizing the property’s versatility equates to increase in its attractiveness on the real estate market.

A key strategy for anyone seeking to optimize the value and potential of land holdings is to understand and skillfully plan around the potential plottage of these pieces of land.

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