The term “plottage” in real estate refers to:

The term "plottage" specifically relates to the combining of several lots into one larger parcel of land. This process can enhance the value of the property due to the increased utility and potential uses that a larger lot may offer, such as improved development possibilities. The idea is based on the economic principle that a larger piece of land, when treated as a single unit, often has greater value than the individual lots would have if sold separately.

When multiple smaller lots are combined, the overall value can increase because of factors such as better layout for construction, more efficient use of land, and the increased appeal to developers or buyers seeking larger parcels. In contrast, other options like appreciation of a single lot or separating lots for sale do not capture the essence of what plottage represents, which is the aggregation of multiple parcels into one. Similarly, assessing property taxes is a process unrelated to the enhancement of property value through combination. Understanding plottage is crucial for real estate professionals involved in land development, zoning, and property valuation.