What is the increase in value created by joining ownership of several smaller parcels of land into one large single ownership called?

The increase in value created by joining ownership of several smaller parcels of land into one larger single ownership is referred to as "plottage increment." This concept is essential in real estate as it highlights how the value of property can increase through aggregation. When smaller parcels are combined, the resulting larger parcel may have more value than the individual parcels when sold separately. This is due to several factors, including increased usability of the land, potential for development, and reduced boundary limitations.

Plottage increment is often applicable in the context of land development where larger, more usable land parcels can attract more lucrative investment opportunities and potential buyers. This can lead to a significant increase in property value because combined parcels may provide uses that are not feasible for the smaller parcels on their own. For instance, a larger parcel can accommodate larger buildings or commercial developments, thus maximizing the utility and financial return from the land.

Understanding plottage increment is crucial for real estate professionals as it can influence investment decisions, appraisals, and strategic planning for land use.