What does assemblage refer to in real estate?

Assemblage in real estate refers specifically to the combining of two or more adjoining lots into a single parcel of land. This practice is often utilized in development and investment strategies as it can create a larger and more valuable property that is more suitable for specific purposes, such as commercial development or residential projects.

When adjacent properties are assembled, they may enhance the overall value and potential uses beyond what each individual lot could achieve alone. This process can lead to improved economics for developers and investors as they pursue new projects or initiatives.

The other choices do not accurately capture the definition of assemblage. While the division of property into smaller parcels might relate to a different concept known as subdivision, and the reconstruction of a property refers more to the physical renovation of a structure, appraisal relates to the valuation of properties rather than the physical action of combining land. Each of these would fall under different real estate terminologies and practices rather than the act of assemblage itself.