Which term describes the combination of two or more parcels of land into a single property?

• A. Capitalization
• B. Assemblage
• C. External Obsolescence
• D. Balance

Answer: (B)

Combining two or more parcels into a single property is called assemblage. This practice creates one larger, contiguous parcel that can be developed more efficiently and may unlock higher value from the land by gaining better frontage, access, or new development potential under zoning. Assemblage often leads buyers to pay a premium for the cohesive lot since it can offer more flexible use or improved efficiency than the separate parcels. The other terms don’t describe merging parcels: capitalization is about converting income into value, external obsolescence refers to depreciation from external factors, and balance isn’t the term used for combining parcels.