Combining two adjacent lots creates a site worth more than the pair separately. The increment is called:

Correct Answer

B) Plottage value from assemblage

Why this is correct: Plottage value is the incremental value created by combining two or more contiguous lots into a single, more useful site through assemblage. The whole becomes more valuable than the sum of its parts. Why the other choices are wrong: 'Progression from proximity' is wrong; progression is the principle that a lower-value property benefits from being near higher-value properties. 'Surplus productivity of land' is wrong; this is the residual income attributable to land after other factors are paid. 'Marginal utility of scale' is wrong; this is not a standard appraisal principle. Exam tip: Assemblage is the act of combining lots. Plottage is the value increment created by that act.