Design Process
Differences Between Plot, Property, and Building Lot
Although they may be considered synonyms at a linguistic level, the reality is that the legal framework establishes differences between plot, property, and building lot.
In fact, in our own office we sometimes have doubts about which term is precise to use, and although at a colloquial level it is not important, it is important to select the appropriate term in the case of signing property purchase contracts.
Therefore, today we dedicate a post to explaining the technical and legal differences between the terms plot, property, and building lot, since each term implies different conditions and can define what can or cannot be done on said land.
So, what are the differences between plot, property, and building lot?
What is a plot?
A plot is defined as a physically delimited piece of land, a delimited portion of land originating from a larger one. It is defined geometrically by the closed perimeter of the legal property right.
When we speak of a plot, we can refer to land that is either built upon or not, regardless of what conditions or regulations affect it.
The term plot is a generic term that by itself does not tell us what obligations and rights it has.
Types of plot
In general, the types of plot refer to a rural classification of the same. Let us see what classifications we find. Plots can be classified:
– According to shape. It can be regular, with straight sides in the form of a polygon, or irregular when its boundaries are blurred or not regulated.
– According to size. When a plot belonging to a single owner is of great extension, we speak of latifundia. In contrast, minifundia are farmland of reduced extension that are basically dedicated to subsistence due to their small size.
– According to their boundaries. Finally, a plot can also be classified according to its boundaries, whether open or closed. A plot is open when there is no physical separation between two plots and they are distinguished only by the type of crop or some geographical feature. On the other hand, closed plots are those that do have physical boundaries, whether fences, walls, or any other element that establishes a border.
What is a property?
When speaking of a property, it refers to the legal term that refers to the property registry.
That is, any real estate property that has an owner and is delimited.
Of course, the owner of a property can be a natural or legal person, or even an administration such as a town council.
Furthermore, a property is considered real estate and there are three types of properties: rural, industrial, and urban. Whether land with buildings or construction in horizontal division.
Rural property, industrial property, and urban property
The rural property is intended for agricultural, livestock, forestry, or hunting exploitation. They are usually properties to which a public interest has been added, either due to their integration into the landscape or due to the interest in their conservation.
This classification includes rural houses and campsites, but outside these situations it is prohibited to build unless it is dedicated to rural exploitation.
On industrial properties, as the name indicates, it is permitted to build factories and companies always dedicated to the secondary sector.
Urban properties have much greater construction capacity; they are the only ones on which we can build a dwelling, which is why they are usually of the highest economic value.
Everything built on urban properties must comply with the Urban Integration Plan of each municipality.
Construction on any type of property is always regulated by the Urban Planning to which the area belongs. It specifies in each specific case whether a property is buildable and under what conditions.
In Mallorca, for example, there is the case where on land qualified as rural, a dwelling can be built provided that the land meets certain requirements and conditions.
For this reason, at our Sustainable Architecture Studio, we always recommend to our clients that before initiating the purchase of a property, they consult with the town council to learn about the municipal regulations that affect the location and its peculiarities.
What is a building lot?
Among the differences between plot, property, and building lot, the term building lot is surely the one that differs most from the other definitions.
A building lot is defined according to the RAE as a portion of land intended for building, that is, buildable land as permitted in planning.
For land to have the status of a building lot, it must have been assigned a development potential, alignments, gradients, and all the data indicated in the legal regulations.
All these values and measurements will condition the permitted construction for that specific land.
A building lot also implies connection with the rest of the urban fabric through streets and networks as indicated in the General Plan, and one cannot build on plots or properties that are not cataloged as building lots.
The building lot, therefore, must be maintained in good conditions of hygiene and public health and must have the basic urban services indicated in the regulations.
What are the basic urban services of a building lot?
Although urban services are governed by the urban planning regulations of each region, most are present throughout all autonomous communities.
–Pedestrian access: it must be guaranteed that pedestrians can reach the building lot, including those with disabilities
–Public lighting: the facades of the building lot facing a roadway must be equipped with public lighting.
–Paved vehicular access: the building lot must be accessible via a paved road that also includes curbing of the sidewalks—some type of curb.
Vehicular access cannot be via highways but must have an urban street with lower traffic flow and limited speed.
–Outlet and evacuation to the wastewater drainage network: the building lot must be able to evacuate wastewater to the sewage network or to a treatment system with sufficient service capacity.
Exceptionally, provided it is contemplated in the planning, septic tanks can be installed for each building lot or in low-density population groups. However, this option is increasingly limited and penalized by European directives for soil protection.
–Drinking water supply: of course, among the basic services of a building lot is the supply of drinking water in sufficient quantity for the maximum buildability assigned to the building lot.
–Electricity supply: similarly, it must have sufficient electricity supply.
–Regulated dimensions: the geometry and topography of the plot must be regular and compact and be dimensioned on the plans.
This is very important when designing a building or dwelling to comply with all regulations that determine heights and occupancy, among others.
What are the differences between plot, property, and building lot
Having seen the definitions of plot, property, and building lot, let us see what the differences between plot, property, and building lot are.
The main difference lies in how generic the term is.
The word property refers to any real estate, including a parking space or a commercial unit, and therefore does not imply any condition regarding whether land is buildable or under what conditions.
The term plot already refers to a portion of land, although it also does not specify its qualities.
Finally, building lot is the most specific concept that names a portion of land that has basic urban services and on which one can build.
At Slow Studio, we provide pre-purchase consultation for land and assess all its technical and legal conditions. We accompany you in the process of reviewing earnest money and purchase contracts and adjust their definition so that there are no doubts or omissions that could cause legal problems.
In this regard, resolving doubts such as the difference between the terms plot, property, and building lot are key to carrying out the land purchase process with complete guarantee.
If you have any questions, you know where to find us!