orphan lot

orphan lot

A subdivision lot that is unbuildable at the current market value of homes (for some reason or another).The lot may be too steep and site work too expensive for current development. Or the lot could have a power line easement crossing the middle, with overhead lines, so that no structure can ever be built under the lines. As land and home values increase, investors search for orphan lots that may become economically viable under new market conditions.

The Complete Real Estate Encyclopedia by Denise L. Evans, JD & O. William Evans, JD. Copyright © 2007 by The McGraw-Hill Companies, Inc.