Understanding Blue Top Lots: A Comprehensive Guide for Home Builders
What Are Blue Top Lots?
In certain jurisdictions, notably in California, a blue top lot refers to a parcel of land that has obtained legal entitlements through a recorded subdivision map. These lots are physically graded, with utilities brought up to the perimeter property line. However, definitions of blue top lots can vary, particularly regarding the status of streets. Some jurisdictions specify that streets are ‘cut in,’ while others note the absence of street improvements.
Key Considerations Before Purchasing or Lending
When considering the purchase or financing of a blue top lot, it is crucial to understand the specifics of what you are acquiring. Key elements to verify include:
- Street Improvements: Ensure clarity on whether the streets are merely ‘cut in’ or fully developed.
- Utility Services: Confirm that utilities are indeed stubbed in and assess the simplicity of connecting them to a future property.
Practical Example
In jurisdictions like California, blue top lots are often categorized as both legally and physically prepared for home construction, making them an appealing option for builders. However, the understanding of ‘ready’ can differ.
Comparisons With Finished Lots
A finished lot generally takes this process a step further by including all necessary street improvements and fully operational utility connections. Thus, when comparing blue top lots to finished lots, a blue top lot might require additional steps before the land is workable for building.
Definitions to Know
- Graded Lot: This refers to land that has been leveled or sloped to ensure proper drainage and site suitability for construction.
- Utilities Stubbed In: Utilities like water, sewer, and electricity are brought to the edge of the property line but are not yet connected to a structure.
- Recorded Subdivision Map: A legal document that outlines the divisions of a larger parcel of land into smaller lots.
Frequently Asked Questions (FAQs)
Q: Are blue top lots ready for immediate construction?
A: While blue top lots come with graded land and utility connections at the perimeter, additional steps, like street improvements, might still be required.
Q: Do blue top lots and finished lots mean the same thing?
A: No, finished lots typically include full street development and fully-functional utility connections, whereas blue top lots might still need these enhancements.
Q: How can I confirm the status of streets and utilities in a blue top lot?
A: It is vital to do thorough due diligence, including consulting with local jurisdictional authorities and reviewing the recorded subdivision map.
Conclusion
Understanding the specifics of blue top lots can significantly simplify the purchase or financing process and minimize unforeseen issues down the road. Always ensure to dig into the details regarding the status of streets and utility services before making any commitments.
Related Terms: Finished lot, Graded lot, Subdivision map, Utilities stubbed in.
