What do air rights refer to?

Air rights refer specifically to the rights to develop or utilize the space above a property. This concept is particularly significant in urban environments where vertical space can be as valuable as the land itself. Property owners may sell or lease air rights to allow for the construction of buildings, structures, or signage above their land.

In many cities, air rights can be transferred between neighboring parcels, enabling developers to maximize space usage. This practice has become increasingly important in densely populated areas where land is limited, and developers seek to make the most of available vertical space to accommodate growth and innovation. Understanding air rights is crucial for real estate professionals as they navigate zoning laws, development potential, and property valuing.