What characterizes an improved lot or parcel?

An improved lot or parcel is characterized by having an existing structure or development on it, which can include residential, commercial, or industrial buildings. The term "improved" refers to the enhancements made to the land that add value and functionality, such as the presence of these structures that facilitate specific uses.

In contrast, a lot designated for agricultural purposes does not imply any enhancements that would classify it as improved; it may simply be vacant land used for farming with no buildings. Likewise, a plot intended for future development might not have any existing structures at all, and therefore would not be considered improved until those developments are completed. Finally, a vacant lot without any contractual obligations means it has no enhancements or usage designated that would classify it as improved. Thus, the presence of an existing structure is the key characteristic that defines an improved lot or parcel, making the correct answer focused on that aspect.