Jacob is a developer who purchased 78 acres and subdivided it into half-acre lots. His decision to install sewer and underground electric reflects which economic characteristic of real property?

The decision made by Jacob to install sewer and underground electric systems in his newly subdivided half-acre lots reflects the characteristic of permanence of investment. This concept refers to the long-lasting nature of certain investments in real estate, emphasizing that improvements made to a property can significantly enhance its value and usefulness over time.

By investing in essential infrastructure like sewer systems and underground electric lines, Jacob is not only increasing the immediate functionality of the lots but also contributing to their future marketability and desirability. Such improvements are typically viewed as permanent fixtures, as they are not easily removed and generally have a long-term impact on the property's value and potential for appreciation.

Permanence of investment emphasizes the idea that once such enhancements are made, they become an enduring part of the property, indicating that the developer is making a strategic decision to enhance the land's utility and competitiveness in the market. This is fundamental in real estate as it creates lasting benefits for the property and its owner, influencing the overall economic landscape of the area.