How JACOB | MARTIN Engineers Help Developers Navigate Schedule B and Encumbrances
When developers evaluate a potential project site, they often focus on zoning, utilities, grading, drainage, and access. But one document can shape a project more than any engineering plan—the title commitment. At JACOB | MARTIN, our Land Development team uses the title commitment, particularly Schedule B, as a foundational tool to understand site constraints, ensure development feasibility, and prevent costly surprises during design or construction. In Texas land development, where easements, mineral rights, and historic property divisions are common, a thorough review of the title commitment is critical. Ignoring it—or misunderstanding what’s buried within Schedule B—can stall a project or change its layout entirely.
What is a Title Commitment?
A title commitment is the title company’s promise to issue a title insurance policy once certain requirements are met. It outlines the legal status of the property and reveals any limitations that could affect a development project.
Every title commitment contains:
- Schedule A – Basic information including the current owner, property description, and proposed insured parties.
- Schedule B (Exceptions) – The most important section for engineers and developers. This lists easements, encumbrances, deed restrictions, mineral reservations, setbacks, rights-of-way, and any other limitations on the property.
- Requirements – Items that must be satisfied before closing, such as releases of liens or affidavits.
For a development team—and especially for our engineers at JACOB | MARTIN—Schedule B dictates how the land can be used and what must be accounted for in early design.
Why Schedule B Matters for Texas Land Development
Schedule B describes everything that could restrict construction or limit the way a developer uses the land. These “exceptions” are not covered by title insurance, meaning the developer must live with them—or resolve them—before moving forward. Below are the most common Schedule B items our Land Development team reviews for clients:
- Easements Affecting the Development Layout
Easements are one of the biggest factors affecting site planning and land development in Texas. Schedule B may reveal:
- Utility easements controlling where water, sewer, or electric lines must remain
- Drainage easements limiting grading or construction
- Access easements that provide entry to neighboring tracts
- Pipeline easements restricting structural loading and landscaping
- Blanket easements with undefined locations, common on older rural properties
These easements can reduce developable acreage, shift building locations, or require costly relocation agreements. At JACOB | MARTIN, we overlay all easements onto the survey and concept plan early, ensuring the developer knows exactly how these restrictions affect the site’s potential.
- Deed Restrictions, CCRs, and Use Limitations
Recorded covenants or deed restrictions can dictate:
- Types of allowed land uses
- Architectural requirements
- Setbacks or building lines
- Landscaping or maintenance obligations
- HOA or POA authority
Even if zoning allows a specific use, private restrictions may override it—something we frequently see in both urban and rural Texas subdivisions.
- Encroachments and Platted Building Lines
Schedule B may reference:
- Encroachments identified by the survey
- Platted setbacks
- Right-of-way or street dedication requirements
- No-build areas
When our engineers prepare feasibility studies or early concept layouts, these limitations often dictate the initial design footprint.
- Liens, Judgments, and Unreleased Interests
These items must be addressed prior to closing, but they can also indicate potential delays:
- Tax liens
- Contractor or vendor liens
- Probate-related issues
- Outdated deeds of trust
Our team frequently coordinates with the developer and title company to confirm whether these requirements could impact project schedules.
- Mineral Rights & Surface Use Reservations
Mineral reservations are common across Texas, even in urbanizing areas. Depending on the language, mineral interest owners may have:
- Access rights
- Surface-use permissions
- Restrictions on building locations
Understanding these rights early is essential for planning utilities, access roads, and grading.
How JACOB | MARTIN Uses Schedule B in the Land Development Process
A title commitment isn’t just a legal formality—it’s one of the most important pieces of due diligence in early-stage engineering. Our Land Development team uses Schedule B to:
- Evaluate development feasibility
- Identify physical and legal constraints
- Guide site planning, grading, drainage, and utility design
- Coordinate easement verification with surveyors
- Determine whether easements can be released or relocated
- Assist clients in negotiating access rights or improvements
- Prevent costly redesigns later in the project
This early legal and engineering review helps clients avoid the classic pitfalls of land development: conflicts with utilities, buildability issues, and late-stage layout revisions.
Encumbrance Analysis: A Critical Step in Development Due Diligence
A complete encumbrance review involves:
- Reading every referenced document in Schedule B
- Mapping all easements and restrictions onto CAD and survey files
- Confirming the exact location and width of easements
- Reviewing conflicts with grading, drainage, roadway layout, and utilities
- Identifying items that require legal clarification
- Presenting a clear summary to the developer before design proceeds
This process gives developers a clear picture of what is truly possible on the land—before significant resources are invested.
Why Developers Should Involve JACOB | MARTIN Early
Too often, the title commitment is shared only with attorneys, not engineers. When our Land Development team receives the title commitment early, we can:
- Identify design conflicts before they appear
- Adjust site layouts based on legal constraints
- Reduce redesign costs
- Accelerate the permitting and construction timeline
- Provide more accurate project cost estimates
It’s one of the simplest ways to minimize risk in Texas land development.
A title commitment—especially Schedule B—is the legal blueprint for a development site. It reveals the easements, restrictions, and encumbrances that define what the land can become.
At JACOB | MARTIN, our Land Development team integrates title review into every feasibility study and early design phase, helping clients eliminate surprises, reduce redesign costs, and make informed decisions about their projects.