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Creating Areas

To create an area, type the following command in chat:
/lands selection
You will now have a golden hoe tool in your hand and see the selection text on your screen. You'll be selecting a cuboid (think of a 3D rectangle) by choosing two points at two corners of the cuboid.
This is a 3D cube so you must consider height. If you select 2 points on the same vertical axis (both points on the floor) then your area will only include the floor. You generally want to think of a 'bottom' point and a 'top' point.
The selection screen you see after typing /land selection
Left click with the tool to select the First point. Right click to select the Second point.
You will see a visualization of your selected points with floating particles.
Once you're happy with the selection, type the following command:
/assign {NAME OF YOUR AREA}
Example: /assign SandCastle
You've now created an area named SandCastle!
If you want to resize your area or select a whole new area just repeat the process. If you assign with the same name as an existing area, you will replace the old selection with the new one. If you use a new name, you will create a new area.
This process is MUCH easier to follow in-game. If you're confused by the text, play around with the selection tool in-game. Once you do it once, you'll be able to create new areas in seconds.