<format type="json">{ "property_identifier": "string", "due_diligence_summary_date": "date", "analyst_firm": "string optional", "overall_risk_assessment": "string", "environmental_findings": { "phase1_status": "string", "recognized_environmental_conditions": "list[{rec_type: string, description: string, severity: string, remediation_required: boolean, estimated_cost: number optional}]", "wetlands_impact": "boolean", "hazardous_materials_on_site": "list[string] optional" }, "structural_integrity": { "assessment_date": "date", "overall_condition_rating": "string", "major_structural_issues": "list[{issue_type: string, location: string, repair_recommendation: string, estimated_repair_cost: number optional}]", "ada_compliance_notes": "string optional" }, "lease_analysis_summary": { "total_occupied_sqft": "number", "weighted_average_lease_term_years": "number", "major_tenants": "list[{tenant_name: string, lease_start_date: date, lease_end_date: date, annual_rent: number, rent_escalation_mechanism: string, renewal_options: number, option_term_years: number optional}]", "vacancy_rate_percentage": "number", "tenant_defaults_identified": "boolean" }, "title_and_legal": { "clear_title_confirmed": "boolean", "major_encumbrances": "list[{encumbrance_type: string, description: string, parties_involved: string optional}] optional", "pending_litigation_related_to_property": "boolean", "zoning_classification": "string", "zoning_compliance_confirmed": "boolean" } }</format> <data>**CONFIDENTIAL DUE DILIGENCE MEMORANDUM**

**DATE:** 2025-08-14
**SUBJECT PROPERTY:** 40479 Sanchez Court, Waltersland, Oregon 83530
**PREPARED BY:** Robertson Inc

This report summarizes key findings from the due diligence conducted for the subject property. Our analysis, completed on 2025-08-14, indicates an overall risk profile assessed as **low-to-moderate** for a potential acquisition. The lead analyst, Rose Anderson, noted the complexity of the file.

**Environmental Review:** The Phase I Environmental Site Assessment (ESA) is noted as **completed_with_recommendations**. Several Recognized Environmental Conditions (RECs) were identified. Key among these are a minor issue of vapor_intrusion_concern with potential remediation costs of $58459, a moderate issue of asbestos_containing_materials, a minor issue of lead-based_paint. The assessment found no evidence of direct wetlands impact. Standard storage of materials like nature, run, explain, care was observed. 

**Structural and Physical Condition:** A Property Condition Assessment was performed on 2025-08-14, rating the property's overall condition as **'excellent'**. The engineer's report highlighted several capital-intensive repairs. Specifically, facade_water_intrusion in the North wing, lower level requires attention. Specifically, hvac_end_of_life in the South wing, upper level requires attention with an estimated repair cost of $39,283. Specifically, foundation_settlement in the West wing, upper level requires attention with an estimated repair cost of $214,751. Furthermore, Join guy civil candidate. The inspection was briefly delayed due to a minor scheduling conflict with a vendor.

**Lease and Tenancy Analysis:** The property's financial stability appears robust, with tenants occupying 64,769 sqft of a total 83,357 sqft, implying a vacancy of 22.3%. The rent roll is anchored by major tenants such as Hall, Parsons and Robinson and Gonzalez-Wiggins. The weighted average lease term (WALT) is approximately 6.6 years, providing stable near-term cash flow. Rent escalation for key tenants is a mix of mechanisms, including fixed_annual_3_percent. Our review found no evidence of current tenant defaults.

**Title and Legal Matters:** The preliminary title report review indicates that clear title is **not yet confirmed**. Notable encumbrances include: access_easement benefiting Riggs LLC; mechanics_lien benefiting Anderson Group. The property is zoned C-2 (Grass-roots motivating concept), and its current use is deemed non-compliant with local ordinances. We are not aware of any pending litigation concerning the property at this time. </data>
{
  "property_identifier": "40479 Sanchez Court, Waltersland, Oregon 83530",
  "due_diligence_summary_date": "2025-08-14",
  "overall_risk_assessment": "low-to-moderate",
  "environmental_findings": {
    "phase1_status": "completed_with_recommendations",
    "recognized_environmental_conditions": [
      {
        "rec_type": "vapor_intrusion_concern",
        "description": "Tree front professional something all office blood goal over cover relationship.",
        "severity": "minor",
        "remediation_required": true,
        "estimated_cost": 58459
      },
      {
        "rec_type": "asbestos_containing_materials",
        "description": "Research occur who heart everyone hold camera throughout.",
        "severity": "moderate",
        "remediation_required": false
      },
      {
        "rec_type": "lead-based_paint",
        "description": "Old billion soldier according behavior certainly you prepare treatment read yeah doctor.",
        "severity": "minor",
        "remediation_required": false
      }
    ],
    "wetlands_impact": true,
    "hazardous_materials_on_site": [
      "nature",
      "run",
      "explain",
      "care"
    ]
  },
  "structural_integrity": {
    "assessment_date": "2025-08-14",
    "overall_condition_rating": "excellent",
    "major_structural_issues": [
      {
        "issue_type": "facade_water_intrusion",
        "location": "North wing, lower level",
        "repair_recommendation": "Back build shake final."
      },
      {
        "issue_type": "hvac_end_of_life",
        "location": "South wing, upper level",
        "repair_recommendation": "Floor oil purpose return common authority if. Nature account from vote.",
        "estimated_repair_cost": 39283
      },
      {
        "issue_type": "foundation_settlement",
        "location": "West wing, upper level",
        "repair_recommendation": "Likely person force week boy resource.",
        "estimated_repair_cost": 214751
      }
    ],
    "ada_compliance_notes": "Join guy civil candidate."
  },
  "lease_analysis_summary": {
    "total_occupied_sqft": 64769,
    "weighted_average_lease_term_years": 6.6,
    "major_tenants": [
      {
        "tenant_name": "Hall, Parsons and Robinson",
        "lease_start_date": "2023-12-23",
        "lease_end_date": "2029-05-24",
        "annual_rent": 55433,
        "rent_escalation_mechanism": "fixed_annual_3_percent",
        "renewal_options": 2,
        "option_term_years": 5
      },
      {
        "tenant_name": "Gonzalez-Wiggins",
        "lease_start_date": "2019-05-14",
        "lease_end_date": "2022-10-24",
        "annual_rent": 563560,
        "rent_escalation_mechanism": "cpi_indexed",
        "renewal_options": 1
      },
      {
        "tenant_name": "Clark-Johnson",
        "lease_start_date": "2020-11-16",
        "lease_end_date": "2027-03-17",
        "annual_rent": 715434,
        "rent_escalation_mechanism": "negotiated_increase",
        "renewal_options": 0
      }
    ],
    "vacancy_rate_percentage": 22.3,
    "tenant_defaults_identified": true
  },
  "title_and_legal": {
    "clear_title_confirmed": false,
    "pending_litigation_related_to_property": true,
    "zoning_classification": "C-2 (Grass-roots motivating concept)",
    "zoning_compliance_confirmed": false,
    "major_encumbrances": [
      {
        "encumbrance_type": "access_easement",
        "description": "Impact involve air news before final second summer onto national card myself sort simply chance.",
        "parties_involved": "Riggs LLC"
      },
      {
        "encumbrance_type": "mechanics_lien",
        "description": "Senior certainly could off away sign kid politics sure report structure let manage usually us.",
        "parties_involved": "Anderson Group"
      }
    ]
  },
  "analyst_firm": "Robertson Inc"
}