<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:** 49196 Flores Ville Apt. 758, Port Amber, Oklahoma 86474
**PREPARED BY:** Howard, Lewis and Peterson

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** for a potential acquisition. The lead analyst, Collin Dunn, noted the complexity of the file.

**Environmental Review:** The Phase I Environmental Site Assessment (ESA) is noted as **completed**. Several Recognized Environmental Conditions (RECs) were identified. Key among these are a significant issue of asbestos_containing_materials with potential remediation costs of $123167, a significant issue of vapor_intrusion_concern with potential remediation costs of $111038, a significant issue of groundwater_impact. The assessment found no evidence of direct wetlands impact. Standard storage of materials like crime, city was observed. 

**Structural and Physical Condition:** A Property Condition Assessment was performed on 2025-08-14, rating the property's overall condition as **'good'**. The engineer's report highlighted several capital-intensive repairs. Specifically, foundation_settlement in the North wing, upper level requires attention with an estimated repair cost of $170,953. Specifically, roof_system_degradation in the North wing, upper level requires attention with an estimated repair cost of $230,993. Specifically, roof_system_degradation in the North wing, upper level requires attention with an estimated repair cost of $190,569. 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 101,295 sqft of a total 115,884 sqft, implying a vacancy of 12.59%. The rent roll is anchored by major tenants such as Winters-Castillo and Peterson, Murphy and Sims. The weighted average lease term (WALT) is approximately 6.9 years, providing stable near-term cash flow. Rent escalation for key tenants is a mix of mechanisms, including negotiated_increase. 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 Caldwell and Sons; utility_easement benefiting Sanders, Johnson and Savage. The property is zoned C-2 (Integrated asynchronous monitoring), 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": "49196 Flores Ville Apt. 758, Port Amber, Oklahoma 86474",
  "due_diligence_summary_date": "2025-08-14",
  "overall_risk_assessment": "low",
  "environmental_findings": {
    "phase1_status": "completed",
    "recognized_environmental_conditions": [
      {
        "rec_type": "asbestos_containing_materials",
        "description": "Owner wall decision some hear plan realize piece food later until.",
        "severity": "significant",
        "remediation_required": true,
        "estimated_cost": 123167
      },
      {
        "rec_type": "vapor_intrusion_concern",
        "description": "After participant attorney treatment point note case pattern often.",
        "severity": "significant",
        "remediation_required": true,
        "estimated_cost": 111038
      },
      {
        "rec_type": "groundwater_impact",
        "description": "Record huge fine protect for budget never particular home kind per whom identify.",
        "severity": "significant",
        "remediation_required": false
      }
    ],
    "wetlands_impact": false,
    "hazardous_materials_on_site": [
      "crime",
      "city"
    ]
  },
  "structural_integrity": {
    "assessment_date": "2025-08-14",
    "overall_condition_rating": "good",
    "major_structural_issues": [
      {
        "issue_type": "foundation_settlement",
        "location": "North wing, upper level",
        "repair_recommendation": "Recent radio beautiful produce pass guy. Subject your certainly hot process kind guy.",
        "estimated_repair_cost": 170953
      },
      {
        "issue_type": "roof_system_degradation",
        "location": "North wing, upper level",
        "repair_recommendation": "Officer staff body commercial without sort theory. Machine bar building high sense.",
        "estimated_repair_cost": 230993
      },
      {
        "issue_type": "roof_system_degradation",
        "location": "North wing, upper level",
        "repair_recommendation": "Seat than eat seem yet decide.",
        "estimated_repair_cost": 190569
      }
    ]
  },
  "lease_analysis_summary": {
    "total_occupied_sqft": 101295,
    "weighted_average_lease_term_years": 6.9,
    "major_tenants": [
      {
        "tenant_name": "Winters-Castillo",
        "lease_start_date": "2023-07-14",
        "lease_end_date": "2029-09-17",
        "annual_rent": 388230,
        "rent_escalation_mechanism": "negotiated_increase",
        "renewal_options": 0
      },
      {
        "tenant_name": "Peterson, Murphy and Sims",
        "lease_start_date": "2018-07-09",
        "lease_end_date": "2024-01-22",
        "annual_rent": 416310,
        "rent_escalation_mechanism": "fixed_steps",
        "renewal_options": 3
      },
      {
        "tenant_name": "Medina-Mullen",
        "lease_start_date": "2019-03-21",
        "lease_end_date": "2026-11-27",
        "annual_rent": 254204,
        "rent_escalation_mechanism": "negotiated_increase",
        "renewal_options": 0
      }
    ],
    "vacancy_rate_percentage": 12.59,
    "tenant_defaults_identified": false
  },
  "title_and_legal": {
    "clear_title_confirmed": false,
    "pending_litigation_related_to_property": true,
    "zoning_classification": "C-2 (Integrated asynchronous monitoring)",
    "zoning_compliance_confirmed": false,
    "major_encumbrances": [
      {
        "encumbrance_type": "access_easement",
        "description": "Such nice forget include street minute open natural executive environment guess method.",
        "parties_involved": "Caldwell and Sons"
      },
      {
        "encumbrance_type": "utility_easement",
        "description": "Imagine consider pick ago such message gas dinner beyond determine.",
        "parties_involved": "Sanders, Johnson and Savage"
      }
    ]
  },
  "analyst_firm": "Howard, Lewis and Peterson"
}