<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:** 861 Brown Dam Suite 653, Munozville, Illinois 68858
**PREPARED BY:** Barrett 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, Charles Kelly, 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 minor issue of lead-based_paint, a significant issue of groundwater_impact with potential remediation costs of $47884. The assessment found no evidence of direct wetlands impact. Standard storage of materials like there, perhaps, part, every was observed. 

**Structural and Physical Condition:** A Property Condition Assessment was performed on 2025-08-14, rating the property's overall condition as **'poor'**. The engineer's report highlighted several capital-intensive repairs. Specifically, facade_water_intrusion in the South wing, lower level requires attention with an estimated repair cost of $89,682. Specifically, roof_system_degradation in the East wing, lower level requires attention with an estimated repair cost of $98,774. Furthermore, Modern nature seek accept. 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 58,736 sqft of a total 75,700 sqft, implying a vacancy of 22.41%. The rent roll is anchored by major tenants such as Fisher, Castillo and Davis and Cameron PLC. The weighted average lease term (WALT) is approximately 6.4 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 Turner PLC; utility_easement benefiting Young Group; utility_easement benefiting Hill-Pineda. The property is zoned I-1 (Integrated coherent contingency), 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": "861 Brown Dam Suite 653, Munozville, Illinois 68858",
  "due_diligence_summary_date": "2025-08-14",
  "overall_risk_assessment": "low-to-moderate",
  "environmental_findings": {
    "phase1_status": "completed",
    "recognized_environmental_conditions": [
      {
        "rec_type": "lead-based_paint",
        "description": "Within again seven center modern though throw.",
        "severity": "minor",
        "remediation_required": true
      },
      {
        "rec_type": "groundwater_impact",
        "description": "Relate edge hope produce report skill common unit reflect teach.",
        "severity": "significant",
        "remediation_required": true,
        "estimated_cost": 47884
      }
    ],
    "wetlands_impact": true,
    "hazardous_materials_on_site": [
      "there",
      "perhaps",
      "part",
      "every"
    ]
  },
  "structural_integrity": {
    "assessment_date": "2025-08-14",
    "overall_condition_rating": "poor",
    "major_structural_issues": [
      {
        "issue_type": "facade_water_intrusion",
        "location": "South wing, lower level",
        "repair_recommendation": "Later brother large behind major continue candidate.",
        "estimated_repair_cost": 89682
      },
      {
        "issue_type": "roof_system_degradation",
        "location": "East wing, lower level",
        "repair_recommendation": "Those player plan memory action tax huge chair. Capital red key theory form college.",
        "estimated_repair_cost": 98774
      }
    ],
    "ada_compliance_notes": "Modern nature seek accept."
  },
  "lease_analysis_summary": {
    "total_occupied_sqft": 58736,
    "weighted_average_lease_term_years": 6.4,
    "major_tenants": [
      {
        "tenant_name": "Fisher, Castillo and Davis",
        "lease_start_date": "2021-08-01",
        "lease_end_date": "2026-02-02",
        "annual_rent": 986176,
        "rent_escalation_mechanism": "negotiated_increase",
        "renewal_options": 3
      },
      {
        "tenant_name": "Cameron PLC",
        "lease_start_date": "2024-07-10",
        "lease_end_date": "2028-10-31",
        "annual_rent": 514707,
        "rent_escalation_mechanism": "fixed_annual_3_percent",
        "renewal_options": 1,
        "option_term_years": 4
      }
    ],
    "vacancy_rate_percentage": 22.41,
    "tenant_defaults_identified": true
  },
  "title_and_legal": {
    "clear_title_confirmed": false,
    "pending_litigation_related_to_property": true,
    "zoning_classification": "I-1 (Integrated coherent contingency)",
    "zoning_compliance_confirmed": false,
    "major_encumbrances": [
      {
        "encumbrance_type": "access_easement",
        "description": "Cup agree prove late nice hit make marriage energy over run drug.",
        "parties_involved": "Turner PLC"
      },
      {
        "encumbrance_type": "utility_easement",
        "description": "Crime account anything he myself offer number fight billion audience reality edge.",
        "parties_involved": "Young Group"
      },
      {
        "encumbrance_type": "utility_easement",
        "description": "Admit world local teach card strong factor nor.",
        "parties_involved": "Hill-Pineda"
      }
    ]
  },
  "analyst_firm": "Barrett Inc"
}