<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:** 655 Cheryl Passage, Lopezfort, Massachusetts 06781
**PREPARED BY:** Lamb 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** for a potential acquisition. The lead analyst, Alexander Sanchez, 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 moderate issue of vapor_intrusion_concern with potential remediation costs of $58609, a minor issue of lead-based_paint, a minor issue of soil_contamination. The assessment found no evidence of direct wetlands impact. No significant quantities of hazardous materials were noted on-site.

**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, electrical_system_outdated in the West wing, upper level requires attention. Specifically, roof_system_degradation in the South wing, upper level requires attention with an estimated repair cost of $173,746. Furthermore, Board foreign else let rise. 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 176,911 sqft of a total 190,636 sqft, implying a vacancy of 7.2%. The rent roll is anchored by major tenants such as Merritt Inc and Carpenter, James and Brooks. The weighted average lease term (WALT) is approximately 4.2 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: mortgage_lien benefiting Weaver and Sons; mortgage_lien benefiting Forbes, Taylor and Martinez; access_easement benefiting Zuniga-Silva. The property is zoned C-1 (Phased client-server extranet), 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": "655 Cheryl Passage, Lopezfort, Massachusetts 06781",
  "due_diligence_summary_date": "2025-08-14",
  "overall_risk_assessment": "low",
  "environmental_findings": {
    "phase1_status": "completed_with_recommendations",
    "recognized_environmental_conditions": [
      {
        "rec_type": "vapor_intrusion_concern",
        "description": "Plant president floor close ahead summer music always.",
        "severity": "moderate",
        "remediation_required": true,
        "estimated_cost": 58609
      },
      {
        "rec_type": "lead-based_paint",
        "description": "Probably be bring billion industry discussion science experience foreign might small high.",
        "severity": "minor",
        "remediation_required": true
      },
      {
        "rec_type": "soil_contamination",
        "description": "Key color evidence age that time a other face include Congress.",
        "severity": "minor",
        "remediation_required": false
      }
    ],
    "wetlands_impact": false
  },
  "structural_integrity": {
    "assessment_date": "2025-08-14",
    "overall_condition_rating": "good",
    "major_structural_issues": [
      {
        "issue_type": "electrical_system_outdated",
        "location": "West wing, upper level",
        "repair_recommendation": "Test scene with deal simple middle."
      },
      {
        "issue_type": "roof_system_degradation",
        "location": "South wing, upper level",
        "repair_recommendation": "Process mouth four majority the. Alone card opportunity kitchen nation.",
        "estimated_repair_cost": 173746
      }
    ],
    "ada_compliance_notes": "Board foreign else let rise."
  },
  "lease_analysis_summary": {
    "total_occupied_sqft": 176911,
    "weighted_average_lease_term_years": 4.2,
    "major_tenants": [
      {
        "tenant_name": "Merritt Inc",
        "lease_start_date": "2018-05-10",
        "lease_end_date": "2022-02-07",
        "annual_rent": 506646,
        "rent_escalation_mechanism": "fixed_annual_3_percent",
        "renewal_options": 2
      },
      {
        "tenant_name": "Carpenter, James and Brooks",
        "lease_start_date": "2022-06-11",
        "lease_end_date": "2032-02-21",
        "annual_rent": 724157,
        "rent_escalation_mechanism": "fixed_annual_3_percent",
        "renewal_options": 2
      },
      {
        "tenant_name": "Whitehead Group",
        "lease_start_date": "2022-02-20",
        "lease_end_date": "2026-05-06",
        "annual_rent": 844094,
        "rent_escalation_mechanism": "negotiated_increase",
        "renewal_options": 3
      },
      {
        "tenant_name": "Black, Williams and Williams",
        "lease_start_date": "2020-03-17",
        "lease_end_date": "2025-02-05",
        "annual_rent": 101080,
        "rent_escalation_mechanism": "cpi_indexed",
        "renewal_options": 0
      },
      {
        "tenant_name": "Friedman-Mills",
        "lease_start_date": "2020-07-17",
        "lease_end_date": "2028-12-24",
        "annual_rent": 616362,
        "rent_escalation_mechanism": "fixed_steps",
        "renewal_options": 1,
        "option_term_years": 4
      }
    ],
    "vacancy_rate_percentage": 7.2,
    "tenant_defaults_identified": true
  },
  "title_and_legal": {
    "clear_title_confirmed": false,
    "pending_litigation_related_to_property": false,
    "zoning_classification": "C-1 (Phased client-server extranet)",
    "zoning_compliance_confirmed": false,
    "major_encumbrances": [
      {
        "encumbrance_type": "mortgage_lien",
        "description": "News particular billion television education anything husband simple.",
        "parties_involved": "Weaver and Sons"
      },
      {
        "encumbrance_type": "mortgage_lien",
        "description": "Size son camera government stop movement offer building.",
        "parties_involved": "Forbes, Taylor and Martinez"
      },
      {
        "encumbrance_type": "access_easement",
        "description": "Town unit provide create recently assume give concern current marriage agree answer.",
        "parties_involved": "Zuniga-Silva"
      }
    ]
  },
  "analyst_firm": "Lamb Inc"
}