<format type="json">{report_id: string, property_address: string, report_date: date, report_author_firm: string, overall_risk_assessment: string, estimated_remediation_cost_usd: number optional, structural_assessment: {foundation: {condition: string, issues_identified: list[string], notes: string optional}, framing: {condition: string, issues_identified: list[string], notes: string optional}, roofing: {material: string, age_years: number, condition: string, recommended_action: string optional}}, environmental_findings: {phase_i_esa_status: string, recognized_environmental_conditions: list[{type: string, description: string, severity: string, recommended_action: string optional}], asbestos_containing_materials_present: boolean, lead_based_paint_present: boolean}, building_systems: list[{system_type: string, components_summary: list[{component_name: string, condition: string, estimated_lifespan_remaining_years: number optional, issues: list[string] optional}], overall_system_condition: string, system_recommendations: string optional}], title_encumbrances: list[{type: string, description: string, impact_assessment: string}], capital_expenditure_projections: list[{item: string, category: string, estimated_cost_usd: number, timeline_years: number}], key_due_diligence_recommendations: list[string], summary_narrative: string optional}</format> <data>EXECUTIVE SUMMARY: COMMERCIAL PROPERTY DUE DILIGENCE REPORT
Report ID: DDR-2025-4421
Date of Report: 2025-07-17
Subject Property: 1540 Veronica Key, New Haroldmouth, Virginia 86595
Prepared by: Brown Group

This report, commissioned by our client, synthesizes the findings from a comprehensive due diligence investigation of the subject property. The inspection, conducted on a brisk weekday, revealed a significant risk profile, driven by several key factors across structural, environmental, and financial domains. The on-site property manager was cooperative during our walkthrough. 

Structural Assessment:
The building's core structure presents a mixed condition. The foundation was observed to be in poor state, with field notes indicating spalling concrete and minor hairline cracks.Similarly, the framing is considered Fair; however, bowing in roof joists. Of greater concern is the Modified Bitumen roofing system. Having been in service for approximately 30 years, its condition is poor, and our recommendation is a full replacement recommended within next 1-3 years. 

Environmental Findings:
The Phase I Environmental Site Assessment (ESA) concluded with a status of 'RECs Identified'. Multiple Recognized Environmental Conditions (RECs) were documented. A notable REC of Low severity relates to Historical Contamination: So way compare several ask newspaper care. A survey for hazardous materials confirmed that the presence of asbestos-containing materials is likely, while lead-based paint is not expected. 

Building Systems and Capital Needs:
An evaluation of major building systems revealed significant deferred maintenance. The Fire Safety system is in Good condition. The Plumbing system is in Poor condition. The Water Heaters exhibits issues such as inefficient operation. The HVAC system is in Good condition. The Rooftop Units (RTUs) exhibits issues such as inefficient operation, corrosion noted. These deficiencies translate into considerable near-term capital needs. Our projections identify a total of $151,131 in required expenditures over the next decade. This includes approximately $80,044 for Roof Replacement within 1 year(s). Immediate and environmental remediation costs are preliminarily budgeted at $151,131. 

Title & Encumbrances:
A preliminary title report review found 4 encumbrances. These include items of moderate impact, such as a Easement related to 'Smith-Thompson holds a easement for transition viral bandwidth.'. 

Key Recommendations:
Based on these findings, we strongly advise the following actions prior to closing: Budget for full roof replacement within 12-24 months.; Obtain proposals for replacement of water heaters..</data>
{
  "report_id": "DDR-2025-4421",
  "property_address": "1540 Veronica Key, New Haroldmouth, Virginia 86595",
  "report_date": "2025-07-17",
  "report_author_firm": "Brown Group",
  "overall_risk_assessment": "Significant",
  "structural_assessment": {
    "foundation": {
      "condition": "Poor",
      "issues_identified": [
        "spalling concrete",
        "minor hairline cracks"
      ]
    },
    "framing": {
      "condition": "Fair",
      "issues_identified": [
        "bowing in roof joists"
      ],
      "notes": "Daughter third threat owner under computer with affect among guy raise."
    },
    "roofing": {
      "material": "Modified Bitumen",
      "age_years": 30,
      "condition": "Poor",
      "recommended_action": "Full replacement recommended within next 1-3 years."
    }
  },
  "environmental_findings": {
    "phase_i_esa_status": "RECs Identified",
    "recognized_environmental_conditions": [
      {
        "type": "Historical Contamination",
        "description": "So way compare several ask newspaper care.",
        "severity": "Low",
        "recommended_action": "Recommend Phase II ESA to investigate historical contamination."
      },
      {
        "type": "Adjacent Property Concern",
        "description": "Me thought what region that ask draw similar your between.",
        "severity": "Moderate"
      }
    ],
    "asbestos_containing_materials_present": true,
    "lead_based_paint_present": false
  },
  "building_systems": [
    {
      "system_type": "Fire Safety",
      "components_summary": [
        {
          "component_name": "Fire Alarm Control Panel",
          "condition": "Good"
        }
      ],
      "overall_system_condition": "Good"
    },
    {
      "system_type": "Plumbing",
      "components_summary": [
        {
          "component_name": "Water Heaters",
          "condition": "Poor",
          "issues": [
            "inefficient operation"
          ]
        }
      ],
      "overall_system_condition": "Poor",
      "system_recommendations": "Recommend comprehensive review and budgeting for Plumbing system upgrades."
    },
    {
      "system_type": "HVAC",
      "components_summary": [
        {
          "component_name": "Boiler",
          "condition": "Good",
          "estimated_lifespan_remaining_years": 9
        },
        {
          "component_name": "Rooftop Units (RTUs)",
          "condition": "Fair",
          "estimated_lifespan_remaining_years": 11,
          "issues": [
            "inefficient operation",
            "corrosion noted"
          ]
        }
      ],
      "overall_system_condition": "Good"
    }
  ],
  "title_encumbrances": [
    {
      "type": "Easement",
      "description": "Smith-Thompson holds a easement for transition viral bandwidth.",
      "impact_assessment": "Moderate"
    },
    {
      "type": "Encroachment",
      "description": "Hamilton-Graves holds a encroachment for strategize wireless initiatives.",
      "impact_assessment": "Minor"
    },
    {
      "type": "Easement",
      "description": "Decker-Guzman holds a easement for drive wireless systems.",
      "impact_assessment": "Minor"
    },
    {
      "type": "Encroachment",
      "description": "Brown, Weber and Buckley holds a encroachment for optimize compelling interfaces.",
      "impact_assessment": "Moderate"
    }
  ],
  "capital_expenditure_projections": [
    {
      "item": "Roof Replacement",
      "category": "Immediate Repair",
      "estimated_cost_usd": 80044,
      "timeline_years": 1
    },
    {
      "item": "Water Heaters Replacement/Repair",
      "category": "Short-Term CAPEX",
      "estimated_cost_usd": 71087,
      "timeline_years": 1
    }
  ],
  "key_due_diligence_recommendations": [
    "Budget for full roof replacement within 12-24 months.",
    "Obtain proposals for replacement of water heaters."
  ],
  "estimated_remediation_cost_usd": 151131
}