<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-2025-1797
Date of Report: 2025-08-09
Subject Property: 39176 Robertson Islands Apt. 327, Williamstown, Michigan 96268
Prepared by: Watson, Young and Smith

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. Specialist notes recommend: 'Never city if though enjoy sometimes necessary industry about.' Similarly, the framing is considered Fair; however, bowing in roof joists and minor wood rot at sill plates. Of greater concern is the Built-Up Roof (BUR) roofing system. Having been in service for approximately 22 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 'No RECs Identified'. A survey for hazardous materials confirmed that the presence of asbestos-containing materials is likely, while lead-based paint is a concern. 

Building Systems and Capital Needs:
An evaluation of major building systems revealed significant deferred maintenance. The HVAC system is in Poor condition. The Chiller exhibits issues such as corrosion noted. The Boiler exhibits issues such as requires immediate service, corrosion noted. The Plumbing system is in Poor condition. The Supply Pipes exhibits issues such as requires immediate service, inefficient operation. The Fire Safety system is in Good condition. The Electrical system is in Poor condition. The Panelboards exhibits issues such as nearing end of useful life. These deficiencies translate into considerable near-term capital needs. Our projections identify a total of $326,382 in required expenditures over the next decade. This includes approximately $145,577 for Roof Replacement within 0 year(s). Immediate and environmental remediation costs are preliminarily budgeted at $326,382. 

Title & Encumbrances:
A preliminary title report review found 3 encumbrances. These include items of moderate impact, such as a Easement related to 'Kelly LLC holds a easement for transition e-business solutions.'. 

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 chiller.; Require seller to resolve existing mechanics lien prior to closing.; Obtain proposals for replacement of boiler.; Obtain proposals for replacement of panelboards.; Obtain proposals for replacement of supply pipes..</data>
{
  "report_id": "DDR-2025-1797",
  "property_address": "39176 Robertson Islands Apt. 327, Williamstown, Michigan 96268",
  "report_date": "2025-08-09",
  "report_author_firm": "Watson, Young and Smith",
  "overall_risk_assessment": "Significant",
  "structural_assessment": {
    "foundation": {
      "condition": "Poor",
      "issues_identified": [
        "spalling concrete"
      ],
      "notes": "Never city if though enjoy sometimes necessary industry about."
    },
    "framing": {
      "condition": "Fair",
      "issues_identified": [
        "bowing in roof joists",
        "minor wood rot at sill plates"
      ],
      "notes": "Something method gas what late mind."
    },
    "roofing": {
      "material": "Built-Up Roof (BUR)",
      "age_years": 22,
      "condition": "Poor",
      "recommended_action": "Full replacement recommended within next 1-3 years."
    }
  },
  "environmental_findings": {
    "phase_i_esa_status": "No RECs Identified",
    "recognized_environmental_conditions": [],
    "asbestos_containing_materials_present": true,
    "lead_based_paint_present": true
  },
  "building_systems": [
    {
      "system_type": "HVAC",
      "components_summary": [
        {
          "component_name": "Chiller",
          "condition": "Poor",
          "issues": [
            "corrosion noted"
          ]
        },
        {
          "component_name": "Boiler",
          "condition": "Poor",
          "estimated_lifespan_remaining_years": 13,
          "issues": [
            "requires immediate service",
            "corrosion noted"
          ]
        }
      ],
      "overall_system_condition": "Poor",
      "system_recommendations": "Recommend comprehensive review and budgeting for HVAC system upgrades."
    },
    {
      "system_type": "Plumbing",
      "components_summary": [
        {
          "component_name": "Supply Pipes",
          "condition": "Poor",
          "estimated_lifespan_remaining_years": 11,
          "issues": [
            "requires immediate service",
            "inefficient operation"
          ]
        }
      ],
      "overall_system_condition": "Poor",
      "system_recommendations": "Recommend comprehensive review and budgeting for Plumbing system upgrades."
    },
    {
      "system_type": "Fire Safety",
      "components_summary": [
        {
          "component_name": "Fire Alarm Control Panel",
          "condition": "Good"
        }
      ],
      "overall_system_condition": "Good"
    },
    {
      "system_type": "Electrical",
      "components_summary": [
        {
          "component_name": "Panelboards",
          "condition": "Poor",
          "estimated_lifespan_remaining_years": 15,
          "issues": [
            "nearing end of useful life"
          ]
        }
      ],
      "overall_system_condition": "Poor",
      "system_recommendations": "Recommend comprehensive review and budgeting for Electrical system upgrades."
    }
  ],
  "title_encumbrances": [
    {
      "type": "Easement",
      "description": "Kelly LLC holds a easement for transition e-business solutions.",
      "impact_assessment": "Moderate"
    },
    {
      "type": "Covenant",
      "description": "Wilson-Salazar holds a covenant for enhance frictionless functionalities.",
      "impact_assessment": "Minor"
    },
    {
      "type": "Lien",
      "description": "Rodriguez-Craig holds a lien for transition rich e-business.",
      "impact_assessment": "Significant"
    }
  ],
  "capital_expenditure_projections": [
    {
      "item": "Roof Replacement",
      "category": "Immediate Repair",
      "estimated_cost_usd": 145577,
      "timeline_years": 0
    },
    {
      "item": "Chiller Replacement/Repair",
      "category": "Short-Term CAPEX",
      "estimated_cost_usd": 54491,
      "timeline_years": 2
    },
    {
      "item": "Boiler Replacement/Repair",
      "category": "Short-Term CAPEX",
      "estimated_cost_usd": 34816,
      "timeline_years": 4
    },
    {
      "item": "Supply Pipes Replacement/Repair",
      "category": "Short-Term CAPEX",
      "estimated_cost_usd": 46218,
      "timeline_years": 3
    },
    {
      "item": "Panelboards Replacement/Repair",
      "category": "Short-Term CAPEX",
      "estimated_cost_usd": 45280,
      "timeline_years": 5
    }
  ],
  "key_due_diligence_recommendations": [
    "Budget for full roof replacement within 12-24 months.",
    "Obtain proposals for replacement of chiller.",
    "Require seller to resolve existing mechanics lien prior to closing.",
    "Obtain proposals for replacement of boiler.",
    "Obtain proposals for replacement of panelboards.",
    "Obtain proposals for replacement of supply pipes."
  ],
  "estimated_remediation_cost_usd": 326382
}