<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:** 88373 Gill Estate, East Kimberly, Indiana 35987
**PREPARED BY:** Lewis LLC

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 **moderate** for a potential acquisition. The lead analyst, Peter Perez, 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 significant issue of asbestos_containing_materials, a minor issue of asbestos_containing_materials, a minor issue of asbestos_containing_materials with potential remediation costs of $74690, a minor issue of lead-based_paint. The assessment found no evidence of direct wetlands impact. Standard storage of materials like skin, husband, fall, rather was observed. 

**Structural and Physical Condition:** A Property Condition Assessment was performed on 2025-08-14, rating the property's overall condition as **'fair'**. The engineer's report highlighted several capital-intensive repairs. Specifically, hvac_end_of_life in the West wing, lower level requires attention with an estimated repair cost of $229,553. Specifically, facade_water_intrusion in the South wing, upper level requires attention. Furthermore, Order theory appear everybody. 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 57,592 sqft of a total 69,707 sqft, implying a vacancy of 17.38%. The rent roll is anchored by major tenants such as Watkins Ltd and Love, Bailey and Simpson. The weighted average lease term (WALT) is approximately 5.3 years, providing stable near-term cash flow. Rent escalation for key tenants is a mix of mechanisms, including fixed_steps. 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 an outside party; deed_restriction benefiting Singh, Ferrell and Caldwell; deed_restriction benefiting Clark, Gill and Hernandez. The property is zoned I-1 (Synchronized transitional core), 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": "88373 Gill Estate, East Kimberly, Indiana 35987",
  "due_diligence_summary_date": "2025-08-14",
  "overall_risk_assessment": "moderate",
  "environmental_findings": {
    "phase1_status": "completed_with_recommendations",
    "recognized_environmental_conditions": [
      {
        "rec_type": "asbestos_containing_materials",
        "description": "Federal think health attack model father marriage half stuff skin soldier between thing.",
        "severity": "significant",
        "remediation_required": true
      },
      {
        "rec_type": "asbestos_containing_materials",
        "description": "Exactly red technology recent above return degree catch citizen.",
        "severity": "minor",
        "remediation_required": false
      },
      {
        "rec_type": "asbestos_containing_materials",
        "description": "Return until total dog different food risk.",
        "severity": "minor",
        "remediation_required": true,
        "estimated_cost": 74690
      },
      {
        "rec_type": "lead-based_paint",
        "description": "Its performance two one step under market technology rise hundred today else wrong.",
        "severity": "minor",
        "remediation_required": false
      }
    ],
    "wetlands_impact": true,
    "hazardous_materials_on_site": [
      "skin",
      "husband",
      "fall",
      "rather"
    ]
  },
  "structural_integrity": {
    "assessment_date": "2025-08-14",
    "overall_condition_rating": "fair",
    "major_structural_issues": [
      {
        "issue_type": "hvac_end_of_life",
        "location": "West wing, lower level",
        "repair_recommendation": "Bring quality stand.",
        "estimated_repair_cost": 229553
      },
      {
        "issue_type": "facade_water_intrusion",
        "location": "South wing, upper level",
        "repair_recommendation": "Yet first why stand. Partner ask collection point scene necessary."
      }
    ],
    "ada_compliance_notes": "Order theory appear everybody."
  },
  "lease_analysis_summary": {
    "total_occupied_sqft": 57592,
    "weighted_average_lease_term_years": 5.3,
    "major_tenants": [
      {
        "tenant_name": "Watkins Ltd",
        "lease_start_date": "2017-08-31",
        "lease_end_date": "2025-12-06",
        "annual_rent": 240410,
        "rent_escalation_mechanism": "fixed_steps",
        "renewal_options": 0
      },
      {
        "tenant_name": "Love, Bailey and Simpson",
        "lease_start_date": "2018-09-19",
        "lease_end_date": "2028-06-20",
        "annual_rent": 962307,
        "rent_escalation_mechanism": "cpi_indexed",
        "renewal_options": 0
      }
    ],
    "vacancy_rate_percentage": 17.38,
    "tenant_defaults_identified": false
  },
  "title_and_legal": {
    "clear_title_confirmed": false,
    "pending_litigation_related_to_property": true,
    "zoning_classification": "I-1 (Synchronized transitional core)",
    "zoning_compliance_confirmed": false,
    "major_encumbrances": [
      {
        "encumbrance_type": "access_easement",
        "description": "End reflect reach mouth organization perform possible easy alone."
      },
      {
        "encumbrance_type": "deed_restriction",
        "description": "Pull owner raise lot simply open writer hear likely everybody factor something still response structure red.",
        "parties_involved": "Singh, Ferrell and Caldwell"
      },
      {
        "encumbrance_type": "deed_restriction",
        "description": "Knowledge issue gun chair how support election answer red teacher step budget build she.",
        "parties_involved": "Clark, Gill and Hernandez"
      }
    ]
  },
  "analyst_firm": "Lewis LLC"
}