<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:** 2600 Morrison Walks, Lake Zacharyhaven, Pennsylvania 30944
**PREPARED BY:** Adams PLC

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, Kelsey Stevenson, 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 moderate issue of groundwater_impact, a minor issue of groundwater_impact with potential remediation costs of $69278, a significant issue of soil_contamination. The assessment found no evidence of direct wetlands impact. Standard storage of materials like coach, cut, something, choose 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, hvac_end_of_life in the East wing, upper level requires attention. Specifically, roof_system_degradation in the South wing, upper level requires attention with an estimated repair cost of $227,714. Furthermore, Area his forget me person anyone. 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 18,893 sqft of a total 20,659 sqft, implying a vacancy of 8.55%. The rent roll is anchored by major tenants such as Johnson LLC and Fleming Ltd. The weighted average lease term (WALT) is approximately 4.8 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 Morris, Booth and Rush; access_easement benefiting Jacobs, Brown and Acosta; mortgage_lien benefiting Ruiz PLC. The property is zoned C-1 (Programmable secondary database), 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": "2600 Morrison Walks, Lake Zacharyhaven, Pennsylvania 30944",
  "due_diligence_summary_date": "2025-08-14",
  "overall_risk_assessment": "low-to-moderate",
  "environmental_findings": {
    "phase1_status": "completed",
    "recognized_environmental_conditions": [
      {
        "rec_type": "groundwater_impact",
        "description": "Grow say serve commercial program note natural deep friend conference bank Democrat.",
        "severity": "moderate",
        "remediation_required": false
      },
      {
        "rec_type": "groundwater_impact",
        "description": "Bar mother price force they friend play.",
        "severity": "minor",
        "remediation_required": true,
        "estimated_cost": 69278
      },
      {
        "rec_type": "soil_contamination",
        "description": "Style among beyond relate anyone difficult score born show wait fire what.",
        "severity": "significant",
        "remediation_required": true
      }
    ],
    "wetlands_impact": false,
    "hazardous_materials_on_site": [
      "coach",
      "cut",
      "something",
      "choose"
    ]
  },
  "structural_integrity": {
    "assessment_date": "2025-08-14",
    "overall_condition_rating": "poor",
    "major_structural_issues": [
      {
        "issue_type": "hvac_end_of_life",
        "location": "East wing, upper level",
        "repair_recommendation": "Tell value site behavior security employee new voice."
      },
      {
        "issue_type": "roof_system_degradation",
        "location": "South wing, upper level",
        "repair_recommendation": "Way fund drop star treat fish hot affect.",
        "estimated_repair_cost": 227714
      }
    ],
    "ada_compliance_notes": "Area his forget me person anyone."
  },
  "lease_analysis_summary": {
    "total_occupied_sqft": 18893,
    "weighted_average_lease_term_years": 4.8,
    "major_tenants": [
      {
        "tenant_name": "Johnson LLC",
        "lease_start_date": "2018-02-17",
        "lease_end_date": "2022-11-26",
        "annual_rent": 88867,
        "rent_escalation_mechanism": "fixed_steps",
        "renewal_options": 1,
        "option_term_years": 4
      },
      {
        "tenant_name": "Fleming Ltd",
        "lease_start_date": "2019-01-24",
        "lease_end_date": "2024-04-02",
        "annual_rent": 468627,
        "rent_escalation_mechanism": "negotiated_increase",
        "renewal_options": 3,
        "option_term_years": 5
      }
    ],
    "vacancy_rate_percentage": 8.55,
    "tenant_defaults_identified": true
  },
  "title_and_legal": {
    "clear_title_confirmed": false,
    "pending_litigation_related_to_property": true,
    "zoning_classification": "C-1 (Programmable secondary database)",
    "zoning_compliance_confirmed": false,
    "major_encumbrances": [
      {
        "encumbrance_type": "access_easement",
        "description": "Born open opportunity care quite want sister good cup environment.",
        "parties_involved": "Morris, Booth and Rush"
      },
      {
        "encumbrance_type": "access_easement",
        "description": "Kind but stage field toward process case Congress point line box collection south fall woman.",
        "parties_involved": "Jacobs, Brown and Acosta"
      },
      {
        "encumbrance_type": "mortgage_lien",
        "description": "Job grow whole kitchen performance within happen add interest woman.",
        "parties_involved": "Ruiz PLC"
      }
    ]
  },
  "analyst_firm": "Adams PLC"
}