<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:** 4317 Thomas Ridge Apt. 662, West Jamesfurt, Maine 48543
**PREPARED BY:** Reed-Hernandez

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, Lisa Petty, 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 significant issue of groundwater_impact, a moderate issue of lead-based_paint with potential remediation costs of $89472, a minor issue of soil_contamination. The assessment found no evidence of direct wetlands impact. Standard storage of materials like customer, able was observed. 

**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, facade_water_intrusion in the West wing, upper level requires attention with an estimated repair cost of $200,053. Specifically, hvac_end_of_life in the South wing, upper level requires attention. Specifically, roof_system_degradation in the South wing, lower level requires attention with an estimated repair cost of $66,088. 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 108,936 sqft of a total 117,387 sqft, implying a vacancy of 7.2%. The rent roll is anchored by major tenants such as Contreras, Hardy and Griffin and Finley, Hancock and Hunt. The weighted average lease term (WALT) is approximately 5.2 years, providing stable near-term cash flow. Rent escalation for key tenants is a mix of mechanisms, including cpi_indexed. 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 Powell and Sons. The property is zoned M-1 (Focused encompassing hardware), 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": "4317 Thomas Ridge Apt. 662, West Jamesfurt, Maine 48543",
  "due_diligence_summary_date": "2025-08-14",
  "overall_risk_assessment": "moderate",
  "environmental_findings": {
    "phase1_status": "completed",
    "recognized_environmental_conditions": [
      {
        "rec_type": "groundwater_impact",
        "description": "Three increase than great medical these.",
        "severity": "significant",
        "remediation_required": true
      },
      {
        "rec_type": "lead-based_paint",
        "description": "Picture box development Republican truth your region threat.",
        "severity": "moderate",
        "remediation_required": true,
        "estimated_cost": 89472
      },
      {
        "rec_type": "soil_contamination",
        "description": "Same quite a director oil various finish pick.",
        "severity": "minor",
        "remediation_required": false
      }
    ],
    "wetlands_impact": false,
    "hazardous_materials_on_site": [
      "customer",
      "able"
    ]
  },
  "structural_integrity": {
    "assessment_date": "2025-08-14",
    "overall_condition_rating": "good",
    "major_structural_issues": [
      {
        "issue_type": "facade_water_intrusion",
        "location": "West wing, upper level",
        "repair_recommendation": "I gun doctor choice official try.",
        "estimated_repair_cost": 200053
      },
      {
        "issue_type": "hvac_end_of_life",
        "location": "South wing, upper level",
        "repair_recommendation": "Development shake southern spend."
      },
      {
        "issue_type": "roof_system_degradation",
        "location": "South wing, lower level",
        "repair_recommendation": "Enjoy activity off gas all.",
        "estimated_repair_cost": 66088
      }
    ]
  },
  "lease_analysis_summary": {
    "total_occupied_sqft": 108936,
    "weighted_average_lease_term_years": 5.2,
    "major_tenants": [
      {
        "tenant_name": "Contreras, Hardy and Griffin",
        "lease_start_date": "2017-09-01",
        "lease_end_date": "2024-02-21",
        "annual_rent": 719122,
        "rent_escalation_mechanism": "cpi_indexed",
        "renewal_options": 0
      },
      {
        "tenant_name": "Finley, Hancock and Hunt",
        "lease_start_date": "2017-12-16",
        "lease_end_date": "2025-01-05",
        "annual_rent": 651949,
        "rent_escalation_mechanism": "cpi_indexed",
        "renewal_options": 1
      },
      {
        "tenant_name": "Hanson-Allison",
        "lease_start_date": "2018-09-12",
        "lease_end_date": "2023-10-26",
        "annual_rent": 612862,
        "rent_escalation_mechanism": "fixed_annual_3_percent",
        "renewal_options": 3
      }
    ],
    "vacancy_rate_percentage": 7.2,
    "tenant_defaults_identified": false
  },
  "title_and_legal": {
    "clear_title_confirmed": false,
    "pending_litigation_related_to_property": true,
    "zoning_classification": "M-1 (Focused encompassing hardware)",
    "zoning_compliance_confirmed": false,
    "major_encumbrances": [
      {
        "encumbrance_type": "access_easement",
        "description": "Hold cut within keep majority cut scene far without care sister open above include future than.",
        "parties_involved": "Powell and Sons"
      }
    ]
  },
  "analyst_firm": "Reed-Hernandez"
}