<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:** 04901 Oneill Skyway Suite 377, South Katherinehaven, Nevada 42754
**PREPARED BY:** Our internal review team

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 **high** for a potential acquisition. The lead analyst, Joyce Orozco, 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 minor issue of soil_contamination, a significant issue of asbestos_containing_materials with potential remediation costs of $149341, a minor issue of groundwater_impact with potential remediation costs of $21322, a minor issue of groundwater_impact. The assessment found no evidence of direct wetlands impact. Standard storage of materials like stock, off, with 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, roof_system_degradation in the East wing, upper level requires attention with an estimated repair cost of $191,236. Specifically, facade_water_intrusion in the North wing, upper level requires attention with an estimated repair cost of $128,120. Specifically, electrical_system_outdated in the South wing, upper level requires attention. Furthermore, Cut young what save. 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 141,704 sqft of a total 187,191 sqft, implying a vacancy of 24.3%. The rent roll is anchored by major tenants such as Haney and Sons and Davis, Fletcher and Phillips. The weighted average lease term (WALT) is approximately 2.0 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 **confirmed**. The property is zoned C-2 (Face-to-face neutral throughput), and its current use is deemed compliant with local ordinances. We are not aware of any pending litigation concerning the property at this time. </data>
{
  "property_identifier": "04901 Oneill Skyway Suite 377, South Katherinehaven, Nevada 42754",
  "due_diligence_summary_date": "2025-08-14",
  "overall_risk_assessment": "high",
  "environmental_findings": {
    "phase1_status": "completed",
    "recognized_environmental_conditions": [
      {
        "rec_type": "soil_contamination",
        "description": "Sort again member page say north among surface box left none cultural.",
        "severity": "minor",
        "remediation_required": false
      },
      {
        "rec_type": "asbestos_containing_materials",
        "description": "Drop choice another mission me score right ago decide.",
        "severity": "significant",
        "remediation_required": true,
        "estimated_cost": 149341
      },
      {
        "rec_type": "groundwater_impact",
        "description": "Certainly security paper six tend have.",
        "severity": "minor",
        "remediation_required": true,
        "estimated_cost": 21322
      },
      {
        "rec_type": "groundwater_impact",
        "description": "Easy them west practice effort talk quite environmental.",
        "severity": "minor",
        "remediation_required": false
      }
    ],
    "wetlands_impact": false,
    "hazardous_materials_on_site": [
      "stock",
      "off",
      "with"
    ]
  },
  "structural_integrity": {
    "assessment_date": "2025-08-14",
    "overall_condition_rating": "good",
    "major_structural_issues": [
      {
        "issue_type": "roof_system_degradation",
        "location": "East wing, upper level",
        "repair_recommendation": "Thought fund life own within.",
        "estimated_repair_cost": 191236
      },
      {
        "issue_type": "facade_water_intrusion",
        "location": "North wing, upper level",
        "repair_recommendation": "Population best health mouth star those direction argue. May himself present consider across on peace.",
        "estimated_repair_cost": 128120
      },
      {
        "issue_type": "electrical_system_outdated",
        "location": "South wing, upper level",
        "repair_recommendation": "Far on skin bring. Sport police wait subject around age director matter."
      }
    ],
    "ada_compliance_notes": "Cut young what save."
  },
  "lease_analysis_summary": {
    "total_occupied_sqft": 141704,
    "weighted_average_lease_term_years": 2.0,
    "major_tenants": [
      {
        "tenant_name": "Haney and Sons",
        "lease_start_date": "2023-09-18",
        "lease_end_date": "2028-03-20",
        "annual_rent": 157264,
        "rent_escalation_mechanism": "fixed_steps",
        "renewal_options": 0
      },
      {
        "tenant_name": "Davis, Fletcher and Phillips",
        "lease_start_date": "2020-01-24",
        "lease_end_date": "2028-02-16",
        "annual_rent": 775849,
        "rent_escalation_mechanism": "cpi_indexed",
        "renewal_options": 3,
        "option_term_years": 3
      },
      {
        "tenant_name": "Rodriguez Ltd",
        "lease_start_date": "2019-07-23",
        "lease_end_date": "2027-12-09",
        "annual_rent": 787276,
        "rent_escalation_mechanism": "cpi_indexed",
        "renewal_options": 1
      },
      {
        "tenant_name": "Anderson LLC",
        "lease_start_date": "2019-03-15",
        "lease_end_date": "2023-11-09",
        "annual_rent": 272493,
        "rent_escalation_mechanism": "negotiated_increase",
        "renewal_options": 2,
        "option_term_years": 5
      },
      {
        "tenant_name": "Jones, Henry and Palmer",
        "lease_start_date": "2023-09-03",
        "lease_end_date": "2031-03-03",
        "annual_rent": 761112,
        "rent_escalation_mechanism": "fixed_steps",
        "renewal_options": 0
      }
    ],
    "vacancy_rate_percentage": 24.3,
    "tenant_defaults_identified": false
  },
  "title_and_legal": {
    "clear_title_confirmed": true,
    "pending_litigation_related_to_property": false,
    "zoning_classification": "C-2 (Face-to-face neutral throughput)",
    "zoning_compliance_confirmed": true
  }
}