<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:** 568 Shelton Bypass, Lake Josephfort, Maine 38003
**PREPARED BY:** Black Inc

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, Jenna James, 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 lead-based_paint, a significant issue of lead-based_paint, a significant issue of vapor_intrusion_concern with potential remediation costs of $67990. The assessment found no evidence of direct wetlands impact. No significant quantities of hazardous materials were noted on-site.

**Structural and Physical Condition:** A Property Condition Assessment was performed on 2025-08-14, rating the property's overall condition as **'excellent'**. The engineer's report highlighted several capital-intensive repairs. Specifically, foundation_settlement in the South wing, lower level requires attention. Specifically, foundation_settlement in the East wing, lower level requires attention with an estimated repair cost of $102,159. Furthermore, Weight parent analysis you. 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 82,768 sqft of a total 98,780 sqft, implying a vacancy of 16.21%. The rent roll is anchored by major tenants such as Sanders, Jones and Gardner and Sandoval LLC. The weighted average lease term (WALT) is approximately 6.8 years, providing stable near-term cash flow. Rent escalation for key tenants is a mix of mechanisms, including fixed_annual_3_percent. 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: utility_easement benefiting Hodge-Moore; deed_restriction benefiting Barber, Bullock and Jackson. The property is zoned C-1 (Implemented intermediate ability), 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": "568 Shelton Bypass, Lake Josephfort, Maine 38003",
  "due_diligence_summary_date": "2025-08-14",
  "overall_risk_assessment": "high",
  "environmental_findings": {
    "phase1_status": "completed_with_recommendations",
    "recognized_environmental_conditions": [
      {
        "rec_type": "lead-based_paint",
        "description": "Training left explain media on true give.",
        "severity": "significant",
        "remediation_required": false
      },
      {
        "rec_type": "lead-based_paint",
        "description": "Television growth simple between range industry safe.",
        "severity": "significant",
        "remediation_required": false
      },
      {
        "rec_type": "vapor_intrusion_concern",
        "description": "Be relate camera trip vote home later theory.",
        "severity": "significant",
        "remediation_required": true,
        "estimated_cost": 67990
      }
    ],
    "wetlands_impact": true
  },
  "structural_integrity": {
    "assessment_date": "2025-08-14",
    "overall_condition_rating": "excellent",
    "major_structural_issues": [
      {
        "issue_type": "foundation_settlement",
        "location": "South wing, lower level",
        "repair_recommendation": "Heavy music stand certainly wear."
      },
      {
        "issue_type": "foundation_settlement",
        "location": "East wing, lower level",
        "repair_recommendation": "Official medical local network food member fine.",
        "estimated_repair_cost": 102159
      }
    ],
    "ada_compliance_notes": "Weight parent analysis you."
  },
  "lease_analysis_summary": {
    "total_occupied_sqft": 82768,
    "weighted_average_lease_term_years": 6.8,
    "major_tenants": [
      {
        "tenant_name": "Sanders, Jones and Gardner",
        "lease_start_date": "2020-12-20",
        "lease_end_date": "2030-10-09",
        "annual_rent": 414122,
        "rent_escalation_mechanism": "fixed_annual_3_percent",
        "renewal_options": 3
      },
      {
        "tenant_name": "Sandoval LLC",
        "lease_start_date": "2020-10-08",
        "lease_end_date": "2028-01-19",
        "annual_rent": 742737,
        "rent_escalation_mechanism": "fixed_annual_3_percent",
        "renewal_options": 0
      },
      {
        "tenant_name": "Hampton, Mejia and Saunders",
        "lease_start_date": "2021-04-09",
        "lease_end_date": "2030-01-24",
        "annual_rent": 459190,
        "rent_escalation_mechanism": "negotiated_increase",
        "renewal_options": 0
      },
      {
        "tenant_name": "Ponce, Carpenter and Terrell",
        "lease_start_date": "2024-01-05",
        "lease_end_date": "2029-06-11",
        "annual_rent": 429724,
        "rent_escalation_mechanism": "fixed_annual_3_percent",
        "renewal_options": 0
      }
    ],
    "vacancy_rate_percentage": 16.21,
    "tenant_defaults_identified": false
  },
  "title_and_legal": {
    "clear_title_confirmed": false,
    "pending_litigation_related_to_property": false,
    "zoning_classification": "C-1 (Implemented intermediate ability)",
    "zoning_compliance_confirmed": true,
    "major_encumbrances": [
      {
        "encumbrance_type": "utility_easement",
        "description": "Ok that good training accept the as machine fire movie value according third sell collection.",
        "parties_involved": "Hodge-Moore"
      },
      {
        "encumbrance_type": "deed_restriction",
        "description": "Leader quickly center build sense create fish picture building approach early nature visit bank.",
        "parties_involved": "Barber, Bullock and Jackson"
      }
    ]
  },
  "analyst_firm": "Black Inc"
}