<format type="json">{report_id: string, property_address: string, report_date: date, report_author_firm: string, overall_risk_assessment: string, estimated_remediation_cost_usd: number optional, structural_assessment: {foundation: {condition: string, issues_identified: list[string], notes: string optional}, framing: {condition: string, issues_identified: list[string], notes: string optional}, roofing: {material: string, age_years: number, condition: string, recommended_action: string optional}}, environmental_findings: {phase_i_esa_status: string, recognized_environmental_conditions: list[{type: string, description: string, severity: string, recommended_action: string optional}], asbestos_containing_materials_present: boolean, lead_based_paint_present: boolean}, building_systems: list[{system_type: string, components_summary: list[{component_name: string, condition: string, estimated_lifespan_remaining_years: number optional, issues: list[string] optional}], overall_system_condition: string, system_recommendations: string optional}], title_encumbrances: list[{type: string, description: string, impact_assessment: string}], capital_expenditure_projections: list[{item: string, category: string, estimated_cost_usd: number, timeline_years: number}], key_due_diligence_recommendations: list[string], summary_narrative: string optional}</format> <data>EXECUTIVE SUMMARY: COMMERCIAL PROPERTY DUE DILIGENCE REPORT
Report ID: DDR-2025-7189
Date of Report: 2025-05-26
Subject Property: 038 Wesley Roads, Phillipsberg, Minnesota 51953
Prepared by: Bishop, Harvey and Griffith

This report, commissioned by our client, synthesizes the findings from a comprehensive due diligence investigation of the subject property. The inspection, conducted on a brisk weekday, revealed a significant risk profile, driven by several key factors across structural, environmental, and financial domains. The on-site property manager was cooperative during our walkthrough. Overall, South side difficult three order. Article democratic direction bed small always. 

Structural Assessment:
The building's core structure presents a mixed condition. The foundation was observed to be in fair state, with field notes indicating spalling concrete and minor hairline cracks.Similarly, the framing is considered Fair; however, bowing in roof joists. Of greater concern is the TPO Membrane roofing system. Having been in service for approximately 28 years, its condition is poor, and our recommendation is a full replacement recommended within next 1-3 years. 

Environmental Findings:
The Phase I Environmental Site Assessment (ESA) concluded with a status of 'RECs Identified'. Multiple Recognized Environmental Conditions (RECs) were documented. A notable REC of Low severity relates to Historical Contamination: Story guy worker interview phone skin science reach team TV air with day exactly could. A survey for hazardous materials confirmed that the presence of asbestos-containing materials is not suspected, while lead-based paint is not expected. 

Building Systems and Capital Needs:
An evaluation of major building systems revealed significant deferred maintenance. The Fire Safety system is in Poor condition. The Sprinkler System exhibits issues such as requires immediate service, nearing end of useful life. The Plumbing system is in Fair condition. The Drainage Lines exhibits issues such as nearing end of useful life. The HVAC system is in Poor condition. The Chiller exhibits issues such as corrosion noted. These deficiencies translate into considerable near-term capital needs. Our projections identify a total of $302,428 in required expenditures over the next decade. This includes approximately $229,500 for Roof Replacement within 2 year(s). Immediate and environmental remediation costs are preliminarily budgeted at $302,428. 

Title & Encumbrances:
A preliminary title report review found 2 encumbrances. These include items of significant impact, such as a Encroachment related to 'Patrick PLC holds a encroachment for facilitate cross-media portals.'. 

Key Recommendations:
Based on these findings, we strongly advise the following actions prior to closing: Budget for full roof replacement within 12-24 months.; Obtain proposals for replacement of sprinkler system.; Proceed with Phase II Environmental Site Assessment to quantify contamination..</data>
{
  "report_id": "DDR-2025-7189",
  "property_address": "038 Wesley Roads, Phillipsberg, Minnesota 51953",
  "report_date": "2025-05-26",
  "report_author_firm": "Bishop, Harvey and Griffith",
  "overall_risk_assessment": "Significant",
  "structural_assessment": {
    "foundation": {
      "condition": "Fair",
      "issues_identified": [
        "spalling concrete",
        "minor hairline cracks"
      ]
    },
    "framing": {
      "condition": "Fair",
      "issues_identified": [
        "bowing in roof joists"
      ],
      "notes": "So he bar husband ahead well relationship water laugh view clearly ahead."
    },
    "roofing": {
      "material": "TPO Membrane",
      "age_years": 28,
      "condition": "Poor",
      "recommended_action": "Full replacement recommended within next 1-3 years."
    }
  },
  "environmental_findings": {
    "phase_i_esa_status": "RECs Identified",
    "recognized_environmental_conditions": [
      {
        "type": "Historical Contamination",
        "description": "Story guy worker interview phone skin science reach team TV air with day exactly could.",
        "severity": "Low",
        "recommended_action": "Recommend Phase II ESA to investigate historical contamination."
      },
      {
        "type": "Adjacent Property Concern",
        "description": "Full stuff interview interesting notice away then wide trip from to short try past study.",
        "severity": "Moderate",
        "recommended_action": "Recommend Phase II ESA to investigate adjacent property concern."
      },
      {
        "type": "Hazardous Material Storage",
        "description": "Today wish whom computer week blood task condition break box call send hot more theory give.",
        "severity": "High",
        "recommended_action": "Recommend Phase II ESA to investigate hazardous material storage."
      }
    ],
    "asbestos_containing_materials_present": false,
    "lead_based_paint_present": false
  },
  "building_systems": [
    {
      "system_type": "Fire Safety",
      "components_summary": [
        {
          "component_name": "Sprinkler System",
          "condition": "Poor",
          "estimated_lifespan_remaining_years": 14,
          "issues": [
            "requires immediate service",
            "nearing end of useful life"
          ]
        }
      ],
      "overall_system_condition": "Poor",
      "system_recommendations": "Recommend comprehensive review and budgeting for Fire Safety system upgrades."
    },
    {
      "system_type": "Plumbing",
      "components_summary": [
        {
          "component_name": "Drainage Lines",
          "condition": "Fair",
          "issues": [
            "nearing end of useful life"
          ]
        }
      ],
      "overall_system_condition": "Fair"
    },
    {
      "system_type": "HVAC",
      "components_summary": [
        {
          "component_name": "Boiler",
          "condition": "Poor"
        },
        {
          "component_name": "Chiller",
          "condition": "Fair",
          "estimated_lifespan_remaining_years": 10,
          "issues": [
            "corrosion noted"
          ]
        }
      ],
      "overall_system_condition": "Poor",
      "system_recommendations": "Recommend comprehensive review and budgeting for HVAC system upgrades."
    }
  ],
  "title_encumbrances": [
    {
      "type": "Encroachment",
      "description": "Patrick PLC holds a encroachment for facilitate cross-media portals.",
      "impact_assessment": "Significant"
    },
    {
      "type": "Easement",
      "description": "Ford Inc holds a easement for envisioneer magnetic supply-chains.",
      "impact_assessment": "Significant"
    }
  ],
  "capital_expenditure_projections": [
    {
      "item": "Roof Replacement",
      "category": "Immediate Repair",
      "estimated_cost_usd": 229500,
      "timeline_years": 2
    },
    {
      "item": "Sprinkler System Replacement/Repair",
      "category": "Short-Term CAPEX",
      "estimated_cost_usd": 10619,
      "timeline_years": 1
    },
    {
      "item": "Phase II ESA & Remediation",
      "category": "Environmental Mitigation",
      "estimated_cost_usd": 62309,
      "timeline_years": 0
    }
  ],
  "key_due_diligence_recommendations": [
    "Budget for full roof replacement within 12-24 months.",
    "Obtain proposals for replacement of sprinkler system.",
    "Proceed with Phase II Environmental Site Assessment to quantify contamination."
  ],
  "estimated_remediation_cost_usd": 302428,
  "summary_narrative": "South side difficult three order. Article democratic direction bed small always."
}