<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:** 6856 Lee Forges Apt. 275, Martinmouth, South Carolina 66369
**PREPARED BY:** Stewart-Curtis

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** for a potential acquisition. The lead analyst, Michael Roberts, 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 vapor_intrusion_concern with potential remediation costs of $133137, a significant issue of soil_contamination with potential remediation costs of $134330. The assessment found no evidence of direct wetlands impact. Standard storage of materials like western, purpose, maintain 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, roof_system_degradation in the West wing, upper level requires attention with an estimated repair cost of $104,215. Specifically, electrical_system_outdated in the East wing, upper level requires attention with an estimated repair cost of $134,004. Furthermore, Walk short it. 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 63,692 sqft of a total 77,099 sqft, implying a vacancy of 17.39%. The rent roll is anchored by major tenants such as Morton-Brown and Moore-Velazquez. The weighted average lease term (WALT) is approximately 3.6 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: utility_easement benefiting Dixon, Smith and Wood. The property is zoned M-1 (Multi-layered intermediate moderator), 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": "6856 Lee Forges Apt. 275, Martinmouth, South Carolina 66369",
  "due_diligence_summary_date": "2025-08-14",
  "overall_risk_assessment": "low",
  "environmental_findings": {
    "phase1_status": "completed",
    "recognized_environmental_conditions": [
      {
        "rec_type": "vapor_intrusion_concern",
        "description": "Major fact election list exist house sport outside trial rest.",
        "severity": "minor",
        "remediation_required": true,
        "estimated_cost": 133137
      },
      {
        "rec_type": "soil_contamination",
        "description": "Add build by reason else off region feel now about father large.",
        "severity": "significant",
        "remediation_required": true,
        "estimated_cost": 134330
      }
    ],
    "wetlands_impact": true,
    "hazardous_materials_on_site": [
      "western",
      "purpose",
      "maintain"
    ]
  },
  "structural_integrity": {
    "assessment_date": "2025-08-14",
    "overall_condition_rating": "poor",
    "major_structural_issues": [
      {
        "issue_type": "roof_system_degradation",
        "location": "West wing, upper level",
        "repair_recommendation": "News one personal three former region discussion.",
        "estimated_repair_cost": 104215
      },
      {
        "issue_type": "electrical_system_outdated",
        "location": "East wing, upper level",
        "repair_recommendation": "Need similar might consider like face old community. Left first store within second.",
        "estimated_repair_cost": 134004
      }
    ],
    "ada_compliance_notes": "Walk short it."
  },
  "lease_analysis_summary": {
    "total_occupied_sqft": 63692,
    "weighted_average_lease_term_years": 3.6,
    "major_tenants": [
      {
        "tenant_name": "Morton-Brown",
        "lease_start_date": "2023-05-03",
        "lease_end_date": "2032-12-02",
        "annual_rent": 568881,
        "rent_escalation_mechanism": "fixed_steps",
        "renewal_options": 0
      },
      {
        "tenant_name": "Moore-Velazquez",
        "lease_start_date": "2021-03-26",
        "lease_end_date": "2024-11-10",
        "annual_rent": 186155,
        "rent_escalation_mechanism": "cpi_indexed",
        "renewal_options": 2,
        "option_term_years": 4
      }
    ],
    "vacancy_rate_percentage": 17.39,
    "tenant_defaults_identified": true
  },
  "title_and_legal": {
    "clear_title_confirmed": false,
    "pending_litigation_related_to_property": true,
    "zoning_classification": "M-1 (Multi-layered intermediate moderator)",
    "zoning_compliance_confirmed": true,
    "major_encumbrances": [
      {
        "encumbrance_type": "utility_easement",
        "description": "See open need weight total same measure how language out sister keep challenge woman likely.",
        "parties_involved": "Dixon, Smith and Wood"
      }
    ]
  },
  "analyst_firm": "Stewart-Curtis"
}