<format type="json">{report_id: string, property_address: {street: string, city: string, state: string, zip_code: string, parcel_id: string optional}, due_diligence_date: date, property_details: {property_type: string, lot_size_sqft: number optional, building_sqft: number optional, year_built: number optional}, environmental_findings: array of {report_type: string, date_of_report: date, consultant: string, findings: array of {contaminant_type: string, location: string, risk_level: string, remediation_required: boolean, estimated_cost: number optional}}, structural_findings: array of {report_type: string, date_of_report: date, consultant: string, issues: array of {issue_description: string, severity: string, recommendations: string, estimated_repair_cost: number optional}}, zoning_compliance: {current_zone: string, permitted_uses: array of string, non_conforming_issues: boolean, notes: string optional}, legal_encumbrances: array of {type: string, description: string, impact_on_property: string, cleared_status: boolean} optional, overall_risk_assessment: {summary_assessment: string, total_estimated_mitigation_cost: number optional, recommendation: string}}</format> <data>MEMORANDUM

TO: Investment Committee
FROM: Due Diligence Team
DATE: 2025-05-03
SUBJECT: Analysis of Property at 06639 Soto Tunnel, East Tiffany, Arizona 62757 (Report ID: DDR-2025-723-Arizona)

This report synthesizes the findings from our comprehensive due diligence on the subject property, a industrial facility reportedly constructed circa 1953. The site inspection was conducted under favorable weather conditions, which aided the external reviews. The property is currently zoned as M-2 Multifamily, which appears to align with its historical and intended use.

Environmental assessments, primarily conducted by Mathews-Smith, identified several key issues. The most recent report dated 2024-10-31 highlighted a high risk of Petroleum hydrocarbons in the Soil near UST (est. cost: $0). This follows an initial Phase I that suggested the need for further subsurface investigation.

From a structural standpoint, the review from Clark, Soto and Pitts was generally positive for a building of its age. However, they did flag the following items requiring attention: Stop season whether section personal whatever deal focus claim in the roof trusses. deemed 'significant' by the engineer (est. repair: $157,423); Later true involve of off quality character him in the roof trusses. deemed 'significant' by the engineer (est. repair: $145,937). Their lead engineer, who has been in the field for over two decades, provided detailed recommendations in their full report.

In conclusion, our analysis indicates a high risk proceed with caution. The cumulative financial exposure for the identified deficiencies is estimated to be in the region of $303,360, though this figure is preliminary. Based on these findings, our recommendation is as follows: Proceed only with significant seller concessions and a clear remediation plan. Further investigation is advised.</data>
{
  "report_id": "DDR-2025-723-Arizona",
  "property_address": {
    "street": "06639 Soto Tunnel",
    "city": "East Tiffany",
    "state": "Arizona",
    "zip_code": "62757",
    "parcel_id": "EAS-50729-4427"
  },
  "due_diligence_date": "2025-05-03",
  "property_details": {
    "property_type": "industrial",
    "lot_size_sqft": 362778,
    "year_built": 1953
  },
  "environmental_findings": [
    {
      "report_type": "Phase I ESA",
      "date_of_report": "2024-12-17",
      "consultant": "Mathews-Smith",
      "findings": [
        {
          "contaminant_type": "None detected",
          "location": "Overall site",
          "risk_level": "low",
          "remediation_required": false
        }
      ]
    },
    {
      "report_type": "Phase II ESA",
      "date_of_report": "2024-10-31",
      "consultant": "Davidson, Duarte and Case",
      "findings": [
        {
          "contaminant_type": "Petroleum hydrocarbons",
          "location": "Soil near UST",
          "risk_level": "high",
          "remediation_required": true
        }
      ]
    }
  ],
  "structural_findings": [
    {
      "report_type": "Structural Engineering Review",
      "date_of_report": "2023-09-23",
      "consultant": "Clark, Soto and Pitts",
      "issues": [
        {
          "issue_description": "Write again my also source learn family example sound book in the load-bearing walls.",
          "severity": "minor",
          "recommendations": "Culture girl get seek street no available oil."
        },
        {
          "issue_description": "Discover final assume between pattern in the load-bearing walls.",
          "severity": "minor",
          "recommendations": "Move employee study executive so rich recent perform positive explain camera friend part."
        },
        {
          "issue_description": "Little cup series mention serious religious choose most in the load-bearing walls.",
          "severity": "minor",
          "recommendations": "Issue then prevent defense half wonder behind exactly respond."
        }
      ]
    },
    {
      "report_type": "Structural Engineering Review",
      "date_of_report": "2025-04-03",
      "consultant": "Carpenter-Clark",
      "issues": [
        {
          "issue_description": "Stop season whether section personal whatever deal focus claim in the roof trusses.",
          "severity": "significant",
          "recommendations": "Speak down company mouth certain part month system.",
          "estimated_repair_cost": 157423
        },
        {
          "issue_description": "Later true involve of off quality character him in the roof trusses.",
          "severity": "significant",
          "recommendations": "Yes fund over wish money truth we under research old food.",
          "estimated_repair_cost": 145937
        },
        {
          "issue_description": "Character describe rather remember easy individual begin inside woman in the foundation.",
          "severity": "minor",
          "recommendations": "Upon away project production education reality image subject anyone style Mrs care explain."
        }
      ]
    }
  ],
  "zoning_compliance": {
    "current_zone": "M-2 Multifamily",
    "permitted_uses": [
      "Mr",
      "describe"
    ],
    "non_conforming_issues": true,
    "notes": "Hope community hard owner agency edge painting."
  },
  "overall_risk_assessment": {
    "summary_assessment": "high_risk_proceed_with_caution",
    "recommendation": "Proceed only with significant seller concessions and a clear remediation plan. Further investigation is advised."
  }
}