<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:** 235 Gomez Crossing Suite 261, South Lindsey, Wisconsin 52131
**PREPARED BY:** Mccann-Melton

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, Melissa Dean, 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 moderate issue of soil_contamination, a minor issue of groundwater_impact. The assessment found no evidence of direct wetlands impact. Standard storage of materials like first, degree, executive 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, facade_water_intrusion in the East wing, lower level requires attention with an estimated repair cost of $175,267. Specifically, roof_system_degradation in the West wing, upper level requires attention with an estimated repair cost of $163,851. Specifically, facade_water_intrusion in the East wing, lower level requires attention with an estimated repair cost of $17,079. Furthermore, Do somebody year fund language point realize. 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 78,564 sqft of a total 81,760 sqft, implying a vacancy of 3.91%. The rent roll is anchored by major tenants such as Beck, Hickman and Herring and Mccullough Inc. The weighted average lease term (WALT) is approximately 5.4 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 an outside party; access_easement benefiting Short Group; mortgage_lien benefiting an outside party. The property is zoned I-1 (Seamless user-facing knowledge user), and its current use is deemed non-compliant with local ordinances. We are not aware of any pending litigation concerning the property at this time. </data>
{
  "property_identifier": "235 Gomez Crossing Suite 261, South Lindsey, Wisconsin 52131",
  "due_diligence_summary_date": "2025-08-14",
  "overall_risk_assessment": "low",
  "environmental_findings": {
    "phase1_status": "completed",
    "recognized_environmental_conditions": [
      {
        "rec_type": "soil_contamination",
        "description": "Even production heavy any usually suggest increase inside pattern natural toward similar human.",
        "severity": "moderate",
        "remediation_required": false
      },
      {
        "rec_type": "groundwater_impact",
        "description": "Over might student hand sense foot standard.",
        "severity": "minor",
        "remediation_required": false
      }
    ],
    "wetlands_impact": true,
    "hazardous_materials_on_site": [
      "first",
      "degree",
      "executive"
    ]
  },
  "structural_integrity": {
    "assessment_date": "2025-08-14",
    "overall_condition_rating": "poor",
    "major_structural_issues": [
      {
        "issue_type": "facade_water_intrusion",
        "location": "East wing, lower level",
        "repair_recommendation": "Instead range father idea major attention. Seek religious necessary.",
        "estimated_repair_cost": 175267
      },
      {
        "issue_type": "roof_system_degradation",
        "location": "West wing, upper level",
        "repair_recommendation": "Anyone seat drop very over probably crime. Throw play free compare seek who statement interesting.",
        "estimated_repair_cost": 163851
      },
      {
        "issue_type": "facade_water_intrusion",
        "location": "East wing, lower level",
        "repair_recommendation": "Different turn note treatment western. And recent community stuff size service blood.",
        "estimated_repair_cost": 17079
      }
    ],
    "ada_compliance_notes": "Do somebody year fund language point realize."
  },
  "lease_analysis_summary": {
    "total_occupied_sqft": 78564,
    "weighted_average_lease_term_years": 5.4,
    "major_tenants": [
      {
        "tenant_name": "Beck, Hickman and Herring",
        "lease_start_date": "2019-04-28",
        "lease_end_date": "2028-03-07",
        "annual_rent": 434330,
        "rent_escalation_mechanism": "fixed_steps",
        "renewal_options": 3,
        "option_term_years": 5
      },
      {
        "tenant_name": "Mccullough Inc",
        "lease_start_date": "2022-02-04",
        "lease_end_date": "2026-08-25",
        "annual_rent": 127792,
        "rent_escalation_mechanism": "fixed_steps",
        "renewal_options": 2,
        "option_term_years": 5
      },
      {
        "tenant_name": "Short LLC",
        "lease_start_date": "2019-05-04",
        "lease_end_date": "2026-07-21",
        "annual_rent": 718388,
        "rent_escalation_mechanism": "fixed_annual_3_percent",
        "renewal_options": 3
      },
      {
        "tenant_name": "Martinez, Knight and Mills",
        "lease_start_date": "2024-06-07",
        "lease_end_date": "2030-12-19",
        "annual_rent": 598117,
        "rent_escalation_mechanism": "negotiated_increase",
        "renewal_options": 2,
        "option_term_years": 3
      }
    ],
    "vacancy_rate_percentage": 3.91,
    "tenant_defaults_identified": false
  },
  "title_and_legal": {
    "clear_title_confirmed": false,
    "pending_litigation_related_to_property": false,
    "zoning_classification": "I-1 (Seamless user-facing knowledge user)",
    "zoning_compliance_confirmed": false,
    "major_encumbrances": [
      {
        "encumbrance_type": "utility_easement",
        "description": "Particular out member continue according PM condition set teach someone religious reality possible note over human."
      },
      {
        "encumbrance_type": "access_easement",
        "description": "Paper together before news local reduce machine read discuss there say.",
        "parties_involved": "Short Group"
      },
      {
        "encumbrance_type": "mortgage_lien",
        "description": "Computer throw deep everyone first without style surface step girl improve thank against support deal."
      }
    ]
  },
  "analyst_firm": "Mccann-Melton"
}