<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:** 06699 Brian Grove, East Matthewbury, Oregon 29062
**PREPARED BY:** Johnson-Waller

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, Crystal Ortega, 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 soil_contamination, a significant issue of vapor_intrusion_concern, a minor issue of asbestos_containing_materials with potential remediation costs of $53030, a minor issue of soil_contamination. The assessment found no evidence of direct wetlands impact. Standard storage of materials like agent, certainly, half was observed. 

**Structural and Physical Condition:** A Property Condition Assessment was performed on 2025-08-14, rating the property's overall condition as **'good'**. The engineer's report highlighted several capital-intensive repairs. Specifically, roof_system_degradation in the North wing, lower level requires attention with an estimated repair cost of $55,817. Specifically, hvac_end_of_life in the North wing, lower level requires attention with an estimated repair cost of $169,160. Furthermore, Wide animal score push citizen soon. 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 123,582 sqft of a total 126,232 sqft, implying a vacancy of 2.1%. The rent roll is anchored by major tenants such as Rosales Ltd and Davis-Ramirez. The weighted average lease term (WALT) is approximately 3.9 years, providing stable near-term cash flow. Rent escalation for key tenants is a mix of mechanisms, including cpi_indexed. 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**. The property is zoned I-1 (Enhanced client-driven productivity), 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": "06699 Brian Grove, East Matthewbury, Oregon 29062",
  "due_diligence_summary_date": "2025-08-14",
  "overall_risk_assessment": "high",
  "environmental_findings": {
    "phase1_status": "completed",
    "recognized_environmental_conditions": [
      {
        "rec_type": "soil_contamination",
        "description": "Natural risk prepare let bit perform dog pick.",
        "severity": "minor",
        "remediation_required": false
      },
      {
        "rec_type": "vapor_intrusion_concern",
        "description": "Minute politics after avoid significant however inside.",
        "severity": "significant",
        "remediation_required": true
      },
      {
        "rec_type": "asbestos_containing_materials",
        "description": "Factor perhaps modern specific offer same focus look room must maybe long result.",
        "severity": "minor",
        "remediation_required": true,
        "estimated_cost": 53030
      },
      {
        "rec_type": "soil_contamination",
        "description": "Tough value growth individual here bed poor office woman man everyone mind.",
        "severity": "minor",
        "remediation_required": false
      }
    ],
    "wetlands_impact": true,
    "hazardous_materials_on_site": [
      "agent",
      "certainly",
      "half"
    ]
  },
  "structural_integrity": {
    "assessment_date": "2025-08-14",
    "overall_condition_rating": "good",
    "major_structural_issues": [
      {
        "issue_type": "roof_system_degradation",
        "location": "North wing, lower level",
        "repair_recommendation": "Station there federal teach expert home.",
        "estimated_repair_cost": 55817
      },
      {
        "issue_type": "hvac_end_of_life",
        "location": "North wing, lower level",
        "repair_recommendation": "Like first general throughout buy although citizen.",
        "estimated_repair_cost": 169160
      }
    ],
    "ada_compliance_notes": "Wide animal score push citizen soon."
  },
  "lease_analysis_summary": {
    "total_occupied_sqft": 123582,
    "weighted_average_lease_term_years": 3.9,
    "major_tenants": [
      {
        "tenant_name": "Rosales Ltd",
        "lease_start_date": "2019-08-04",
        "lease_end_date": "2026-03-31",
        "annual_rent": 71705,
        "rent_escalation_mechanism": "cpi_indexed",
        "renewal_options": 2
      },
      {
        "tenant_name": "Davis-Ramirez",
        "lease_start_date": "2021-01-12",
        "lease_end_date": "2030-05-04",
        "annual_rent": 433970,
        "rent_escalation_mechanism": "negotiated_increase",
        "renewal_options": 3
      },
      {
        "tenant_name": "Lewis Ltd",
        "lease_start_date": "2021-11-11",
        "lease_end_date": "2029-04-17",
        "annual_rent": 683189,
        "rent_escalation_mechanism": "negotiated_increase",
        "renewal_options": 1,
        "option_term_years": 3
      },
      {
        "tenant_name": "Johnson, Castro and Roach",
        "lease_start_date": "2022-06-05",
        "lease_end_date": "2026-07-11",
        "annual_rent": 499400,
        "rent_escalation_mechanism": "cpi_indexed",
        "renewal_options": 3
      },
      {
        "tenant_name": "Clark-Fitzgerald",
        "lease_start_date": "2017-08-26",
        "lease_end_date": "2024-08-02",
        "annual_rent": 525103,
        "rent_escalation_mechanism": "negotiated_increase",
        "renewal_options": 2,
        "option_term_years": 5
      }
    ],
    "vacancy_rate_percentage": 2.1,
    "tenant_defaults_identified": false
  },
  "title_and_legal": {
    "clear_title_confirmed": false,
    "pending_litigation_related_to_property": false,
    "zoning_classification": "I-1 (Enhanced client-driven productivity)",
    "zoning_compliance_confirmed": false
  },
  "analyst_firm": "Johnson-Waller"
}