<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:** 18726 Rebecca Forge Apt. 938, Randallport, Delaware 26507
**PREPARED BY:** Cannon LLC

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 **moderate** for a potential acquisition. The lead analyst, David Guzman, noted the complexity of the file.

**Environmental Review:** The Phase I Environmental Site Assessment (ESA) is noted as **completed_with_recommendations**. Several Recognized Environmental Conditions (RECs) were identified. Key among these are a significant issue of groundwater_impact, a moderate issue of vapor_intrusion_concern with potential remediation costs of $45668, a significant issue of asbestos_containing_materials. The assessment found no evidence of direct wetlands impact. No significant quantities of hazardous materials were noted on-site.

**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, facade_water_intrusion in the East wing, lower level requires attention with an estimated repair cost of $146,678. Specifically, hvac_end_of_life in the South wing, upper level requires attention with an estimated repair cost of $23,798. Specifically, foundation_settlement in the East wing, lower level requires attention. Furthermore, Work thing offer main every simply eat move. 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 102,782 sqft of a total 119,430 sqft, implying a vacancy of 13.94%. The rent roll is anchored by major tenants such as Lin PLC and Sutton, Mccoy and Wolf. The weighted average lease term (WALT) is approximately 7.2 years, providing stable near-term cash flow. Rent escalation for key tenants is a mix of mechanisms, including negotiated_increase. Our review found no evidence of current tenant defaults.

**Title and Legal Matters:** The preliminary title report review indicates that clear title is **confirmed**. The property is zoned C-2 (Right-sized regional knowledgebase), 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": "18726 Rebecca Forge Apt. 938, Randallport, Delaware 26507",
  "due_diligence_summary_date": "2025-08-14",
  "overall_risk_assessment": "moderate",
  "environmental_findings": {
    "phase1_status": "completed_with_recommendations",
    "recognized_environmental_conditions": [
      {
        "rec_type": "groundwater_impact",
        "description": "Five public west animal dark person benefit we country.",
        "severity": "significant",
        "remediation_required": true
      },
      {
        "rec_type": "vapor_intrusion_concern",
        "description": "Everyone who case million and debate central rule eye dream son.",
        "severity": "moderate",
        "remediation_required": true,
        "estimated_cost": 45668
      },
      {
        "rec_type": "asbestos_containing_materials",
        "description": "Pretty type law voice poor business political indicate.",
        "severity": "significant",
        "remediation_required": false
      }
    ],
    "wetlands_impact": true
  },
  "structural_integrity": {
    "assessment_date": "2025-08-14",
    "overall_condition_rating": "good",
    "major_structural_issues": [
      {
        "issue_type": "facade_water_intrusion",
        "location": "East wing, lower level",
        "repair_recommendation": "Address after many individual network him.",
        "estimated_repair_cost": 146678
      },
      {
        "issue_type": "hvac_end_of_life",
        "location": "South wing, upper level",
        "repair_recommendation": "Old in money each fish big.",
        "estimated_repair_cost": 23798
      },
      {
        "issue_type": "foundation_settlement",
        "location": "East wing, lower level",
        "repair_recommendation": "Lead make oil thing war hair usually girl. Somebody station too either."
      }
    ],
    "ada_compliance_notes": "Work thing offer main every simply eat move."
  },
  "lease_analysis_summary": {
    "total_occupied_sqft": 102782,
    "weighted_average_lease_term_years": 7.2,
    "major_tenants": [
      {
        "tenant_name": "Lin PLC",
        "lease_start_date": "2017-11-24",
        "lease_end_date": "2024-06-14",
        "annual_rent": 444677,
        "rent_escalation_mechanism": "negotiated_increase",
        "renewal_options": 2
      },
      {
        "tenant_name": "Sutton, Mccoy and Wolf",
        "lease_start_date": "2023-12-08",
        "lease_end_date": "2031-09-02",
        "annual_rent": 800151,
        "rent_escalation_mechanism": "fixed_steps",
        "renewal_options": 3,
        "option_term_years": 3
      },
      {
        "tenant_name": "Harrison Inc",
        "lease_start_date": "2021-11-28",
        "lease_end_date": "2027-01-12",
        "annual_rent": 391832,
        "rent_escalation_mechanism": "fixed_steps",
        "renewal_options": 0
      },
      {
        "tenant_name": "Thomas-Lowe",
        "lease_start_date": "2021-09-29",
        "lease_end_date": "2025-07-27",
        "annual_rent": 467062,
        "rent_escalation_mechanism": "fixed_steps",
        "renewal_options": 1,
        "option_term_years": 3
      }
    ],
    "vacancy_rate_percentage": 13.94,
    "tenant_defaults_identified": true
  },
  "title_and_legal": {
    "clear_title_confirmed": true,
    "pending_litigation_related_to_property": false,
    "zoning_classification": "C-2 (Right-sized regional knowledgebase)",
    "zoning_compliance_confirmed": false
  },
  "analyst_firm": "Cannon LLC"
}