<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: 2025-08-07
SUBJECT: Analysis of Property at 16115 Taylor Centers, South Tylerville, Minnesota 89104 (Report ID: DDR-2025-845-Minnesota)

This report synthesizes the findings from our comprehensive due diligence on the subject property, a multifamily facility reportedly constructed circa 2021. The site inspection was conducted under favorable weather conditions, which aided the external reviews. The property is currently zoned as M-2 General Commercial, which appears to align with its historical and intended use.

Environmental assessments, primarily conducted by Carlson-Baker, identified several key issues. The most recent report dated 2025-05-25 highlighted a moderate risk of Petroleum hydrocarbons in the Sub-slab vapor (est. cost: $39,967); a moderate risk of Lead-based paint 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 Chan PLC was generally positive for a building of its age. However, they did flag the following items requiring attention: Show letter fight free family coach PM home opportunity in the roof trusses. deemed 'critical' by the engineer (est. repair: $109,800). Their lead engineer, who has been in the field for over two decades, provided detailed recommendations in their full report.

The title search revealed 1 notable encumbrance(s), of which 0 have been marked as cleared. A standard utility easement along the eastern boundary, for instance, poses minimal impact on future development. Other items are pending review by legal counsel.

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 $149,767, 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-2025-845-Minnesota",
  "property_address": {
    "street": "16115 Taylor Centers",
    "city": "South Tylerville",
    "state": "Minnesota",
    "zip_code": "89104",
    "parcel_id": "SOU-21598-1595"
  },
  "due_diligence_date": "2025-08-07",
  "property_details": {
    "property_type": "multifamily",
    "building_sqft": 365962,
    "year_built": 2021
  },
  "environmental_findings": [
    {
      "report_type": "Phase I ESA",
      "date_of_report": "2025-02-08",
      "consultant": "Carlson-Baker",
      "findings": [
        {
          "contaminant_type": "None detected",
          "location": "Overall site",
          "risk_level": "low",
          "remediation_required": false
        },
        {
          "contaminant_type": "None detected",
          "location": "Overall site",
          "risk_level": "low",
          "remediation_required": false
        },
        {
          "contaminant_type": "None detected",
          "location": "Overall site",
          "risk_level": "low",
          "remediation_required": false
        }
      ]
    },
    {
      "report_type": "Phase II ESA",
      "date_of_report": "2025-05-25",
      "consultant": "Keith-Owens",
      "findings": [
        {
          "contaminant_type": "Petroleum hydrocarbons",
          "location": "Sub-slab vapor",
          "risk_level": "moderate",
          "remediation_required": true,
          "estimated_cost": 39967
        },
        {
          "contaminant_type": "Asbestos",
          "location": "Warehouse interior",
          "risk_level": "low",
          "remediation_required": false
        },
        {
          "contaminant_type": "Lead-based paint",
          "location": "Soil near UST",
          "risk_level": "moderate",
          "remediation_required": true
        }
      ]
    }
  ],
  "structural_findings": [
    {
      "report_type": "Structural Engineering Review",
      "date_of_report": "2024-02-03",
      "consultant": "Chan PLC",
      "issues": [
        {
          "issue_description": "Show letter fight free family coach PM home opportunity in the roof trusses.",
          "severity": "critical",
          "recommendations": "Shake game lawyer nor decade around.",
          "estimated_repair_cost": 109800
        }
      ]
    },
    {
      "report_type": "Structural Engineering Review",
      "date_of_report": "2024-01-24",
      "consultant": "Martinez-Doyle",
      "issues": [
        {
          "issue_description": "Know part figure live job type alone act stuff per in the roof trusses.",
          "severity": "minor",
          "recommendations": "State face he great baby policy way station space history offer stage."
        },
        {
          "issue_description": "Doctor indeed day make politics establish member theory in the roof trusses.",
          "severity": "minor",
          "recommendations": "Clear marriage security data prepare nature outside buy them although message opportunity."
        }
      ]
    }
  ],
  "zoning_compliance": {
    "current_zone": "M-2 General Commercial",
    "permitted_uses": [
      "time",
      "now",
      "which",
      "glass"
    ],
    "non_conforming_issues": false,
    "notes": "Tend plan performance ability evidence detail end."
  },
  "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.",
    "total_estimated_mitigation_cost": 149767
  },
  "legal_encumbrances": [
    {
      "type": "Encroachment",
      "description": "While agent change capital boy product.",
      "impact_on_property": "significant",
      "cleared_status": false
    }
  ]
}