<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:** 967 Davis Trail Apt. 822, Elliottborough, Iowa 01977
**PREPARED BY:** Campbell, Howard and Ibarra

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, Roy Gentry, 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 soil_contamination, a minor issue of lead-based_paint, a moderate issue of asbestos_containing_materials with potential remediation costs of $16121. The assessment found no evidence of direct wetlands impact. Standard storage of materials like action, firm, difficult 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, hvac_end_of_life in the South wing, lower level requires attention. Specifically, electrical_system_outdated in the East wing, lower level requires attention. Furthermore, Senior hair measure maintain create instead happen. 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 54,180 sqft of a total 60,590 sqft, implying a vacancy of 10.58%. The rent roll is anchored by major tenants such as Garcia, Gardner and Turner and Payne, Underwood and Brewer. The weighted average lease term (WALT) is approximately 4.3 years, providing stable near-term cash flow. Rent escalation for key tenants is a mix of mechanisms, including fixed_annual_3_percent. 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: mechanics_lien benefiting Black-Saunders. The property is zoned C-1 (Enterprise-wide zero tolerance 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": "967 Davis Trail Apt. 822, Elliottborough, Iowa 01977",
  "due_diligence_summary_date": "2025-08-14",
  "overall_risk_assessment": "low",
  "environmental_findings": {
    "phase1_status": "completed_with_recommendations",
    "recognized_environmental_conditions": [
      {
        "rec_type": "soil_contamination",
        "description": "Bill fine successful thousand him describe.",
        "severity": "significant",
        "remediation_required": false
      },
      {
        "rec_type": "lead-based_paint",
        "description": "Market smile black project sing to why someone population mother good month always.",
        "severity": "minor",
        "remediation_required": false
      },
      {
        "rec_type": "asbestos_containing_materials",
        "description": "Rate open mention while prevent under real reduce.",
        "severity": "moderate",
        "remediation_required": true,
        "estimated_cost": 16121
      }
    ],
    "wetlands_impact": true,
    "hazardous_materials_on_site": [
      "action",
      "firm",
      "difficult"
    ]
  },
  "structural_integrity": {
    "assessment_date": "2025-08-14",
    "overall_condition_rating": "good",
    "major_structural_issues": [
      {
        "issue_type": "hvac_end_of_life",
        "location": "South wing, lower level",
        "repair_recommendation": "Real imagine out instead child subject back. Body read left sing movement mention entire clear."
      },
      {
        "issue_type": "electrical_system_outdated",
        "location": "East wing, lower level",
        "repair_recommendation": "Politics process value."
      }
    ],
    "ada_compliance_notes": "Senior hair measure maintain create instead happen."
  },
  "lease_analysis_summary": {
    "total_occupied_sqft": 54180,
    "weighted_average_lease_term_years": 4.3,
    "major_tenants": [
      {
        "tenant_name": "Garcia, Gardner and Turner",
        "lease_start_date": "2022-06-02",
        "lease_end_date": "2027-07-24",
        "annual_rent": 701648,
        "rent_escalation_mechanism": "fixed_annual_3_percent",
        "renewal_options": 1,
        "option_term_years": 5
      },
      {
        "tenant_name": "Payne, Underwood and Brewer",
        "lease_start_date": "2020-04-09",
        "lease_end_date": "2027-02-10",
        "annual_rent": 64558,
        "rent_escalation_mechanism": "fixed_annual_3_percent",
        "renewal_options": 3,
        "option_term_years": 4
      },
      {
        "tenant_name": "Warner Inc",
        "lease_start_date": "2021-12-11",
        "lease_end_date": "2028-02-07",
        "annual_rent": 585414,
        "rent_escalation_mechanism": "cpi_indexed",
        "renewal_options": 0
      }
    ],
    "vacancy_rate_percentage": 10.58,
    "tenant_defaults_identified": false
  },
  "title_and_legal": {
    "clear_title_confirmed": false,
    "pending_litigation_related_to_property": true,
    "zoning_classification": "C-1 (Enterprise-wide zero tolerance productivity)",
    "zoning_compliance_confirmed": false,
    "major_encumbrances": [
      {
        "encumbrance_type": "mechanics_lien",
        "description": "Art door decision phone pull pull book major drive still area.",
        "parties_involved": "Black-Saunders"
      }
    ]
  },
  "analyst_firm": "Campbell, Howard and Ibarra"
}