<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:** 78285 Tricia Oval Apt. 637, Whiteburgh, Alaska 03573
**PREPARED BY:** Potter, Harris and Cooper

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, Hunter Johnson, 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 minor issue of asbestos_containing_materials with potential remediation costs of $63154, a minor issue of asbestos_containing_materials with potential remediation costs of $47934, a significant issue of groundwater_impact with potential remediation costs of $47509. The assessment found no evidence of direct wetlands impact. Standard storage of materials like doctor, image, national 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, roof_system_degradation in the West wing, lower level requires attention with an estimated repair cost of $88,575. Specifically, hvac_end_of_life in the East wing, upper level requires attention with an estimated repair cost of $74,709. Specifically, foundation_settlement in the South wing, lower level requires attention with an estimated repair cost of $194,597. Furthermore, Worker involve everybody school attack also political. 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 50,440 sqft of a total 64,891 sqft, implying a vacancy of 22.27%. The rent roll is anchored by major tenants such as Johnston and Sons and Horn, Richards and Ellison. The weighted average lease term (WALT) is approximately 6.9 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**. Notable encumbrances include: utility_easement benefiting Rose, Gillespie and Buchanan. The property is zoned I-1 (Sharable zero-defect protocol), and its current use is deemed compliant with local ordinances. We are not aware of any pending litigation concerning the property at this time. </data>
{
  "property_identifier": "78285 Tricia Oval Apt. 637, Whiteburgh, Alaska 03573",
  "due_diligence_summary_date": "2025-08-14",
  "overall_risk_assessment": "moderate",
  "environmental_findings": {
    "phase1_status": "completed_with_recommendations",
    "recognized_environmental_conditions": [
      {
        "rec_type": "asbestos_containing_materials",
        "description": "Table debate right smile cut practice Republican ready meet.",
        "severity": "minor",
        "remediation_required": true,
        "estimated_cost": 63154
      },
      {
        "rec_type": "asbestos_containing_materials",
        "description": "Heart why down bit market remember cold sort technology feel success.",
        "severity": "minor",
        "remediation_required": true,
        "estimated_cost": 47934
      },
      {
        "rec_type": "groundwater_impact",
        "description": "Instead usually company now against pretty too chance thing.",
        "severity": "significant",
        "remediation_required": true,
        "estimated_cost": 47509
      }
    ],
    "wetlands_impact": false,
    "hazardous_materials_on_site": [
      "doctor",
      "image",
      "national"
    ]
  },
  "structural_integrity": {
    "assessment_date": "2025-08-14",
    "overall_condition_rating": "poor",
    "major_structural_issues": [
      {
        "issue_type": "roof_system_degradation",
        "location": "West wing, lower level",
        "repair_recommendation": "Since TV forward because act exactly color. Close memory goal power quality others.",
        "estimated_repair_cost": 88575
      },
      {
        "issue_type": "hvac_end_of_life",
        "location": "East wing, upper level",
        "repair_recommendation": "Us tree that energy. Whose heavy town possible drug thing.",
        "estimated_repair_cost": 74709
      },
      {
        "issue_type": "foundation_settlement",
        "location": "South wing, lower level",
        "repair_recommendation": "Course reduce sense reveal along.",
        "estimated_repair_cost": 194597
      }
    ],
    "ada_compliance_notes": "Worker involve everybody school attack also political."
  },
  "lease_analysis_summary": {
    "total_occupied_sqft": 50440,
    "weighted_average_lease_term_years": 6.9,
    "major_tenants": [
      {
        "tenant_name": "Johnston and Sons",
        "lease_start_date": "2018-07-16",
        "lease_end_date": "2028-03-16",
        "annual_rent": 771364,
        "rent_escalation_mechanism": "cpi_indexed",
        "renewal_options": 1
      },
      {
        "tenant_name": "Horn, Richards and Ellison",
        "lease_start_date": "2022-07-03",
        "lease_end_date": "2031-12-05",
        "annual_rent": 884713,
        "rent_escalation_mechanism": "cpi_indexed",
        "renewal_options": 2,
        "option_term_years": 5
      }
    ],
    "vacancy_rate_percentage": 22.27,
    "tenant_defaults_identified": false
  },
  "title_and_legal": {
    "clear_title_confirmed": false,
    "pending_litigation_related_to_property": true,
    "zoning_classification": "I-1 (Sharable zero-defect protocol)",
    "zoning_compliance_confirmed": true,
    "major_encumbrances": [
      {
        "encumbrance_type": "utility_easement",
        "description": "Ball beyond capital treatment act catch total prove design month.",
        "parties_involved": "Rose, Gillespie and Buchanan"
      }
    ]
  },
  "analyst_firm": "Potter, Harris and Cooper"
}