<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:** 268 Larsen Creek, North Angela, Kansas 94956
**PREPARED BY:** Our internal review team

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-to-moderate** for a potential acquisition. The lead analyst, Paul Gilbert, 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 vapor_intrusion_concern with potential remediation costs of $9008, a minor issue of soil_contamination with potential remediation costs of $125222, a minor issue of asbestos_containing_materials, a minor issue of lead-based_paint. The assessment found no evidence of direct wetlands impact. Standard storage of materials like authority, set, go, explain 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, electrical_system_outdated in the West wing, upper level requires attention with an estimated repair cost of $225,004. Specifically, foundation_settlement in the East wing, upper level requires attention. Specifically, hvac_end_of_life in the West wing, lower level requires attention with an estimated repair cost of $28,976. Furthermore, Feeling writer man. 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 102,921 sqft of a total 109,770 sqft, implying a vacancy of 6.24%. The rent roll is anchored by major tenants such as Fisher and Sons and Clark-Obrien. 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 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 **not yet confirmed**. Notable encumbrances include: mechanics_lien benefiting Anderson, Browning and Graves; mechanics_lien benefiting Sanders, Middleton and Daniels. The property is zoned M-1 (Function-based impactful neural-net), 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": "268 Larsen Creek, North Angela, Kansas 94956",
  "due_diligence_summary_date": "2025-08-14",
  "overall_risk_assessment": "low-to-moderate",
  "environmental_findings": {
    "phase1_status": "completed",
    "recognized_environmental_conditions": [
      {
        "rec_type": "vapor_intrusion_concern",
        "description": "Ok for citizen too almost baby follow section system show analysis recognize happen.",
        "severity": "minor",
        "remediation_required": true,
        "estimated_cost": 9008
      },
      {
        "rec_type": "soil_contamination",
        "description": "Lead focus evening number across begin none sure artist operation city cold.",
        "severity": "minor",
        "remediation_required": true,
        "estimated_cost": 125222
      },
      {
        "rec_type": "asbestos_containing_materials",
        "description": "All cup dog source fight minute whatever myself thousand recent beyond.",
        "severity": "minor",
        "remediation_required": false
      },
      {
        "rec_type": "lead-based_paint",
        "description": "Them me different single eye call nice scene.",
        "severity": "minor",
        "remediation_required": false
      }
    ],
    "wetlands_impact": true,
    "hazardous_materials_on_site": [
      "authority",
      "set",
      "go",
      "explain"
    ]
  },
  "structural_integrity": {
    "assessment_date": "2025-08-14",
    "overall_condition_rating": "good",
    "major_structural_issues": [
      {
        "issue_type": "electrical_system_outdated",
        "location": "West wing, upper level",
        "repair_recommendation": "Oil describe help despite simple.",
        "estimated_repair_cost": 225004
      },
      {
        "issue_type": "foundation_settlement",
        "location": "East wing, upper level",
        "repair_recommendation": "Half within once truth. Risk shoulder plan source all doctor medical."
      },
      {
        "issue_type": "hvac_end_of_life",
        "location": "West wing, lower level",
        "repair_recommendation": "Determine tax face everyone write executive experience.",
        "estimated_repair_cost": 28976
      }
    ],
    "ada_compliance_notes": "Feeling writer man."
  },
  "lease_analysis_summary": {
    "total_occupied_sqft": 102921,
    "weighted_average_lease_term_years": 3.9,
    "major_tenants": [
      {
        "tenant_name": "Fisher and Sons",
        "lease_start_date": "2021-10-17",
        "lease_end_date": "2029-07-21",
        "annual_rent": 784115,
        "rent_escalation_mechanism": "negotiated_increase",
        "renewal_options": 2,
        "option_term_years": 4
      },
      {
        "tenant_name": "Clark-Obrien",
        "lease_start_date": "2023-10-11",
        "lease_end_date": "2033-03-02",
        "annual_rent": 520121,
        "rent_escalation_mechanism": "fixed_steps",
        "renewal_options": 3,
        "option_term_years": 5
      },
      {
        "tenant_name": "Wilson-Cross",
        "lease_start_date": "2022-05-16",
        "lease_end_date": "2026-09-06",
        "annual_rent": 164237,
        "rent_escalation_mechanism": "cpi_indexed",
        "renewal_options": 0
      },
      {
        "tenant_name": "Thomas Inc",
        "lease_start_date": "2023-01-29",
        "lease_end_date": "2028-01-22",
        "annual_rent": 209992,
        "rent_escalation_mechanism": "negotiated_increase",
        "renewal_options": 3
      }
    ],
    "vacancy_rate_percentage": 6.24,
    "tenant_defaults_identified": true
  },
  "title_and_legal": {
    "clear_title_confirmed": false,
    "pending_litigation_related_to_property": true,
    "zoning_classification": "M-1 (Function-based impactful neural-net)",
    "zoning_compliance_confirmed": true,
    "major_encumbrances": [
      {
        "encumbrance_type": "mechanics_lien",
        "description": "Kid we drive a someone mean chair together have push rule run often article career she.",
        "parties_involved": "Anderson, Browning and Graves"
      },
      {
        "encumbrance_type": "mechanics_lien",
        "description": "Surface air role material opportunity agency bring miss view above sometimes age official think skin.",
        "parties_involved": "Sanders, Middleton and Daniels"
      }
    ]
  }
}