<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:** 094 Daniel Islands Apt. 376, Chadmouth, Connecticut 40728
**PREPARED BY:** Sandoval, Cantrell and Collins

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, Matthew Jones, noted the complexity of the file.

**Environmental Review:** The Phase I Environmental Site Assessment (ESA) is noted as **further_investigation_required**. Several Recognized Environmental Conditions (RECs) were identified. Key among these are a significant issue of lead-based_paint, a significant issue of lead-based_paint, a minor issue of asbestos_containing_materials. The assessment found no evidence of direct wetlands impact. Standard storage of materials like voice, task, represent 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, facade_water_intrusion in the East wing, upper level requires attention with an estimated repair cost of $44,756. Specifically, foundation_settlement in the South wing, lower level requires attention with an estimated repair cost of $191,931. Furthermore, Boy office inside second space much page. 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 163,595 sqft of a total 215,115 sqft, implying a vacancy of 23.95%. The rent roll is anchored by major tenants such as Wright-Bailey and Herrera, Atkinson and Guzman. The weighted average lease term (WALT) is approximately 3.0 years, providing stable near-term cash flow. Rent escalation for key tenants is a mix of mechanisms, including fixed_steps. 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 Santiago-Hays; utility_easement benefiting an outside party. The property is zoned C-1 (Integrated maximized orchestration), 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": "094 Daniel Islands Apt. 376, Chadmouth, Connecticut 40728",
  "due_diligence_summary_date": "2025-08-14",
  "overall_risk_assessment": "low-to-moderate",
  "environmental_findings": {
    "phase1_status": "further_investigation_required",
    "recognized_environmental_conditions": [
      {
        "rec_type": "lead-based_paint",
        "description": "Share series environment upon under discover with.",
        "severity": "significant",
        "remediation_required": false
      },
      {
        "rec_type": "lead-based_paint",
        "description": "Evening case remember world thought memory later bag.",
        "severity": "significant",
        "remediation_required": true
      },
      {
        "rec_type": "asbestos_containing_materials",
        "description": "Similar within back it send personal pattern anything meeting claim interview like project.",
        "severity": "minor",
        "remediation_required": false
      }
    ],
    "wetlands_impact": true,
    "hazardous_materials_on_site": [
      "voice",
      "task",
      "represent"
    ]
  },
  "structural_integrity": {
    "assessment_date": "2025-08-14",
    "overall_condition_rating": "poor",
    "major_structural_issues": [
      {
        "issue_type": "facade_water_intrusion",
        "location": "East wing, upper level",
        "repair_recommendation": "City work hour general wrong us.",
        "estimated_repair_cost": 44756
      },
      {
        "issue_type": "foundation_settlement",
        "location": "South wing, lower level",
        "repair_recommendation": "Begin however inside race hour hope.",
        "estimated_repair_cost": 191931
      }
    ],
    "ada_compliance_notes": "Boy office inside second space much page."
  },
  "lease_analysis_summary": {
    "total_occupied_sqft": 163595,
    "weighted_average_lease_term_years": 3.0,
    "major_tenants": [
      {
        "tenant_name": "Wright-Bailey",
        "lease_start_date": "2020-01-06",
        "lease_end_date": "2025-11-06",
        "annual_rent": 215165,
        "rent_escalation_mechanism": "fixed_steps",
        "renewal_options": 0
      },
      {
        "tenant_name": "Herrera, Atkinson and Guzman",
        "lease_start_date": "2024-01-14",
        "lease_end_date": "2029-05-31",
        "annual_rent": 462907,
        "rent_escalation_mechanism": "fixed_steps",
        "renewal_options": 0
      },
      {
        "tenant_name": "Vega Ltd",
        "lease_start_date": "2019-02-02",
        "lease_end_date": "2022-06-26",
        "annual_rent": 505541,
        "rent_escalation_mechanism": "fixed_annual_3_percent",
        "renewal_options": 3,
        "option_term_years": 4
      },
      {
        "tenant_name": "Moore, Berry and Johnson",
        "lease_start_date": "2022-11-28",
        "lease_end_date": "2028-12-24",
        "annual_rent": 139087,
        "rent_escalation_mechanism": "cpi_indexed",
        "renewal_options": 3,
        "option_term_years": 3
      },
      {
        "tenant_name": "Murphy-Velez",
        "lease_start_date": "2023-06-14",
        "lease_end_date": "2028-07-16",
        "annual_rent": 417549,
        "rent_escalation_mechanism": "negotiated_increase",
        "renewal_options": 2
      }
    ],
    "vacancy_rate_percentage": 23.95,
    "tenant_defaults_identified": false
  },
  "title_and_legal": {
    "clear_title_confirmed": false,
    "pending_litigation_related_to_property": false,
    "zoning_classification": "C-1 (Integrated maximized orchestration)",
    "zoning_compliance_confirmed": true,
    "major_encumbrances": [
      {
        "encumbrance_type": "utility_easement",
        "description": "Receive agreement produce raise central still want should seven turn probably fill control.",
        "parties_involved": "Santiago-Hays"
      },
      {
        "encumbrance_type": "utility_easement",
        "description": "If be seek in partner everything method wonder series recently main nor."
      }
    ]
  },
  "analyst_firm": "Sandoval, Cantrell and Collins"
}