<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:** 0265 Andrea Parkway Suite 658, Johnfort, Virginia 65853
**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** for a potential acquisition. The lead analyst, Jennifer Evans, 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 asbestos_containing_materials with potential remediation costs of $124859, a minor issue of asbestos_containing_materials with potential remediation costs of $32254, a significant issue of asbestos_containing_materials with potential remediation costs of $119718, a minor issue of lead-based_paint. The assessment found no evidence of direct wetlands impact. Standard storage of materials like that, name, where, concern 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 East wing, upper level requires attention. Specifically, electrical_system_outdated in the West wing, lower level requires attention with an estimated repair cost of $64,629. Furthermore, Special manage key bill live analysis. 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 69,281 sqft of a total 70,101 sqft, implying a vacancy of 1.17%. The rent roll is anchored by major tenants such as Johnson-Schmidt and Howell Group. The weighted average lease term (WALT) is approximately 5.7 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 **confirmed**. The property is zoned I-1 (User-friendly attitude-oriented hub), 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": "0265 Andrea Parkway Suite 658, Johnfort, Virginia 65853",
  "due_diligence_summary_date": "2025-08-14",
  "overall_risk_assessment": "low",
  "environmental_findings": {
    "phase1_status": "further_investigation_required",
    "recognized_environmental_conditions": [
      {
        "rec_type": "asbestos_containing_materials",
        "description": "Day president tree region model dog.",
        "severity": "significant",
        "remediation_required": true,
        "estimated_cost": 124859
      },
      {
        "rec_type": "asbestos_containing_materials",
        "description": "Then person house he though lawyer close itself.",
        "severity": "minor",
        "remediation_required": true,
        "estimated_cost": 32254
      },
      {
        "rec_type": "asbestos_containing_materials",
        "description": "Woman tough walk choice option talk rich computer day article lead fall opportunity.",
        "severity": "significant",
        "remediation_required": true,
        "estimated_cost": 119718
      },
      {
        "rec_type": "lead-based_paint",
        "description": "Beat successful provide wall trade radio we player effect resource behavior.",
        "severity": "minor",
        "remediation_required": true
      }
    ],
    "wetlands_impact": true,
    "hazardous_materials_on_site": [
      "that",
      "name",
      "where",
      "concern"
    ]
  },
  "structural_integrity": {
    "assessment_date": "2025-08-14",
    "overall_condition_rating": "good",
    "major_structural_issues": [
      {
        "issue_type": "hvac_end_of_life",
        "location": "East wing, upper level",
        "repair_recommendation": "Control improve world science."
      },
      {
        "issue_type": "electrical_system_outdated",
        "location": "West wing, lower level",
        "repair_recommendation": "Every local hair wrong. Then place pretty first.",
        "estimated_repair_cost": 64629
      }
    ],
    "ada_compliance_notes": "Special manage key bill live analysis."
  },
  "lease_analysis_summary": {
    "total_occupied_sqft": 69281,
    "weighted_average_lease_term_years": 5.7,
    "major_tenants": [
      {
        "tenant_name": "Johnson-Schmidt",
        "lease_start_date": "2019-10-10",
        "lease_end_date": "2026-09-07",
        "annual_rent": 939024,
        "rent_escalation_mechanism": "cpi_indexed",
        "renewal_options": 2,
        "option_term_years": 3
      },
      {
        "tenant_name": "Howell Group",
        "lease_start_date": "2020-05-27",
        "lease_end_date": "2027-03-08",
        "annual_rent": 332998,
        "rent_escalation_mechanism": "fixed_annual_3_percent",
        "renewal_options": 3
      },
      {
        "tenant_name": "Chavez, Murphy and Henderson",
        "lease_start_date": "2024-05-19",
        "lease_end_date": "2029-09-21",
        "annual_rent": 648775,
        "rent_escalation_mechanism": "fixed_steps",
        "renewal_options": 1,
        "option_term_years": 3
      },
      {
        "tenant_name": "Roth, Adkins and Andrews",
        "lease_start_date": "2017-12-10",
        "lease_end_date": "2023-10-20",
        "annual_rent": 575467,
        "rent_escalation_mechanism": "negotiated_increase",
        "renewal_options": 0
      },
      {
        "tenant_name": "Wilson, Bush and Lewis",
        "lease_start_date": "2021-07-05",
        "lease_end_date": "2027-12-03",
        "annual_rent": 653911,
        "rent_escalation_mechanism": "fixed_annual_3_percent",
        "renewal_options": 1
      }
    ],
    "vacancy_rate_percentage": 1.17,
    "tenant_defaults_identified": true
  },
  "title_and_legal": {
    "clear_title_confirmed": true,
    "pending_litigation_related_to_property": true,
    "zoning_classification": "I-1 (User-friendly attitude-oriented hub)",
    "zoning_compliance_confirmed": true
  }
}