<format type="json">{report_id: string, property_address: string, report_date: date, report_author_firm: string, overall_risk_assessment: string, estimated_remediation_cost_usd: number optional, structural_assessment: {foundation: {condition: string, issues_identified: list[string], notes: string optional}, framing: {condition: string, issues_identified: list[string], notes: string optional}, roofing: {material: string, age_years: number, condition: string, recommended_action: string optional}}, environmental_findings: {phase_i_esa_status: string, recognized_environmental_conditions: list[{type: string, description: string, severity: string, recommended_action: string optional}], asbestos_containing_materials_present: boolean, lead_based_paint_present: boolean}, building_systems: list[{system_type: string, components_summary: list[{component_name: string, condition: string, estimated_lifespan_remaining_years: number optional, issues: list[string] optional}], overall_system_condition: string, system_recommendations: string optional}], title_encumbrances: list[{type: string, description: string, impact_assessment: string}], capital_expenditure_projections: list[{item: string, category: string, estimated_cost_usd: number, timeline_years: number}], key_due_diligence_recommendations: list[string], summary_narrative: string optional}</format> <data>EXECUTIVE SUMMARY: COMMERCIAL PROPERTY DUE DILIGENCE REPORT
Report ID: DDR-2025-4378
Date of Report: 2025-07-02
Subject Property: 7655 Michael Street Apt. 907, Lake Catherinebury, Oregon 78540
Prepared by: Thomas-Bird

This report, commissioned by our client, synthesizes the findings from a comprehensive due diligence investigation of the subject property. The inspection, conducted on a brisk weekday, revealed a high risk profile, driven by several key factors across structural, environmental, and financial domains. The on-site property manager was cooperative during our walkthrough. 

Structural Assessment:
The building's core structure presents a mixed condition. The foundation was observed to be in poor state, with field notes indicating minor hairline cracks. Specialist notes recommend: 'Box two open spend star month teacher cause nation impact know loss.' Similarly, the framing is considered Fair; however, bowing in roof joists. Of greater concern is the TPO Membrane roofing system. Having been in service for approximately 5 years, its condition is good, and it will require monitoring. 

Environmental Findings:
The Phase I Environmental Site Assessment (ESA) concluded with a status of 'RECs Identified'. Multiple Recognized Environmental Conditions (RECs) were documented. A notable REC of Low severity relates to Underground Storage Tank (UST): Develop buy development campaign court once around rise sure than bill fill politics cultural. A survey for hazardous materials confirmed that the presence of asbestos-containing materials is likely, while lead-based paint is a concern. 

Building Systems and Capital Needs:
An evaluation of major building systems revealed significant deferred maintenance. The Electrical system is in Fair condition. The Main Switchgear exhibits issues such as corrosion noted, nearing end of useful life. The Site Lighting exhibits issues such as inefficient operation. The Fire Safety system is in Good condition. The HVAC system is in Fair condition. The Boiler exhibits issues such as requires immediate service, inefficient operation. The Plumbing system is in Poor condition. The Water Heaters exhibits issues such as nearing end of useful life, requires immediate service. These deficiencies translate into considerable near-term capital needs. Our projections identify a total of $44,440 in required expenditures over the next decade. This includes approximately $44,440 for Water Heaters Replacement/Repair within 1 year(s). 

Title & Encumbrances:
A preliminary title report review found 2 encumbrances. These include items of moderate impact, such as a Covenant related to 'Pitts-Perez holds a covenant for unleash cross-media platforms.'. 

Key Recommendations:
Based on these findings, we strongly advise the following actions prior to closing: Obtain proposals for replacement of water heaters..</data>
{
  "report_id": "DDR-2025-4378",
  "property_address": "7655 Michael Street Apt. 907, Lake Catherinebury, Oregon 78540",
  "report_date": "2025-07-02",
  "report_author_firm": "Thomas-Bird",
  "overall_risk_assessment": "High",
  "structural_assessment": {
    "foundation": {
      "condition": "Poor",
      "issues_identified": [
        "minor hairline cracks"
      ],
      "notes": "Box two open spend star month teacher cause nation impact know loss."
    },
    "framing": {
      "condition": "Fair",
      "issues_identified": [
        "bowing in roof joists"
      ]
    },
    "roofing": {
      "material": "TPO Membrane",
      "age_years": 5,
      "condition": "Good"
    }
  },
  "environmental_findings": {
    "phase_i_esa_status": "RECs Identified",
    "recognized_environmental_conditions": [
      {
        "type": "Underground Storage Tank (UST)",
        "description": "Develop buy development campaign court once around rise sure than bill fill politics cultural.",
        "severity": "Low"
      }
    ],
    "asbestos_containing_materials_present": true,
    "lead_based_paint_present": true
  },
  "building_systems": [
    {
      "system_type": "Electrical",
      "components_summary": [
        {
          "component_name": "Main Switchgear",
          "condition": "Fair",
          "estimated_lifespan_remaining_years": 7,
          "issues": [
            "corrosion noted",
            "nearing end of useful life"
          ]
        },
        {
          "component_name": "Site Lighting",
          "condition": "Fair",
          "estimated_lifespan_remaining_years": 8,
          "issues": [
            "inefficient operation"
          ]
        }
      ],
      "overall_system_condition": "Fair"
    },
    {
      "system_type": "Fire Safety",
      "components_summary": [
        {
          "component_name": "Sprinkler System",
          "condition": "Good",
          "estimated_lifespan_remaining_years": 6
        }
      ],
      "overall_system_condition": "Good"
    },
    {
      "system_type": "HVAC",
      "components_summary": [
        {
          "component_name": "Boiler",
          "condition": "Fair",
          "estimated_lifespan_remaining_years": 7,
          "issues": [
            "requires immediate service",
            "inefficient operation"
          ]
        }
      ],
      "overall_system_condition": "Fair",
      "system_recommendations": "Recommend comprehensive review and budgeting for HVAC system upgrades."
    },
    {
      "system_type": "Plumbing",
      "components_summary": [
        {
          "component_name": "Supply Pipes",
          "condition": "Fair",
          "estimated_lifespan_remaining_years": 7
        },
        {
          "component_name": "Water Heaters",
          "condition": "Poor",
          "issues": [
            "nearing end of useful life",
            "requires immediate service"
          ]
        }
      ],
      "overall_system_condition": "Poor",
      "system_recommendations": "Recommend comprehensive review and budgeting for Plumbing system upgrades."
    }
  ],
  "title_encumbrances": [
    {
      "type": "Covenant",
      "description": "Pitts-Perez holds a covenant for unleash cross-media platforms.",
      "impact_assessment": "Moderate"
    },
    {
      "type": "Encroachment",
      "description": "Harris-Mccoy holds a encroachment for target 24/7 content.",
      "impact_assessment": "Minor"
    }
  ],
  "capital_expenditure_projections": [
    {
      "item": "Water Heaters Replacement/Repair",
      "category": "Short-Term CAPEX",
      "estimated_cost_usd": 44440,
      "timeline_years": 1
    }
  ],
  "key_due_diligence_recommendations": [
    "Obtain proposals for replacement of water heaters."
  ]
}