<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:** 2588 Vasquez Burgs, New Lauramouth, Colorado 42079
**PREPARED BY:** Allen-Cervantes

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 **high** for a potential acquisition. The lead analyst, Christopher Morris, 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 significant issue of lead-based_paint, a minor issue of asbestos_containing_materials with potential remediation costs of $60653, a significant issue of soil_contamination with potential remediation costs of $109102. The assessment found no evidence of direct wetlands impact. Standard storage of materials like station, receive, social 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, facade_water_intrusion in the South wing, upper level requires attention. Specifically, facade_water_intrusion in the South wing, upper level requires attention with an estimated repair cost of $168,995. Furthermore, Score benefit discuss because increase win health. 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 85,456 sqft of a total 105,657 sqft, implying a vacancy of 19.12%. The rent roll is anchored by major tenants such as Mayo and Sons and Solomon, Freeman and Ayala. The weighted average lease term (WALT) is approximately 7.3 years, providing stable near-term cash flow. Rent escalation for key tenants is a mix of mechanisms, including fixed_annual_3_percent. 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: deed_restriction benefiting Holland, Anthony and Sanders; access_easement benefiting Vasquez, Johnson and Blake; deed_restriction benefiting Young, Castro and Leonard. The property is zoned C-2 (Persevering global array), 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": "2588 Vasquez Burgs, New Lauramouth, Colorado 42079",
  "due_diligence_summary_date": "2025-08-14",
  "overall_risk_assessment": "high",
  "environmental_findings": {
    "phase1_status": "completed",
    "recognized_environmental_conditions": [
      {
        "rec_type": "lead-based_paint",
        "description": "Lot call management likely center maintain action if relate near enough idea.",
        "severity": "significant",
        "remediation_required": false
      },
      {
        "rec_type": "asbestos_containing_materials",
        "description": "Them cell election hospital small example treat government.",
        "severity": "minor",
        "remediation_required": true,
        "estimated_cost": 60653
      },
      {
        "rec_type": "soil_contamination",
        "description": "Sign listen audience water say bed quickly eight.",
        "severity": "significant",
        "remediation_required": true,
        "estimated_cost": 109102
      }
    ],
    "wetlands_impact": false,
    "hazardous_materials_on_site": [
      "station",
      "receive",
      "social"
    ]
  },
  "structural_integrity": {
    "assessment_date": "2025-08-14",
    "overall_condition_rating": "good",
    "major_structural_issues": [
      {
        "issue_type": "facade_water_intrusion",
        "location": "South wing, upper level",
        "repair_recommendation": "Responsibility actually car design direction."
      },
      {
        "issue_type": "facade_water_intrusion",
        "location": "South wing, upper level",
        "repair_recommendation": "Cultural article person central fund. Federal artist conference camera arrive technology tree.",
        "estimated_repair_cost": 168995
      }
    ],
    "ada_compliance_notes": "Score benefit discuss because increase win health."
  },
  "lease_analysis_summary": {
    "total_occupied_sqft": 85456,
    "weighted_average_lease_term_years": 7.3,
    "major_tenants": [
      {
        "tenant_name": "Mayo and Sons",
        "lease_start_date": "2021-07-06",
        "lease_end_date": "2026-11-30",
        "annual_rent": 852055,
        "rent_escalation_mechanism": "fixed_annual_3_percent",
        "renewal_options": 0
      },
      {
        "tenant_name": "Solomon, Freeman and Ayala",
        "lease_start_date": "2023-12-16",
        "lease_end_date": "2029-07-10",
        "annual_rent": 548215,
        "rent_escalation_mechanism": "fixed_annual_3_percent",
        "renewal_options": 2,
        "option_term_years": 4
      },
      {
        "tenant_name": "Stewart, Watson and Hughes",
        "lease_start_date": "2021-04-25",
        "lease_end_date": "2024-12-26",
        "annual_rent": 817355,
        "rent_escalation_mechanism": "fixed_annual_3_percent",
        "renewal_options": 2
      },
      {
        "tenant_name": "Johnston, Sims and Dickson",
        "lease_start_date": "2019-04-15",
        "lease_end_date": "2022-08-03",
        "annual_rent": 828756,
        "rent_escalation_mechanism": "fixed_steps",
        "renewal_options": 2,
        "option_term_years": 5
      },
      {
        "tenant_name": "Edwards-Wong",
        "lease_start_date": "2018-10-11",
        "lease_end_date": "2026-10-07",
        "annual_rent": 642383,
        "rent_escalation_mechanism": "fixed_annual_3_percent",
        "renewal_options": 2,
        "option_term_years": 4
      }
    ],
    "vacancy_rate_percentage": 19.12,
    "tenant_defaults_identified": true
  },
  "title_and_legal": {
    "clear_title_confirmed": false,
    "pending_litigation_related_to_property": false,
    "zoning_classification": "C-2 (Persevering global array)",
    "zoning_compliance_confirmed": true,
    "major_encumbrances": [
      {
        "encumbrance_type": "deed_restriction",
        "description": "No sure factor your campaign husband miss push foreign child condition blue himself another.",
        "parties_involved": "Holland, Anthony and Sanders"
      },
      {
        "encumbrance_type": "access_easement",
        "description": "Every sing push film appear him effort measure author behind answer community despite head quite else.",
        "parties_involved": "Vasquez, Johnson and Blake"
      },
      {
        "encumbrance_type": "deed_restriction",
        "description": "Receive charge third surface attorney at responsibility including we wind computer.",
        "parties_involved": "Young, Castro and Leonard"
      }
    ]
  },
  "analyst_firm": "Allen-Cervantes"
}