⚡ 1480 RENAISSANCE DR

MEMORANDUM

TO: Sunland America Corp. Development Committee

FROM: Senior BESS Site Evaluation Analyst

DATE: October 26, 2023

SUBJECT: Comprehensive Site Diligence Analysis for "Project Ridge"

Property: 1480 RENAISSANCE DR, Park Ridge, Cook County, IL (APN: 09221100050000)

This report provides a comprehensive due diligence analysis for the potential acquisition and development of a distribution-scale Battery Energy Storage System (BESS) at the subject property. The analysis identifies significant risks, particularly concerning grid interconnection and regulatory approval, balanced against a highly favorable incentive profile. A final recommendation is provided based on the findings.

1. Site Access & Topography

Evaluation: The site is located within a well-developed commercial office park immediately adjacent to Interstate 294. Road access is excellent via Renaissance Drive, a public, paved road capable of handling heavy vehicle traffic. Based on satellite imagery and regional geography, the site's topography is presumed to be flat with minimal grade, which is ideal for BESS construction as it minimizes civil engineering and earthwork costs.

Actionable Insights:

• Equipment Delivery: Feasibility for delivering heavy equipment, including 40-foot battery containers, medium-voltage transformers, and switchgear, is considered high. The proximity to a major interstate is a significant logistical advantage. A detailed swept-path analysis will be required prior to final engineering, but no immediate barriers are apparent.
• Access Easements: As the property fronts a public road within an established commercial park, dedicated access easements are likely not required. However, title work must be performed to confirm that no restrictive covenants or shared access agreements with adjacent parcels would impede construction or 24/7 operational access.
• Parcel Size Discrepancy: A critical conflict exists between data sources regarding parcel size (35.02 acres vs. 2.97 acres). The 2.97-acre figure from Regrid appears more consistent with the visual footprint of the existing office building and parking lot. This must be clarified immediately via a title search and survey, as it fundamentally impacts the available buildable area for a ≤5MW BESS project.

2. Environmental Constraints

Evaluation: The environmental profile presents both significant unknowns and a potential major advantage. The site is in a developed urban area, which typically reduces risks related to sensitive species but increases the likelihood of encountering soil contamination or unmapped fill.

Actionable Insights:

• Flood Zone & Wetlands: Requires Verification. FEMA flood zone and wetlands status are currently unknown. This is a critical-path diligence item. Any designation within a 100-year floodplain (e.g., Zone AE) would necessitate elevating all equipment, adding substantial cost. The presence of jurisdictional wetlands could create prohibitive setback requirements, rendering the site undevelopable. A desktop screening using FEMA and National Wetlands Inventory (NWI) maps is the immediate next step.
• Critical Habitat: The risk of critical habitat for endangered species is low given the developed, commercial nature of the site and surrounding area. A formal screening via the USFWS IPaC tool is recommended for confirmation.
• Brownfield/Superfund Status: While there are no Superfund sites on the parcel, the presence of a listed site within two miles and the property's long-standing commercial use suggest a Phase I Environmental Site Assessment (ESA) is necessary. This is both a risk-mitigation step and a potential opportunity. If the Phase I ESA identifies Recognized Environmental Conditions (RECs), the site may qualify for the 10% IRA Brownfield ITC adder, turning a potential liability into a significant financial advantage.
• Pipeline Proximity: The absence of major gas transmission pipelines within a three-mile radius is a notable safety and design advantage, eliminating concerns related to pipeline setbacks and explosion risk assessments.

3. Grid Infrastructure & Interconnection

Evaluation: This is the most significant area of concern and represents the highest risk to project viability. The provided data on grid infrastructure is insufficient to determine feasibility.

Actionable Insights:

• Nearest Substation: Requires Verification. The location, capacity, and voltage of the nearest distribution substation are unknown. This is the single most critical data gap. Without a viable substation within a reasonable distance (ideally <1 mile),