⚡ 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 O'Hare" - 1480 Renaissance Dr, Park Ridge, 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 in Park Ridge, Cook County, Illinois. The analysis identifies several critical risks, primarily concerning grid interconnection and zoning, that must be addressed before committing significant development capital.

1. Site Access & Topography

Road Access & Equipment Delivery: The site has excellent access. It is located in a modern office park with direct frontage on Renaissance Drive, a public road. This road appears to be well-maintained, paved, and sufficiently wide to accommodate heavy haul trucks. The property's proximity to major highways, specifically Interstate 294, is a significant logistical advantage for the delivery of heavy equipment such as battery containers, transformers, and switchgear.

Terrain & Buildability: Based on aerial imagery and the general geography of the Chicago metropolitan area, the site is presumed to be flat with minimal grade, which is ideal for BESS construction as it minimizes civil work costs. However, there is a critical discrepancy in the provided data regarding parcel size: one source indicates 35.02 acres while another indicates 2.97 acres. Assuming the smaller 2.97-acre size is correct, this would be a constrained footprint for a ≤5MW project once setbacks, stormwater management, and access roads are considered.

Heavy Equipment & Easements: Access for a large crane required for setting a main power transformer and other equipment appears feasible. However, as an established commercial parcel, the site is almost certainly encumbered by existing utility, access, and drainage easements. A title report and ALTA survey are mandatory to identify these encumbrances and ensure they do not conflict with the proposed BESS equipment layout.

2. Environmental Constraints

Flood & Wetlands: The FEMA flood zone and wetlands status are both listed as Unknown. This represents a significant environmental risk. A desktop screening must be conducted immediately to review FEMA Flood Insurance Rate Maps (FIRMs) and the National Wetlands Inventory (NWI). If the site is within a Special Flood Hazard Area (e.g., Zone AE), all equipment pads would need to be elevated above the Base Flood Elevation, adding considerable cost. The presence of jurisdictional wetlands could render the site undevelopable by imposing prohibitive setbacks and reducing the buildable area.

Habitat & Protected Species: The data indicates no critical habitat or protected areas on or near the site. This is a positive finding that significantly de-risks the project from federal Endangered Species Act (ESA) and similar state-level regulatory hurdles.

Contamination & Brownfield Status: While there is a Superfund site within two miles, the subject property itself is currently an office building and is unlikely to have significant contamination. A Phase I Environmental Site Assessment (ESA) is required to confirm this and identify any Recognized Environmental Conditions (RECs). The site does not appear to be a designated brownfield, but if the Phase I ESA uncovers historical contamination, it could potentially qualify for the 10% IRA brownfield tax credit adder, turning a potential liability into a financial advantage.

Other Considerations: The site is clear of pipeline and gas well proximity risks, which eliminates a common safety and setback concern for BESS projects.

3. Grid Infrastructure & Interconnection

Substation & Feeder Proximity: This is the most critical unknown and the highest-risk aspect of the project. Data on the nearest distribution substation (distance, voltage, capacity) is completely missing. A BESS project is not viable without a cost-effective interconnection point. The top priority is to identify the nearest Commonwealth Edison (ComEd) 3-phase distribution feeder and its source substation. The site's location in a commercial park suggests a 3-phase underground feeder is likely present, but its voltage and available capacity are unknown.

Transmission Infrastructure: A 138kV ComEd transmission line is located 1.5 miles from the site. For a distribution-scale project (≤5MW), a transmission-level interconnection is financially and technically infeasible.