⚡ 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 "Renaissance"

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

FINAL RECOMMENDATION: MAYBE

This report provides a comprehensive due diligence analysis for the potential acquisition and development of a Battery Energy Storage System (BESS) at the subject property. The analysis reveals a site with a significant financial incentive via its Energy Community status, but this is counterbalanced by critical unknowns and substantial risks related to grid interconnection and local zoning. The current recommendation is MAYBE, contingent upon the successful and positive resolution of the key risks outlined in the initial next steps. Proceeding without clarifying these fundamental feasibility points would expose the company to unacceptable development risk.

1. Site Access & Topography

• Road Access & Feasibility: The property is located in a modern office park with direct access from Renaissance Drive, a paved public road. Based on satellite imagery review, access appears excellent. The site is situated just off I-294, providing a direct and high-capacity route from major logistical hubs for equipment delivery.
• Terrain Characteristics: The topography in Park Ridge and the surrounding Chicagoland area is exceptionally flat. This is highly advantageous, as it will minimize civil engineering and site preparation costs. Extensive grading is not anticipated.
• Heavy Equipment Access: The existing high-quality road infrastructure and flat terrain present no apparent barriers to the delivery and placement of heavy equipment, including large transformers, switchgear, and containerized battery systems. Turning radii into the site from Renaissance Drive appear adequate for standard tractor-trailers.
• Easement Concerns: As a developed commercial parcel, there is a high likelihood of existing utility easements (power, water, sewer, data) and potentially access easements benefiting adjacent properties. Requires Verification: A title report and ALTA survey are mandatory to identify any easements that could encumber the buildable area and constrain the BESS layout.

2. Environmental Constraints

• FEMA Flood Zone: The FEMA flood zone designation is listed as Unknown. This is a critical data gap. Any portion of the site within a 100-year floodplain (e.g., Zone AE) would significantly increase civil costs due to the need for elevated equipment pads and could impact insurability. A location within a floodway would likely render the site undevelopable.
• Wetlands: The presence of wetlands is Unknown. A desktop screening using the National Wetlands Inventory (NWI) is the immediate first step. If potential wetlands are identified, a formal wetland delineation will be required. Any delineated wetlands would necessitate development setbacks (typically 50-100 feet), reducing the buildable acreage.
• Critical Habitat / Species Risk: The data indicates no critical habitats or protected areas on or near the site. This significantly de-risks the project from a wildlife and endangered species perspective, reducing the likelihood of lengthy and costly biological studies.
• Brownfield/Superfund Status: The property itself is not a listed brownfield. However, one superfund/brownfield site is noted within a 2-mile radius. This presents a low risk of on-site contamination but requires a Phase I Environmental Site Assessment (ESA) for confirmation. Importantly, because the subject parcel is not a designated brownfield, it is unlikely to qualify for the 10% IRA brownfield tax credit adder.
• Pipeline Proximity: No major gas or hazardous liquid pipelines are identified within a 3-mile radius. This is a significant safety and layout advantage, eliminating concerns related to pipeline setbacks and explosion risk assessments.

3. Grid Infrastructure & Interconnection

• Nearest Substation: This is the most critical unknown for the project. Data on the nearest distribution substation, including its distance, capacity, and voltage, is missing. Without this information, interconnection feasibility is entirely speculative. A desktop grid analysis is the highest priority action item.
• Transmission Infrastructure: A 138kV Commonwealth Edison (ComEd) transmission line is located 1.5 miles from the site. For a distribution-scale project (≤5MW), interconnecting at transmission voltage is financially and technically infeasible. This line is not a viable Point of Interconnection (POI) for the target project size.
• Recommended Interconnection Voltage: The project should target an interconnection to a local ComEd distribution feeder. The most common distribution