⚡ 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)

This report provides a comprehensive due diligence analysis for the potential development of a distribution-scale (≤5MW) Battery Energy Storage System (BESS) at the subject property. The analysis identifies significant risks related to grid interconnection and zoning that must be addressed before committing further development capital. However, the site benefits from a lucrative IRA incentive, which may warrant a preliminary investigation into mitigating these risks.

1. Site Access & Topography

Road Access: The property has direct access from Renaissance Drive, which is a public, paved road within a developed commercial office park. The site is located less than a mile from Interstate 294, providing excellent regional access via major arterial roads like Dempster Street and Potter Road. This high-quality infrastructure is well-suited for the delivery of construction materials and BESS equipment.

Topography & Equipment Feasibility: Based on aerial imagery and the general geography of Park Ridge, the site is presumed to be flat with minimal grade. This is highly advantageous, as it will likely minimize civil engineering and site preparation costs. The existing road network appears capable of handling heavy loads. Access for large cranes, transport trucks carrying battery containers, and delivery of the main power transformer should be straightforward, assuming no prohibitive turning radii or low-clearance overhead obstructions exist within the immediate office park.

Easement Concerns: As a developed commercial parcel, the site is almost certainly encumbered by existing utility easements (e.g., power, water, sewer, communications). A full ALTA/NSPS Land Title Survey and a Title Commitment are required to identify the location and nature of these easements. Any such easements could significantly constrain the buildable area and dictate the final site layout. There is also a notable discrepancy in the provided data regarding parcel size (35.02 acres vs. 2.97 acres). The 2.97-acre figure from Regrid is more consistent with the surrounding parcels and is a suitable size for a 5MW BESS. This discrepancy must be resolved immediately via a title search.

2. Environmental Constraints

Flood Zone & Wetlands: The FEMA flood zone and wetlands status are currently Unknown. These represent critical-path diligence items. A desktop review of FEMA Flood Insurance Rate Maps (FIRMs) and the National Wetlands Inventory (NWI) is the immediate next step. If the site is located within a Special Flood Hazard Area (e.g., Zone AE), development costs will increase substantially due to the need for elevated foundations and potential compensatory storage, possibly rendering the project uneconomical. Similarly, the presence of jurisdictional wetlands would trigger setback requirements, reducing the buildable envelope.

Habitat & Protected Areas: Initial screening shows no designated Critical Habitat or other protected areas on or immediately adjacent to the site. This is a positive finding that reduces the risk of significant environmental permitting delays or costly mitigation associated with endangered species.

Contamination Risk: The property is not listed as a brownfield or superfund site. However, the presence of one such site within a 2-mile radius warrants a Phase I Environmental Site Assessment (ESA) to rule out any risk of migrating contamination. On the upside, if a Phase I ESA were to identify Recognized Environmental Conditions (RECs) on our parcel, it could potentially qualify the project for the 10% IRA brownfield tax credit adder, turning a potential liability into a financial advantage.

Other Considerations: The site is not within the Chesapeake Bay Critical Area. The absence of oil and gas pipelines within a 3-mile radius is a significant safety and layout advantage, eliminating concerns related to pipeline setbacks and explosion risk.

3. Grid Infrastructure & Interconnection

Substation & POI: This is the most significant weakness of the site. The nearest substation, its voltage, and available capacity are all Unknown. A BESS project is not viable without a clear and cost-effective Point of Interconnection (POI). The nearest identified infrastructure is a 138kV transmission line 1.