⚡ 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)

RECOMMENDATION: MAYBE

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 site's primary advantage is its qualification for a valuable 10% Investment Tax Credit (ITC) adder as an Energy Community. However, this is offset by significant uncertainty regarding grid interconnection feasibility and a challenging regulatory pathway within the City of Park Ridge. The following analysis details these factors and concludes with a "MAYBE" recommendation, contingent on resolving key risks through the outlined next steps.

1. Site Access & Topography

• Road Access & Equipment Delivery: The site is located in a developed commercial office park with access via Renaissance Drive, a public road. Based on aerial imagery, access appears to be excellent, with paved, well-maintained roads capable of supporting heavy truck traffic. The proximity to major thoroughfares and the I-294 tollway is advantageous for logistics during construction.
• Terrain Characteristics: The topography in Park Ridge and the greater Chicago area is exceptionally flat. We anticipate minimal grading requirements, which will reduce civil engineering costs and construction timelines. This is a significant advantage for buildability.
• Heavy Equipment Feasibility: The existing road network is designed for commercial traffic and should accommodate delivery of heavy equipment, including transformers, inverters, and containerized battery systems. A detailed logistics plan will be required to verify turning radii into the specific parcel and check for any overhead utility line conflicts along the delivery route.
• Easement Concerns: As an established commercial lot, access easements are expected to be in place. However, due diligence must verify that these easements are sufficient for construction-phase activities, including potential temporary laydown areas. A title report is required to confirm all existing easements and encumbrances. There is a notable discrepancy in parcel size between two data sources (35.02 acres vs. 2.97 acres). The 2.97-acre figure is more consistent with the APN's geometry and must be confirmed immediately, as it directly impacts site layout and buildable area.

2. Environmental Constraints

• FEMA Flood Zone: The FEMA flood zone designation is currently Unknown. This is a critical data gap. Any designation within a 100-year floodplain (e.g., Zone A, AE) would introduce significant design challenges, requiring elevated equipment pads and potentially rendering the project financially unviable. A desktop review of FEMA's Flood Insurance Rate Maps (FIRMs) is an immediate priority.
• Wetlands: The presence of wetlands is Unknown. A review of the U.S. Fish and Wildlife Service's National Wetlands Inventory (NWI) is the first step. If potential wetlands are identified, a formal wetland delineation will be necessary to determine their boundaries and any required setbacks, which can be restrictive in Illinois.
• Critical Habitat / Endangered Species: The provided data indicates no critical habitat or protected areas on or immediately adjacent to the site. This suggests a low risk for issues related to the Endangered Species Act (ESA). This should be confirmed with the USFWS IPaC tool as part of standard diligence.
• Brownfield/Superfund Status: There is one Superfund site located within two miles of the property. This does not automatically qualify the subject parcel for the 10% IRA Brownfield ITC adder, which requires the project site itself to be a designated brownfield. The proximity of a nearby contaminated site raises the risk that the subject property could have environmental issues. A Phase I Environmental Site Assessment (ESA) is strongly recommended to assess this risk and to determine if the site could potentially qualify as a brownfield.
• Pipeline Proximity: No gas pipelines are identified within a three-mile radius. This is a positive finding, eliminating risks associated with pipeline-related setbacks, safety protocols, and potential co-location conflicts.

3. Grid Infrastructure & Interconnection

• Nearest Substation & Utility: The interconnecting utility is Commonwealth Edison (ComEd), a subsidiary of Exelon. Critically, the location, distance, and available capacity of the