⚡ 1480 RENAISSANCE DR

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 battery energy storage system (BESS) at the subject property. The analysis covers key development pillars including site characteristics, environmental constraints, grid interconnection, regulatory hurdles, and financial incentives.

1. Site Access & Topography

Road Access & Equipment Delivery: The site exhibits excellent logistical characteristics. It is located at 1480 Renaissance Drive in a well-developed commercial office park with direct access from South Dee Road. These are public, paved, multi-lane roads capable of handling heavy commercial traffic. Proximity to major highways, including Interstate 294, is a significant advantage for the delivery of oversized and overweight equipment such as BESS containers, pad-mount transformers, and switchgear. A preliminary review of aerial imagery indicates sufficient turning radii for tractor-trailers.

Terrain & Buildability: The Chicagoland area is notoriously flat. It is highly probable that the site has minimal grade change, which would significantly reduce earthwork and civil engineering costs. The existing land use as a commercial office building suggests the site is already graded and stable. However, a formal ALTA/topographical survey is required to confirm this and identify any subtle grading challenges. The primary buildability concern is not topography, but rather the existing improvements and the significant discrepancy in reported parcel size (35.02 acres vs. 2.97 acres from different data sources), which must be resolved immediately.

Heavy Equipment Access: Given the robust public road infrastructure, access for heavy equipment is considered a low risk. Cranes required for setting transformers and inverters, as well as trucks delivering multi-ton battery enclosures, should have no issue accessing the property boundary.

Easement Concerns: While direct access is from a public road, a full title report is necessary to identify any utility easements, access restrictions, or restrictive covenants associated with the office park that could limit equipment placement or cable routing. This is a standard diligence item but is considered a low-to-moderate risk.

2. Environmental Constraints

FEMA Flood Zone: Requires Verification. The FEMA flood zone designation is currently unknown. This is a critical data gap. If the site is located within a 100-year floodplain (e.g., Zone AE), development costs will increase substantially due to requirements for elevating equipment above the Base Flood Elevation (BFE). A location within a floodway would likely render the site undevelopable. This must be investigated immediately via FEMA's Map Service Center.

Wetlands: Requires Verification. The presence of jurisdictional wetlands is unknown. A desktop review using the National Wetlands Inventory (NWI) is the first step. If potential wetlands are identified, a formal wetland delineation will be required. The presence of wetlands would trigger significant state (IEPA) and federal (USACE) permitting requirements and setbacks, which could severely constrain the buildable area.

Critical Habitat / Endangered Species: The data indicates no critical habitats or protected areas on or immediately adjacent to the site. This is a significant positive, reducing the risk of lengthy and complex consultations under the Endangered Species Act. A desktop review should still be performed to confirm no state-listed species of concern are in the vicinity.

Brownfield/Superfund Status: The subject property is not identified as a brownfield. However, there is one Superfund/brownfield site located within a two-mile radius. This presents a moderate risk. A Phase I Environmental Site Assessment (ESA) is mandatory to assess the potential for contaminant migration onto our site and to establish a baseline environmental condition. At present, this is a risk, not a benefit; the site does not qualify for the 10% IRA Brownfield ITC adder unless it meets specific contamination criteria itself.

Pipeline Proximity: The absence of major gas transmission pipelines within a three-mile radius is a major safety and design advantage, eliminating concerns related to pipeline setbacks and explosion risks.

3. Grid Infrastructure & Interconnection

Nearest Substation & Feeder: Requires Verification. This is the most critical unknown and the greatest risk to the project's viability. No distribution substation has been identified. The project's success is entirely dependent on the proximity, available capacity, and voltage class of a nearby Commonwealth Edison (ComEd) distribution feeder. Given the commercial setting, it is likely that a 12.47 kV or 34.5 kV 3-phase feeder runs along Renaissance Drive or S. Dee Road, but its capacity is unknown. Identifying this infrastructure is the highest priority diligence item.

Transmission Infrastructure: A 138kV ComEd transmission line is located 1.5 miles from the site. For a distribution-scale project (≤5MW), this is not a viable Point of Interconnection (POI). The cost to build a 1.5-mile tie-line and construct