⚡ 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 – Project "Renaissance Storage"
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 financial incentives but also highlights critical risks related to grid interconnection and local permitting that must be addressed before significant capital is committed.

1. Site Access & Topography

Road Access & Feasibility: The property is located within a developed commercial office park just off I-294, a major interstate highway. Primary access is via Renaissance Drive, a paved, public road designed to handle commercial traffic, including semi-trailers. This existing high-quality infrastructure is a significant advantage, suggesting that delivery of heavy equipment such as battery containers, inverters, and main power transformers via lowboy trailers will be straightforward from a road quality perspective.

Terrain Characteristics: Based on the location in the greater Chicago area, the site's topography is presumed to be flat with minimal grade. This is highly favorable for BESS development, as it will significantly reduce civil engineering and site preparation costs. Extensive grading or earthwork is not anticipated.

Heavy Equipment Access: While the road network is sufficient, a detailed route survey will be required to verify turning radii at intersections leading to the site and to check for any vertical clearance constraints from overhead utility lines or overpasses. The internal road network of the office park must also be assessed for weight-bearing capacity.

Easement Concerns: As a developed commercial parcel, the property is likely encumbered by existing utility, access, or drainage easements. A title report and ALTA survey are critical to identify these encumbrances, as they could materially constrain the buildable envelope for the BESS facility. The discrepancy between the listed 35.02 acres and the 2.97 acres from Regrid data must be resolved immediately via a survey, as the smaller acreage drastically changes the project scope and layout feasibility.

2. Environmental Constraints

FEMA Flood Zone: The FEMA flood zone designation is currently Unknown. This represents a critical data gap. If the site is located within a 100-year floodplain (e.g., Zone AE), development costs would increase substantially due to the need for elevated equipment pads and potential for denial of certain permits. A review of FEMA's Flood Insurance Rate Maps (FIRMs) is an immediate priority.

Wetlands: The presence of wetlands is Unknown. A desktop screening using the National Wetlands Inventory (NWI) database is required as a first step. If potential wetlands are identified, a formal wetland delineation will be necessary. The presence of jurisdictional wetlands would trigger significant setback requirements (typically 50-100 feet) and could render the site undevelopable, particularly on a smaller ~3-acre parcel.

Critical Habitat / Endangered Species: The initial screening shows no critical habitat or protected areas on site, which is a positive finding. This significantly reduces the risk of lengthy and complex consultations with the U.S. Fish and Wildlife Service (USFWS). A formal check of the USFWS IPaC database is still recommended for project records.

Brownfield/Superfund Status: While there is a superfund site within two miles, the subject parcel itself is not listed. However, its history as a commercial property means contamination is possible. This presents both a risk and an opportunity. A Phase I Environmental Site Assessment (ESA) is required to assess liability. If the Phase I determines the site meets the federal definition of a brownfield, the project could qualify for the 10% IRA Brownfield ITC adder, a significant financial benefit.

Pipeline Proximity: The data indicates no major gas transmission pipelines within a three-mile radius. This is a strong positive, as it eliminates significant safety, setback, and co-location risks associated with high-pressure pipeline infrastructure.

3. Grid Infrastructure & Interconnection

Nearest Substation & Feeder: This is the most significant unknown for the project. No distribution substation has been identified. For a ≤5MW project, interconnection to a