⚡ 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 Storage"

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

RECOMMENDATION: MAYBE

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 site presents a high-risk, high-reward profile. Its primary strengths are exceptional IRA incentive eligibility and location within a high-load suburban area. However, these are counterbalanced by significant uncertainty in grid interconnection and a challenging regulatory environment due to its restrictive office-park zoning. Proceeding will require aggressive de-risking of these key factors.

1. Site Access & Topography

• Road Access & Feasibility: The property is located within a modern commercial office park immediately adjacent to Interstate 294. Road access is listed as "Public" and visual analysis confirms access via Renaissance Drive, a well-maintained, multi-lane road capable of supporting heavy truck traffic. The proximity to a major interstate is highly advantageous for equipment and construction vehicle logistics.
• Terrain Characteristics: As is typical for the Chicago metropolitan area, the site appears to be flat with minimal grade. This is ideal for BESS development, as it will significantly reduce earthwork and site preparation costs. No significant topographical challenges are anticipated.
• Heavy Equipment Access: The existing infrastructure of the office park, designed for commercial deliveries, ensures that access for heavy equipment such as cranes, transformers, and containerized BESS units is feasible. Turning radii appear adequate for tractor-trailers.
• Easement Concerns: While road access is public, dedicated utility easements for a new electrical interconnection line will be required. The path from the Point of Interconnection (POI) to the project site is unknown and may require negotiating easements with adjacent property owners if it cannot be routed entirely within the public right-of-way. This requires verification during the interconnection and title review process.

2. Environmental Constraints

• FEMA Flood Zone: The FEMA flood zone designation is currently Unknown. This is a critical data gap. Any designation other than Zone X (minimal risk) could impose significant design constraints, require costly elevation of equipment, or render a portion of the site undevelopable. A FEMA Flood Insurance Rate Map (FIRM) review is an immediate next step.
• Wetlands: The presence of wetlands is Unknown. A desktop review using the National Wetlands Inventory (NWI) is required, followed by a formal wetlands delineation if the screening indicates potential presence. Wetlands would trigger significant setbacks (typically 50-100 feet) and a lengthy, expensive permitting process with the Army Corps of Engineers.
• Critical Habitat / Endangered Species: The data indicates No critical habitat or protected areas on or near the site. This is a significant positive, removing a common environmental permitting hurdle.
• Brownfield/Superfund Status: There is one known contaminated site within a 2-mile radius. While this poses a minor risk of contaminant migration, it also presents a major opportunity. A Phase I Environmental Site Assessment (ESA) is required to determine if the subject property itself qualifies as a "brownfield site" under EPA guidelines. If it does, the project would be eligible for the 10% Brownfield ITC adder, a significant financial benefit.
• Pipeline Proximity: The absence of major gas pipelines within a 3-mile radius is a notable safety and design advantage, eliminating concerns related to pipeline setbacks and explosion risk.

3. Grid Infrastructure & Interconnection

• Nearest Substation & Utility: The interconnecting utility is Commonwealth Edison (ComEd), a PJM member. Crucially, the location, distance, and available capacity of the nearest distribution substation are Unknown. This is the single largest technical risk for the project. Identifying a viable 3-phase distribution feeder with sufficient hosting capacity is paramount.
• Transmission Infrastructure: A 138kV ComEd transmission line is located 1.5 miles from the site. While technically a possible POI, a transmission-level interconnection for a ≤5MW BESS would be prohibitively expensive (likely $5M - $15M+) and complex. This option should be considered a non-starter for a project of this scale.
• Recommended Interconnection: The project must target an interconnection to a local ComEd distribution feeder, likely at 12.47kV or 34.5kV. The feasibility and cost are entirely dependent on the distance and condition of the nearest viable circuit.
• Cost & Timeline Estimate: Highly speculative. Assuming a distribution feeder is available within 0.5 miles, interconnection costs could range from $750,000 to $2,500,000. The ComEd interconnection process within PJM is notoriously slow; a realistic timeline from application to commercial operation can be 3 to 5 years.
• Feeder Configuration: Requires Verification. The feeder serving the commercial park is likely a 3-phase underground line, which can increase tapping costs compared to an overhead line but is aesthetically preferred. A formal ComEd hosting capacity map analysis or feasibility study is required immediately.

4. Regulatory & Zoning Analysis