⚡ 1480 RENAISSANCE DR

MEMORANDUM

TO: Sunland America Corp. Investment 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)

This report provides a comprehensive due diligence analysis for a potential distribution-scale (≤5MW) Battery Energy Storage System (BESS) project at 1480 Renaissance Drive in Park Ridge, Cook County, Illinois. The analysis covers key evaluation criteria to determine the site's viability and concludes with a BESS Suitability Score and recommended next steps.

1. Site Access & Topography

Road Access & Equipment Delivery: The site benefits from excellent public road access via Renaissance Drive, situated within a well-developed commercial office park. This road connects directly to major thoroughfares, including W Higgins Road and is in close proximity to Interstate 294. The existing infrastructure consists of paved, multi-lane roads designed to accommodate commercial traffic, which is highly favorable for the delivery of heavy BESS equipment, including battery containers, inverters, and main power transformers.

Terrain & Buildability: Based on the location in the greater Chicago area, the site's topography is presumed to be flat with minimal grade, which is ideal for BESS construction as it significantly reduces civil engineering and site preparation costs. However, a formal topographical survey is required for verification. The primary buildability concern is a significant discrepancy in listed acreage: the master property data lists 35.02 acres, while the specific parcel data (APN 09221100050000) from Regrid indicates 2.97 acres. While 2.97 acres is sufficient for a 5MW BESS project, this discrepancy must be resolved immediately via a title report and ALTA survey.

Heavy Equipment & Easements: The existing road network appears capable of supporting heavy haul trucks. A route survey should be conducted to confirm turning radii and the absence of low-clearance obstacles. Given its location in a multi-parcel office park, there is a high likelihood of existing utility, access, or drainage easements crossing the property. A title commitment and ALTA survey are critical to identify any such encumbrances that could restrict the developable area.

2. Environmental Constraints

Flood & Wetlands: The FEMA flood zone and wetlands status are currently marked as Unknown. This represents a significant data gap and a potential fatal flaw. A desktop review of FEMA Flood Insurance Rate Maps (FIRMs) and the National Wetlands Inventory (NWI) is an immediate next step. Any presence of a Special Flood Hazard Area (e.g., Zone A, AE) or delineated wetlands would introduce substantial permitting complexity, setback requirements, and potential site design challenges, possibly rendering the site unviable.

Habitat & Protected Species: The data indicates no critical habitat or protected areas on or immediately adjacent to the site, which is a positive finding. This is expected for a previously developed commercial parcel. A desktop review using the USFWS IPaC tool is recommended for formal confirmation.

Brownfield/Superfund Status: The presence of a Superfund site within two miles is noted. This does not mean the subject parcel is contaminated, but it necessitates a Phase I Environmental Site Assessment (ESA) to evaluate historical use and potential for on-site contamination. Importantly, if the Phase I ESA determines the site itself meets the federal definition of a brownfield (e.g., through documented historical contamination), it could qualify for the 10% Brownfield ITC adder under the Inflation Reduction Act (IRA). This transforms a potential risk into a significant financial opportunity.

Other Considerations: The site is not within the Chesapeake Bay Critical Area. The absence of oil and gas wells or major pipelines within a three-mile radius is a significant safety and permitting advantage, eliminating the need for specialized risk assessments and setbacks related to such infrastructure.

3. Grid Infrastructure & Interconnection

Substation & Point of Interconnection (POI): The nearest substation and its specifications are listed as Unknown. This is the most critical unknown for the project. Satellite imagery analysis suggests a potential Commonwealth Edison (ComEd) substation approximately 0.5 miles east of the site, near I-294 and W Touhy Ave. This proximity is promising, but its voltage class (likely 12.47kV or 34.5kV for distribution) and, most importantly, its available hosting capacity are completely unknown. Identifying a viable POI on a feeder from this substation is the highest priority diligence item.

Transmission Infrastructure: A 138kV transmission line is located 1.5 miles from the site. For a distribution-scale project (≤5MW), this line is not a viable POI due to excessive cost and technical complexity. The project's viability is entirely dependent on accessing a local distribution feeder.

Interconnection Pathway & Costs: The recommended interconnection voltage is distribution-level (e.g., 12.47kV or 34.5kV). The interconnecting utility is Commonwealth Edison (ComEd), which is part of the PJM Interconnection RTO. The PJM interconnection queue process is notoriously long and complex, with timelines often exceeding 24-36 months from application to commercial operation. Assuming a viable feeder is available within 0.5 miles, interconnection costs could range from $750,