⚡ 1480 RENAISSANCE DR

MEMORANDUM

TO: Sunland America Corp. Development Team

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)

FINAL RECOMMENDATION: MAYBE

This memorandum provides a comprehensive site diligence analysis for the subject property for the potential development of a distribution-scale (≤5MW) Battery Energy Storage System (BESS). The analysis is based on preliminary data and identifies critical information gaps that must be addressed. While the site benefits from a key federal incentive, significant unknowns regarding grid infrastructure and regulatory pathways present substantial project risk. The final recommendation is MAYBE, contingent upon favorable outcomes from the high-priority due diligence steps outlined below.

1. Site Access & Topography

• Road Access & Feasibility: The property is located on Renaissance Drive in what appears to be a commercial office park. Access is listed as public, and satellite imagery confirms a well-maintained, paved road network. This infrastructure is designed for commercial traffic, including delivery trucks, and should be sufficient for standard construction vehicles. A detailed route survey will be required to confirm the absence of low-clearance bridges or weight-restricted roads on the final approach for heavy-haul deliveries.
• Terrain Characteristics: The topography in Park Ridge and the greater Cook County area is generally flat. The site itself is developed with an existing office building and associated parking lots, indicating it is graded and level. This is highly favorable, as it will minimize civil engineering costs associated with site preparation and grading for the BESS pads.
• Heavy Equipment Access: The existing road network and likely expansive parking areas provide ample space for the maneuvering and staging of heavy equipment. This includes flatbed trucks for delivering battery containers and switchgear, as well as heavy-duty cranes required for setting the main power transformer and battery enclosures. The primary buildable area would likely be a portion of the existing surface parking lot, which offers excellent access.
• Easement Concerns: Requires Verification. As a developed commercial parcel, there are almost certainly existing utility, access, and/or drainage easements encumbering the property. A full ALTA survey and title commitment review is a critical next step to identify these easements and ensure they do not conflict with the proposed BESS layout, creating a "no-build" zone where it is most needed.

2. Environmental Constraints

• FEMA Flood Zone: Requires Verification. The FEMA flood zone designation is currently unknown. This is a critical risk. Any portion of the site located within a 100-year floodplain (e.g., Zone AE) would dramatically increase costs due to the need to elevate all equipment above the Base Flood Elevation (BFE) or could render the site undevelopable. An immediate review of FEMA's Flood Insurance Rate Maps (FIRMs) is required.
• Wetlands: Requires Verification. The presence of wetlands is unknown. A desktop screening using the National Wetlands Inventory (NWI) database should be conducted immediately. If potential wetlands are identified, a formal wetland delineation will be necessary. The presence of jurisdictional wetlands would trigger significant state and local setback requirements (typically 50-100 feet), which would reduce the buildable acreage.
• Critical Habitat / Endangered Species: The initial data indicates no critical habitat or protected areas on site. This is a positive finding that reduces permitting complexity. As a standard diligence practice, we should run the site through the USFWS IPaC tool to formally document the lack of sensitive species.
• Brownfield/Superfund Status: The site itself is not a listed brownfield. While there is a superfund site within two miles, it does not directly impact the parcel. This means the project will not qualify for the 10% IRA Brownfield ITC adder. However, the lack of on-site contamination is a significant advantage, reducing potential remediation liability. A Phase I Environmental Site Assessment (ESA) is still required to confirm the absence of any Recognized Environmental Conditions (RECs).
• Pipeline Proximity: The absence of major gas transmission pipelines within a three-mile radius is a significant safety and layout advantage, eliminating concerns related to pipeline operator-mandated setbacks and potential blast-zone risks.

3. Grid Infrastructure & Interconnection

• Nearest Substation: Requires Verification. This is the most critical information gap and a potential fatal flaw. Data on the nearest substation, its distance, and available capacity is missing. A desktop grid analysis using utility maps and satellite imagery is the highest priority action item. Without a viable substation within a reasonable distance (ideally <1 mile), interconnection costs will make the project economically unviable.
• Transmission Infrastructure: A 138kV Commonwealth Edison (ComEd) transmission line is located 1.5 miles away. For a distribution-scale project (≤5MW), interconnecting at this voltage is cost-prohibitive and technically infeasible. This line should be considered irrelevant for our purposes; the focus must be on the local distribution system.
• Recommended Interconnection Voltage: The project will target an interconnection to a local ComEd 3-phase distribution feeder. The likely voltage will be 12.47kV or 34.5kV, which is standard for commercial areas in this region.
• Estimated Interconnection Costs & Timeline: Highly speculative. Without knowing the distance to a viable Point of Interconnection (POI), costs are difficult to estimate. A best-case scenario (e.g., an adjacent feeder with available capacity) might be in the $750k - $1.5M range. A worst-case scenario (e.g., requiring a new feeder exit from a substation a mile away) could easily exceed $3M+. The ComEd interconnection queue is notoriously congested, and a realistic timeline from application submission to commercial operation could be 24-36 months. This timeline risk must be factored into the project's financial model.
• Feeder Configuration: Requires Verification. We assume a 3-phase overhead or underground distribution line serves the office park, likely running along Renaissance Drive. A site visit and review of ComEd distribution maps are needed to confirm the presence, phasing, and configuration of the local circuit.

4. Regulatory & Zoning Analysis

• Authority Having Jurisdiction (AHJ): The City of Park Ridge. As an incorporated municipality, Park Ridge will have its own zoning ordinance and permitting process, which is typically more stringent than county-level oversight.
• Zoning Compatibility: The current zoning is "O" (Office). BESS is a new use and is almost certainly not a permitted "by-right" use in an Office district. This zoning presents a significant permitting challenge.
• Permitting Pathway: The most likely pathway is a Special Use Permit (SUP) or a Conditional Use Permit (CUP). This is a discretionary process that requires public hearings, planning commission review, and final approval from the City Council. This process introduces significant timeline risk (6-12 months) and uncertainty, as approval is not guaranteed. A zoning text amendment may be required if "BESS" is not defined in the code at all.
• Setback Requirements: Requires Verification. The Park Ridge municipal code must be reviewed for specific BESS or utility-use setbacks. It is likely none exist. In this case, the AHJ will likely rely on standard commercial setbacks and impose additional requirements based on fire safety codes like NFPA 855, which dictates separation between battery containers and from property lines.