⚡ 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)

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 is based on the provided data and initial desktop research. Significant data gaps exist, which are noted as critical path items for further investigation. The site presents a compelling financial incentive profile but carries substantial interconnection and regulatory risks that must be addressed before committing significant capital.

1. Site Access & Topography

Road Access & Feasibility: The property has frontage on Renaissance Drive, a public road within a well-developed commercial office park. This road provides direct access to major thoroughfares, including the I-294 (Tri-State Tollway), which is less than a mile away. This existing, high-quality infrastructure is ideal for the delivery of heavy and oversized BESS equipment.

Terrain & Equipment Access: The site is located in the Chicagoland area, which is characterized by exceptionally flat topography. We anticipate minimal to no grading will be required, significantly reducing civil construction costs. The robust road network can readily accommodate heavy-haul trucks for delivering multi-ton transformers, battery containers, and inverters, as well as large cranes needed for equipment placement.

Easement Concerns: While direct road access is excellent, the parcel's location within a dense commercial park makes it highly probable that existing utility easements (power, water, sewer, telecommunications) cross the property. A title report and ALTA survey are required to identify all encumbrances. These easements could constrain the final site layout and reduce the buildable area.

Note on Parcel Size: There is a critical discrepancy in the provided data. The primary record lists 35.02 acres, while the Regrid data indicates 2.97 acres for the specified APN. This analysis assumes the 2.97-acre parcel is correct, which is suitable for a distribution-scale project. This must be verified immediately.

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 flood hazard) could impose significant design constraints, such as elevating all equipment above the Base Flood Elevation (BFE), or could render the site undevelopable. A FEMA FIRMette review is a priority next step.

Wetlands: The presence of jurisdictional wetlands is Unknown. While less likely on a previously developed commercial lot, a desktop screening using the National Wetlands Inventory (NWI) is required. If the screening indicates potential wetlands, a formal field delineation will be necessary, which could trigger significant setbacks and reduce the buildable footprint.

Habitat & Protected Species: The data indicates no critical habitat or protected areas on or near the site. Given its location in a highly developed urban environment, the risk of encountering endangered species that would halt development is considered very low.

Brownfield/Superfund Status: The property itself is not identified as a brownfield. There is one Superfund site located within a two-mile radius. This proximity necessitates a Phase I Environmental Site Assessment (ESA) as a standard part of due diligence. Importantly, because the site is not a designated brownfield, it is ineligible for the 10% IRA brownfield bonus tax credit. This is a missed incentive opportunity.

Pipeline Proximity: No major gas transmission pipelines are identified within a three-mile radius, which is a significant positive. This eliminates risks associated with pipeline operator negotiations, safety setbacks, and potential blast zone considerations.

3. Grid Infrastructure & Interconnection

Substation & Feeder: This is the most significant risk and data gap. Data on the nearest distribution substation (distance, capacity) is missing. The viability of this project is entirely dependent on the proximity and available capacity of a suitable Commonwealth Edison (ComEd) distribution feeder. Identifying the local 12.47kV or 34.5kV circuit is the highest priority diligence item.

Transmission Access: A 138kV ComEd transmission line is located 1.5 miles from the site. For a