⚡ 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" (1480 Renaissance Dr, Park Ridge, IL)

This report provides a comprehensive due diligence analysis for a potential distribution-scale Battery Energy Storage System (BESS) project at 1480 Renaissance Dr, Park Ridge, Cook County, IL (APN: 09221100050000). The analysis evaluates the site's suitability across key development pillars, including physical characteristics, environmental constraints, grid access, regulatory landscape, and financial incentives.

1. Site Access & Topography

The subject property is located within a well-developed corporate office park in Park Ridge, a mature suburb of Chicago. Road access is excellent, with direct frontage on Renaissance Drive, a multi-lane, paved public road. This road connects to major thoroughfares like Higgins Road (IL-72), providing straightforward access to the regional highway system for equipment delivery.

• Equipment Delivery: The existing road network appears fully capable of supporting heavy-haul trucks required for delivering large equipment such as 40-foot battery containers, multi-ton transformers, and switchgear. A preliminary review of aerial imagery shows no obvious vertical clearance issues (low overpasses) or tight turning radii that would impede access. Requires Verification: A formal route survey should be conducted prior to finalizing logistics plans.
• Terrain Characteristics: Consistent with the Chicagoland area, the site appears to be exceptionally flat with minimal grade change. This is ideal for BESS development, as it will significantly reduce the need for extensive civil work and grading, thereby lowering site preparation costs. The current site is developed with an office building and associated surface parking, indicating stable, compacted ground conditions.
• Easement Concerns: As part of a planned office park, the parcel is almost certainly subject to various easements (utility, access, drainage). A full ALTA survey and title report are critical to identify any encumbrances that could restrict the BESS footprint or dictate equipment placement. The existing parking lot offers a promising area for development, but underground utilities must be identified.

2. Environmental Constraints

The environmental profile presents several critical unknowns that must be resolved. While major red flags like critical habitats are absent, potential "fatal flaws" related to water resources exist.

• FEMA Flood Zone: The FEMA flood zone designation is currently Unknown. This is a high-priority data gap. If the site is located within a Special Flood Hazard Area (e.g., Zone A or AE), development costs would increase substantially due to requirements for elevating all equipment above the Base Flood Elevation. An undevelopable floodway designation would render the site non-viable.
• Wetlands: The presence of wetlands is Unknown. A desktop screening using the National Wetlands Inventory (NWI) is an immediate next step. Given the developed nature of the site, jurisdictional wetlands are less likely, but drainage features or small pockets could exist. If present, a formal wetland delineation would be required, and typical county/state setbacks of 50-100 feet could constrain the buildable area.
• Brownfield/Superfund Status: The property itself is not listed as a brownfield, meaning it is ineligible for the 10% IRA brownfield tax credit adder. There is one Superfund site located within a two-mile radius. While not on the property, its proximity will necessitate careful review during the Phase I Environmental Site Assessment (ESA) to ensure no potential for contaminant migration. This is considered a low-to-moderate risk.
• Pipeline Proximity: No major gas or hazardous liquid transmission pipelines are identified within a three-mile radius, which is a significant positive. This eliminates risks associated with pipeline easements, setback requirements, and potential operator objections during permitting.

3. Grid Infrastructure & Interconnection

Grid access is the single greatest uncertainty and risk for this site. The viability of the project is entirely dependent on identifying a suitable and cost-effective Point of Interconnection (POI).

• Nearest Substation: Data on the nearest substation (distance, voltage, capacity) is Unknown. This is a critical flaw in the preliminary data. A desktop analysis using satellite imagery suggests the ComEd Edison Park or Park Ridge substations may be within a 1-2 mile radius. However, their distribution capacity is unknown. Without a clear POI, the project is purely speculative.
• Transmission vs. Distribution: A 138kV Commonwealth Edison (ComEd) transmission line is located 1.5 miles away. For a distribution-scale project (≤5MW), interconnecting at transmission voltage is financially and technically infeasible. The project must interconnect to a local ComEd distribution feeder.
• Likely Interconnection: The target POI will be a 3-phase distribution feeder, likely operating at 12.47kV or 34.5kV. Such lines are expected to run along Renaissance Drive or Higgins Road, either overhead or underground. Requires Verification: A utility pre-application or feasibility study is required to confirm the presence, voltage, and available capacity of a suitable feeder.
• Cost & Timeline Estimate: Interconnection costs are highly speculative. A best-case scenario (direct tap to an adjacent, robust feeder with available capacity) might be in the $500k - $1M range. A more likely scenario, requiring a feeder extension or minor upgrades, would be $1M - $2.5M+. The ComEd interconnection process runs through the PJM Interconnection queue, which is notoriously backlogged. Timelines from application to commercial operation can realistically span 24-48 months.

4. Regulatory & Zoning Analysis

The regulatory pathway presents a significant hurdle. The current zoning is not aligned with energy storage use, necessitating a discretionary and uncertain approval process.

• Authority Having Jurisdiction (AHJ): The City of Park Ridge is the primary AHJ for all zoning and building permits.
• Zoning Compatibility: The site is zoned "O" (Office District). Battery energy storage is not a listed permitted or accessory use in this district. The current "Office Bldg"