⚡ 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 the property located at 1480 Renaissance Dr, Park Ridge, Cook County, IL (APN: 09221100050000) for its potential as a distribution-scale Battery Energy Storage System (BESS) project. The analysis identifies significant potential upsides, primarily related to IRA incentives, but also flags critical data gaps in grid infrastructure and environmental conditions that must be resolved before committing further resources.

1. Site Access & Topography

Road Access & Feasibility: The site benefits from excellent public road access via Renaissance Drive. A desktop review indicates this is a well-maintained, paved road within a commercial office park. The property is located less than a mile from Interstate 294, a major arterial highway, which is highly advantageous for the delivery of heavy equipment and construction materials. The primary access route from the highway appears straightforward and suitable for large trucks.

Terrain & Equipment Access: The topography in this region of Illinois is exceptionally flat, which is ideal for BESS development. This will significantly reduce earthwork and civil engineering costs. Based on aerial imagery, the site appears level and cleared in sections, currently serving as part of a larger office complex with associated parking. Access for heavy equipment, including cranes for setting transformers and battery containers, appears feasible without major obstructions. However, a site visit is required to verify turning radii into the specific parcel, confirm the absence of low-hanging overhead utility lines, and assess the load-bearing capacity of any local bridges or culverts on the final delivery path.

Easement Concerns: Requires Verification. The provided data does not specify existing easements. As this parcel is part of a larger commercial development, it is highly probable that shared access, utility, and drainage easements exist. A full ALTA survey and title report are mandatory to identify any easements that could encumber the buildable area and constrain the BESS array layout. These easements could impact equipment placement and interconnection routing.

2. Environmental Constraints

FEMA Flood Zone: Requires Verification. The FEMA flood zone designation is currently unknown. This is a critical and immediate diligence item. Verification using the FEMA Flood Map Service Center is required. If the site is located within a 100-year floodplain (e.g., Zone AE), development costs will increase substantially due to the need for elevated foundations for all equipment. If it is in a floodway, development may be prohibited entirely, representing a potential fatal flaw.

Wetlands: Requires Verification. The presence of wetlands is unknown. A desktop screening using the US Fish & Wildlife Service National Wetlands Inventory (NWI) must be conducted immediately. Given the developed nature of the surrounding area, the risk of jurisdictional wetlands may be low, but any identified potential wetlands would trigger the need for a formal wetland delineation. The presence of wetlands would necessitate significant setbacks (typically 50-100 feet), reducing the buildable acreage and potentially rendering the site unviable.

Critical Habitat / Species Risk: The data indicates no critical habitat or protected areas on or near the site, which is a significant positive. A routine check of the USFWS IPaC (Information for Planning and Consultation) tool is still recommended to generate a species list and formally document the low risk profile for the permitting record.

Brownfield/Superfund Status: The site itself is not a listed brownfield. While there is a listed site within two miles, this proximity does not qualify our project for the 10% IRA brownfield tax credit adder. The primary implication is risk-related; a Phase I Environmental Site Assessment (ESA) is strongly recommended to ensure no soil or groundwater contamination has migrated from off-site sources, which could lead to liability and remediation costs.

Pipeline Proximity: The absence of major gas pipelines within a three-mile radius is a notable safety and layout advantage. This eliminates risks associated with pipeline-related setbacks, explosion hazards, and easement conflicts.

3. Grid Infrastructure & Interconnection

Substation & Feeder: Requires Verification. This is the most significant data gap and the highest-risk item for the project. The nearest substation, its distance, and available capacity are unknown. For a ≤5MW project, the target Point of Interconnection (POI) will be a 3-phase distribution feeder, likely at 12.47kV or 34.5kV, which are common Commonwealth Edison (ComEd) voltages. Identifying a suitable feeder with adequate thermal and voltage capacity is paramount. A desktop review of satellite imagery suggests potential overhead distribution lines along nearby roads, but their capacity is unknown.

Transmission Infrastructure: A 138kV transmission line is located 1.5 miles away. This is not a viable POI for a project of this scale due to the prohibitive cost and complexity of a transmission-level interconnection. The project's viability is entirely dependent on finding a suitable distribution-level POI.

Interconnection Cost & Timeline: Without a known POI, costs are highly speculative. A best-case scenario (a simple tap to an adjacent, robust feeder) might be in the $500k - $1.5M range. A worst-case scenario (requiring a dedicated feeder run from a distant substation or significant substation upgrades) could easily exceed $3M - $5M, making the project uneconomical. The interconnecting utility is ComEd, which is part of the PJM RTO. The PJM interconnection queue is notoriously long and complex. Even for a distribution-level project processed by ComEd, timelines from application to commercial operation can often span 24-36 months.

4. Regulatory & Zoning Analysis

Authority Having Jurisdiction (AHJ): The AHJ is the City of Park Ridge, a home-rule municipality in Cook County. All land use and building permits will be processed through the city.

Zoning Compatibility: The current zoning is "O - Office District." BESS is a new use and is almost certainly not listed as a permitted "by-right" use in this district. Therefore, a discretionary permit will be required.

Permitting Pathway: The most likely permitting pathway is a Conditional Use Permit (CUP) or a Special Exception. This process involves a formal application, staff review, public notification, and a public hearing before the Planning and Zoning Commission and/or City Council. This pathway introduces significant timeline risk and uncertainty, as approval is not guaranteed.