⚡ 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"

PROPERTY: 1480 RENAISSANCE DR, Park Ridge, Cook County, IL (APN: 09221100050000)

RECOMMENDATION: MAYBE

This report provides a comprehensive due diligence analysis for the potential acquisition and development of a Battery Energy Storage System (BESS) at the subject property. The site presents a compelling financial case due to a confirmed IRA incentive but carries significant regulatory and interconnection risks that must be addressed before committing further capital. The following sections detail the findings of our initial desktop analysis.

1. Site Access & Topography

Road Access & Feasibility: The property has direct frontage on Renaissance Drive, a public road within a well-developed commercial office park. Access is excellent, situated less than a mile from major thoroughfares including Interstate 294 (Tri-State Tollway) and Touhy Avenue. This proximity to major transportation corridors is highly advantageous for equipment delivery.

Terrain Characteristics: As is typical for the Chicagoland area, the site appears to be exceptionally flat with minimal grade. This will significantly simplify civil engineering and construction, reducing site preparation costs and eliminating the need for extensive grading.

Heavy Equipment Access: The existing road network is designed to commercial standards and can readily accommodate oversized and overweight loads, including delivery of BESS containers, step-up transformers, and heavy cranes required for installation. No immediate physical barriers to access are apparent from aerial imagery.

Easement Concerns: While access appears to be directly from a public right-of-way, a full title report is required to identify any potential access easements, utility easements, or restrictive covenants that could encumber the property and limit the developable area. This requires verification. There is a notable discrepancy between the listed 35.02 acres and the Regrid parcel data of 2.97 acres. This must be clarified immediately via a title search and survey, as it fundamentally impacts the project's viability and scale. Our analysis proceeds assuming the more conservative 2.97-acre parcel size.

2. Environmental Constraints

FEMA Flood Zone: The FEMA flood zone designation is currently unknown. This is a critical data gap. A review of FEMA's Flood Insurance Rate Maps (FIRMs) is an immediate next step. If the site is located within a Special Flood Hazard Area (e.g., Zone A or AE), development costs could increase substantially due to requirements for elevating equipment above the Base Flood Elevation, or the site could be rendered undevelopable.

Wetlands: The presence of jurisdictional wetlands is unknown. A desktop review using the National Wetlands Inventory (NWI) is required as a first screen. Given the developed nature of the surrounding area, the risk may be low, but any presence of wetlands would trigger significant setback requirements from the U.S. Army Corps of Engineers and Illinois EPA, potentially constraining the site layout. A formal wetland delineation may be necessary.

Critical Habitat / Endangered Species: The provided data indicates no critical habitat or protected areas on or immediately adjacent to the site. A query of the USFWS IPaC database should be run for formal confirmation, but this is considered a low-risk item.

Brownfield/Superfund Status: There is one Superfund/Brownfield site located within a two-mile radius. While the subject property itself is not a listed site, the IRA definition of a "brownfield site" is broad. A Phase I Environmental Site Assessment (ESA) is strongly recommended. The ESA would determine if historical activities on or near the parcel have resulted in potential contamination. If so, this could be a strategic advantage, potentially qualifying the project for the 10% IRA Brownfield ITC adder. This turns a potential liability into a significant financial upside.

Pipeline Proximity: No major gas transmission pipelines are identified within a three-mile radius, which is a significant positive. This mitigates risks related to pipeline-specific safety setbacks, explosion hazards, and coordination with pipeline operators.

3. Grid Infrastructure & Interconnection

Nearest Substation & Feeder: This is the most critical