⚡ 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)

FINAL RECOMMENDATION: MAYBE

This document provides a comprehensive due diligence analysis for the subject property for the potential development of a distribution-scale (≤5MW) Battery Energy Storage System (BESS). The analysis reveals significant challenges, primarily related to grid interconnection and restrictive zoning, which temper the benefits of its location and available incentives. The project carries a high degree of uncertainty and risk, warranting a cautious, phased approach to further diligence.

1. Site Access & Topography

The subject property is located within a well-developed commercial office park in Park Ridge, a suburb of Chicago. Access appears to be excellent. The site has direct frontage on Renaissance Drive, a paved, public road, which connects to major thoroughfares like South Dee Road and US-14 (Dempster Street). This existing infrastructure is well-suited for construction traffic and routine operations.

Based on aerial imagery and regional geographic data, the topography is expected to be flat, which is characteristic of the Chicagoland area. This is highly advantageous, as it will minimize the need for extensive civil work and grading, thereby reducing site preparation costs. The existing road network within the office park is designed to accommodate large delivery trucks, suggesting that the delivery of heavy equipment, such as battery containers, inverters, and the main power transformer, will be feasible without major road modifications. However, a formal route survey should be conducted prior to equipment procurement. A significant concern is a major discrepancy in the listed parcel size: one source indicates 35.02 acres, while another, more specific source (Regrid) lists 2.97 acres. The 2.97-acre size is more consistent with the APN's visual footprint and would be very tight for a 5MW system after accounting for setbacks and access roads. This must be clarified immediately. No access easement concerns are immediately apparent, as the parcel appears to have direct public road frontage, but a title report is required to confirm this and identify any restrictive covenants associated with the office park.

2. Environmental Constraints

The environmental profile of the site presents several critical unknowns that must be addressed. Both the FEMA Flood Zone and Wetlands status are currently listed as "Unknown." These are critical-path diligence items. Any presence of a Special Flood Hazard Area (e.g., Zone A, AE) would necessitate elevating all critical equipment above the Base Flood Elevation, adding significant cost and complexity. Similarly, the presence of jurisdictional wetlands would trigger setback requirements and potentially require permits from the U.S. Army Corps of Engineers, which can be a lengthy and uncertain process. A desktop screening using FEMA and National Wetlands Inventory (NWI) maps is the immediate next step.

On a positive note, the site has no identified critical habitats or protected areas, and no pipelines are located within a 3-mile radius, which significantly de-risks the project from a safety and wildlife impact perspective. The data indicates one Superfund site is located within two miles of the parcel. While this proximity warrants a Phase I Environmental Site Assessment (ESA) to rule out any potential contaminant migration, the subject property itself is not identified as a brownfield. This is a double-edged sword: it lowers the risk of on-site contamination but