⚡ 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 O'Hare" - 1480 Renaissance Dr, Park Ridge, IL 60068

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 site presents a mixed profile, featuring a valuable IRA incentive and excellent location but significant risks related to grid interconnection and local permitting.

1. Site Access & Topography

Road Access & Equipment Delivery: Access to the site is excellent. The property is located in a modern office park directly fronting Renaissance Drive, a wide, paved public road. It is situated less than a mile from Interstate 294, a major regional transportation corridor. This provides a clear and straightforward route for the delivery of all necessary equipment, including heavy-haul items like transformers, switchgear, and containerized battery systems. No significant road upgrades are anticipated.

Terrain & Topography: As is typical for the Chicago metropolitan area, the site is exceptionally flat with minimal grade change. Based on aerial imagery, the proposed development area appears to be a paved surface parking lot associated with the existing multi-story office building. This is highly advantageous, as it will significantly reduce the need for extensive civil work, grading, and site preparation, lowering overall construction costs.

Heavy Equipment Feasibility: The existing infrastructure of the office park, designed to handle commercial truck traffic, is well-suited for construction. Cranes for setting the transformer and battery enclosures can be easily staged on the existing pavement. The primary logistical challenge will be coordinating construction activities to minimize disruption to the existing office tenants and neighboring businesses.

Easement Concerns: Requires Verification. As a developed commercial parcel, the property is certainly encumbered by existing utility easements (power, water, sewer, communications). A full ALTA survey and title report are required to identify the location and nature of these easements. Any easements crossing the potential BESS footprint could sterilize land or require costly utility relocations, representing a key buildability risk.

2. Environmental Constraints

FEMA Flood Zone: Requires Verification. The FEMA flood zone designation is currently unknown and represents a critical data gap. A desktop review using the FEMA Map Service Center must be conducted immediately. Given the developed, urbanized nature of the area, the site is likely in Zone X (area of minimal flood hazard). However, if any portion of the buildable area falls within a Special Flood Hazard Area (e.g., Zone A or AE), it would necessitate raising all equipment above the Base Flood Elevation, adding significant cost and potentially rendering the project non-viable.

Wetlands: Requires Verification. The presence of jurisdictional wetlands is unknown. While unlikely on a paved parking lot, a desktop screening using the National Wetlands Inventory (NWI) is a necessary first step. If the screening indicates potential wetlands on or near the parcel, a formal wetland delineation would be required, which could trigger significant setbacks (e.g., 50-100 feet) and reduce the buildable area.

Critical Habitat / Endangered Species: The data indicates no critical habitat or protected areas on or near the site. This is a significant de-risking factor, eliminating concerns related to the Endangered Species Act that can cause lengthy project delays and require costly mitigation.

Brownfield/Superfund Status: The subject parcel is not a listed brownfield. While there is a Superfund site within two miles, it is unlikely to impact this property. This means the project is not eligible for the 10% IRA brownfield tax credit adder. A Phase I Environmental Site Assessment (ESA) is still recommended to confirm no historical contamination exists from on-site or off-site sources.

Pipeline Proximity: No gas transmission pipelines are located within three miles of the site. This is a major safety and permitting advantage, as it avoids complex setback requirements and safety studies often required by pipeline operators and local authorities.

3. Grid Infrastructure & Interconnection

Nearest Substation & POI: Requires Verification. This is the