⚡ 7950 BELLE AVE # A

Site Diligence Analysis: 7950 BELLE AVE # A, Wicomico, MD

As a senior BESS site evaluation analyst for Sunland America Corp, I have performed a comprehensive diligence analysis for the property located at 7950 BELLE AVE # A in Wicomico County, Maryland. This analysis focuses on the suitability of the 5.33-acre parcel for a distribution-scale (≤5MW) or utility-scale Battery Energy Storage System project.

1. Site Access & Topography

The property benefits from Public Road Access, which is a significant advantage for equipment delivery and ongoing operations. The fact that the POI (Point of Interconnection) is Onsite further simplifies the interconnection process by minimizing off-site infrastructure development. The provided data indicates "Buildability: Great" and "Buildable Acres: 5.29" out of 5.33 total acres. This suggests that the terrain is largely flat or gently sloping, requiring minimal grading and earthwork, which will reduce civil construction costs and timelines. Heavy equipment, including large transformers and battery containers, should have unhindered access to the site via the public road network. Given Wicomico County's generally flat topography, no significant topographical challenges are anticipated. There are no explicit mentions of access easement concerns, but this should be verified during a title review to ensure clear ingress/egress rights for construction and maintenance.

2. Environmental Constraints

Several critical environmental data points are currently Unknown, posing significant risks. The FEMA Flood Zone designation is unknown, which is a major gap. If the site is located within a 100-year floodplain (AE or VE zones), it would necessitate elevated equipment, extensive floodproofing measures, and potentially more stringent permitting, significantly increasing costs and project complexity. Similarly, the presence of Wetlands is unknown. Wetlands would trigger federal (USACE) and state (MDE) permitting, requiring extensive delineation, mitigation, and setback requirements, which could reduce the developable area and extend the permitting timeline. On the positive side, the site has no identified Critical Habitat or Endangered Species risk, which avoids complex biological assessments and potential project delays. There are no Brownfield/Superfund sites within ~2 miles, eliminating remediation costs and environmental liabilities, though it also means the project would not qualify for the IRA brownfield bonus adder. The property is not within the Chesapeake Bay Critical Area, which is a significant advantage as it avoids the highly restrictive development regulations and enhanced stormwater management requirements associated with that designation. Furthermore, there is no Pipeline Proximity within ~3 miles and no Gas Wells Nearby within ~2 miles, which eliminates major safety setback concerns and potential permitting hurdles related to hazardous materials.

3. Grid Infrastructure & Interconnection

The grid infrastructure for this site presents a strong opportunity. The Nearest Substation, Hebron, is only 0.819 miles away with a Max Voltage of 69 kV. This excellent proximity to a substation is highly favorable, minimizing the length of new interconnection lines and associated costs. The specified IX Voltage is 25 kV, indicating a distribution-level interconnection. For a distribution-scale project (≤5MW), connecting at 25 kV is the most logical and cost-effective approach, avoiding the complexities and higher costs of transmission-level interconnection. While a 138kV transmission line is 2.0 miles away (Delmarva Power), the existing 25 kV distribution infrastructure and close substation proximity make a distribution interconnection the clear recommendation. The interconnecting utility is likely Delmarva Power, given its presence in Wicomico County and the identified transmission line. Based on the short distance and distribution voltage, the interconnection cost range is estimated to be lower than average, potentially in the $500,000 - $1,500,000 range, depending on required upgrades at the substation and feeder. The timeline for distribution interconnection with Delmarva Power can typically range from 18 to 36 months, including studies, design, and construction, though this is highly dependent on the project's impact on the feeder and substation capacity. The specific feeder configuration is unknown and requires detailed study by Delmarva Power to assess available capacity and potential for backfeed.

4. Regulatory & Zoning Analysis

The regulatory and zoning landscape poses a significant challenge for this site. The Authority Having Jurisdiction (AHJ) is Wicomico County, MD, as the property is in an unincorporated area. The current Zoning is Residential - Single Family Residential (Code: ARR). This zoning is fundamentally incompatible with a utility-scale BESS project. While the "Land Use" is listed as "Battery Energy Storage," this likely represents the proposed use rather than the current legal zoning. Developing a BESS in an ARR zone will almost certainly require a rezoning application, a Conditional Use Permit (CUP), or a Special Exception. A rezoning to an industrial or commercial designation would be the most robust long-term solution but is also the most time-consuming and politically challenging. A CUP or Special Exception might be a more feasible permitting pathway if Wicomico County's zoning ordinance allows for utility infrastructure in residential zones under specific conditions. This will require extensive engagement with county planning staff and likely public hearings. Known setback requirements for BESS in this jurisdiction are unknown and must be immediately investigated, as these can significantly impact the developable footprint. There is no information on any moratorium or restriction risks, but this should be verified with the county planning department, especially given the residential zoning context which often leads to community opposition to industrial uses.

5. IRA/ITC Incentive Analysis

Based on the provided data, this site currently does not qualify for any of the significant IRA/ITC adders, which is a notable drawback for project economics. The property is explicitly designated as not an Opportunity Zone, eliminating the 10% ITC adder. It is also not an Energy Community, foregoing the additional 10% ITC adder. Furthermore, it does not qualify as a Low-Income Community, missing out on another potential 10% or 20% adder. Therefore, the potential cumulative ITC adder percentage based on current data is 0%. The project would still be eligible for the base ITC (6% or 30% depending on prevailing wage and apprenticeship requirements) and potentially the domestic content adder (10%) if applicable. However, the absence of location-based adders means the project will need to demonstrate strong standalone economics or rely heavily on other value streams to compete effectively.

6. BESS Score & Rationale

BESS Suitability Score: 45/100

• Location (15/20): Strong score due to public road access, onsite POI, and excellent buildability (5.29/5.33 acres). The location itself is physically suitable.
• Grid Access (20/25): Excellent score due to very close proximity (0.819 miles) to the Hebron substation and a suitable 25 kV interconnection voltage. This minimizes interconnection costs and complexity.
• Environmental (5/15): Low score due to critical unknowns regarding FEMA Flood Zone and Wetlands. While positive on critical habitat, pipelines, and Chesapeake Bay Critical Area, these unknowns represent significant unquantified risks that could severely impact project viability.
• Regulatory (3/15): Very low score due to the highly incompatible Residential - Single Family Residential (ARR) zoning. This is a major red flag that will require a complex and potentially lengthy rezoning or special permit process, with high risk of community opposition and denial.
• Incentives (0/15): Zero score as the site does not qualify for any of the location-based IRA/ITC adders (Opportunity Zone, Energy Community, Low-Income Community). This significantly impacts project economics.
• Buildability (2/10): While the site itself has "Great" buildability, the low score here reflects the overall challenges that might prevent building, rather than the physical characteristics of the land.

7. Key Risks & Mitigants

• Risk 1: Zoning Incompatibility (Residential - Single Family Residential).
  • Mitigant: Immediately engage Wicomico County Planning Department for a pre-application meeting to understand the specific permitting pathways (e.g., CUP, Special Exception, rezoning) and their feasibility. Develop a robust community outreach and engagement strategy early to address potential residential concerns. Explore alternative sites if the county's stance is unsupportive.
• Risk 2: Unknown Environmental Constraints (FEMA Flood Zone, Wetlands).
  • Mitigant: Conduct an immediate desktop environmental screen using GIS data (e.g., FEMA FIRM maps, NWI wetlands data) followed by a Phase I Environmental Site Assessment (ESA) and potential wetland delineation to accurately identify and quantify these risks. This will inform design and permitting strategies.
• Risk 3: Lack of IRA/ITC Location-Based Adders.
  • Mitigant: Re-evaluate project economics to ensure viability without these adders. Focus on optimizing other project costs (EPC, O&M) and securing favorable power purchase agreements (PPAs) or tolling agreements. Explore opportunities for domestic content adder if applicable.
• Risk 4: Utility Interconnection Queue Times and Costs.
  • Mitigant: Initiate a formal interconnection request with Delmarva Power as soon as possible to secure a queue position and obtain definitive study results (System Impact Study, Facilities Study). This will clarify the required upgrades and associated costs and timeline.

8. Recommended Next Steps

1. Verify Zoning & Permitting Pathway: Schedule an urgent pre-application meeting with Wicomico County Planning Department to discuss BESS compatibility with ARR zoning and identify the most viable permitting pathway (CUP, Special Exception, or rezoning). Understand specific setback requirements.
   • Estimated Timeline: 2-4 weeks
   • Go/No-Go Decision Point: If county indicates no viable pathway or excessive hurdles, consider a "NO GO."
2. Conduct Environmental Desktop & Phase I ESA: Immediately perform a desktop review for floodplains and wetlands using available GIS data, followed by commissioning a Phase I ESA. If wetlands are indicated, initiate a preliminary wetland delineation.
   • Estimated Timeline: 4-6 weeks
   • Go/No-Go Decision Point: Significant unmitigable flood or wetland impacts could lead to a "NO GO."
3. Initiate Utility Interconnection Request: Submit a formal interconnection application to Delmarva Power to secure a queue position and begin the study process (Feasibility Study, System Impact Study).
   • Estimated Timeline: 1-2 months for submission, studies can take 6-12+ months.
   • Go/No-Go Decision Point: Unacceptable interconnection costs or lengthy upgrade requirements could lead to a "NO GO."
4. Preliminary Site Layout & Engineering: Develop a conceptual site layout incorporating known constraints (e.g., setbacks, access)