Phase I

Environmental Site Assessment (ESA)

A Phase I is prepared to assess the environmental condition of a subject property typically for a financial for a financial transaction.  In short the Phase I looks for potential environmental issues associated with the property as environmental contamination can be costly to address and can devalue the property.  

A Phase I is not going to be an exhaustive evaluation of neighboring site, although it encompasses a 1/2 mike radios around the target site to look for properties that could impact the property.  For example you might want to know that the adjacent property is contaminated and its not being cleaned up, that could be an issue for the property you are buying especially if you feel you might want to purchase adjoining properties.

Phase I Scope of Services

 As environmental consultants, we do not make up what a Phase I includes, rather we follow guidelines (ASTM standards) which tend to get updated (read stricter) every so many years) 

A Phase I will follow ASTM standards and the intent of ASTM E1527-21 is to assess the environmental condition of the Property utilizing the All Appropriate Inquiry (AAI).

AAI is defined as inquiry into the previous ownership and use of the Subject Property consistent with good commercial or customary practice as defined by CERCLA 42 U.S.C. §9601(35) (B).   This reads, did the property have operations that could have impacted the property on an environmental basis.  Were chemical accidently or intentionally dumped on the property?  Remember what we call pollution is what old timers calls The Way We Did Things.  Yep pollution was legal before environmental regulations.

Fact:  Some properties had oil dumped on the ground to keep the dust down.

According to ASTM E1527-21, non-scope considerations that a consultant may want to assess in connection with commercial real estate and to which no implication is intended as to the relative importance of inquiry into such non-scope considerations consist of: asbestos-containing building materials; radon; lead-based paint; lead-in-drinking water; wetlands’ regulatory compliance; cultural and historic resources; industrial hygiene; health and safety; ecological resources; endangered species; indoor air quality; biological agents; and mold. Curren will address non-scope some non-scope items as determined applicable to the environmental condition of the Subject Property.

The ASTM standard has been updated over the years, but current Phase I ESA's should be prepared in accordance with ASTM E1527-21 and the Scope of Work should generally include the following:

• Review of available documentation provided by involved parties as well as a review of historical information from a variety of sources which were readily available (i.e., historical aerial photographs, city directories, historical insurance maps, discussions with knowledgeable people, etc.). The obvious use of the Subject Property shall be defined from the present, back to the Subject Property’s first developed use, or back to 1940, whichever is earlier. If the specific use of the Subject Property appears unchanged over a period longer than five years, then it is not required to research the use during that period.

• Review of adjacent property uses only to the extent that this information is revealed in the course of researching the Subject Property itself. The identification of adjacent properties will be identified to a distance determined at the discretion of the environmental professional.

• Review of an environmental database, plotted in accordance with ASTM standards which is defined by the appropriate minimum search distance determined from the outside of the Subject Property measured from the nearest Subject Property boundary, which includes a delineation of both plottable and unplottable sites with associated environmental considerations.

• Review of readily available local, State and Federal information sources for indications of potential recognizable environmental conditions relative to the Subject Property.

• Interviews with past and present owners and occupants of the Subject Property. The interview of past owners, operators, and occupants of the Subject Property who are likely to have material information regarding the potential for contamination at the Subject Property shall be conducted to the extent that they have been identified and that the information likely to be obtained is not duplicative of information already obtained from other sources.
  
• Reconnaissance of the Subject Property and surrounding area to visually identify areas considered to be recognized environmental conditions.

So to be frank a Phase I covers a broad range of items for an objective and thorough evaluation of a property.

AND a Phase Ican lead to testing, which can lead to finding problems, which require cleanup and cost money.

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1. REPORT LIMITATIONS AND DATA GAPS

The preparation of this report has been limited to identifying Recognized Environmental Conditions which are defined under ASTM E1527-21 as “the presence or the likely presence of any hazardous substances or petroleum products on a Property under conditions that indicate an existing release, a past release, or a material threat of a release of any hazardous substances or petroleum products into structures on the Property or into the ground, groundwater, or surface water of the Property. Recognized Environmental Conditions are not intended to include de minimis conditions that generally do not present a material risk of harm to public health or the environment and that generally would not be the subject of enforcement action if brought to the attention of appropriate governmental agencies.”

Curren did not independently perform additional investigative assessment outside of the agreed upon Scope of Work and has not independently verified through sampling or analysis, unless noted, the environmental condition of ground, groundwater, surface water, air or other.

Curren represents that the services were performed in a manner consistent with that level of care and skill ordinarily exercised by environmental consultants under similar circumstances. No other representations to Client, express or implied, and no warranty or guarantee is included or intended in this agreement, or in any report, document, or otherwise.

Curren believes that the information provided in this report is reliable. However, Curren cannot warrant or guarantee that the information provided by others is complete or accurate. No other warranties or guarantees are implied or expressed.

On whole, no significant limitations or data gaps were determined through the preparation of this report.