Property Transaction Environmental Assessments Services

We are sensitive to the scope and quality of work required with these projects, the accelerated time frames under which they must be completed, and the standard reporting criteria required by lending institutions. With a nationwide network of qualified assessors, Waterstone can respond to assignments of virtually any size in a timely and cost effective manner.

Single Property
A Phase I Environmental Assessment enables buyers, sellers, lenders, and insurers of real property to identify and calculate the potential costs associated with recognized environmental conditions (RECs). Waterstone has been recognized by major lending institutions to provide Phase I Environmental Assessments of the highest quality in compliance with All-Appropriate Inquiries (AAI) standard and American Society for Testing and Materials (ASTM) practice standard for Phase I Environmental Site Assessments (E1527-05). Waterstone conducts Phase I Environmental Assessments for a wide range of residential, commercial and industrial properties throughout the United States. Waterstone also performs site-specific assessments, such as lead in drinking water testing, asbestos surveys and lead based paint surveys, to complete any property transaction need.

Multi-Property
In some cases, regional or national transactions of multiple properties require the simultaneous performance of several Phase I Environmental Assessments. Waterstone has developed efficient database systems, inspection, and report completion procedures to conduct multi-property portfolio environmental assessments expeditiously while maintaining high quality and meeting the Phase I requirements. 

The following scope of work and all Subject Property inquiries will be conducted by an environmental professional or under the supervision of an environmental professional as defined by the USEPA’s AAI guidance.
Task 1.0 - Historical Review
The purpose of this task is to identify former activities conducted on the Subject Property that may have impacted the underlying soil or groundwater with hazardous materials. This task includes the following:

• An interview with the Subject Property past (if available) and present owners and operators.
• An interview with adjacent site owners, if the Subject Property appears to be abandoned.
• An inquiry into the presence or likely presence of hazardous materials and their ability to impact the Subject Property.
• A review of all obvious Subject Property land usage will be identified from first developed usage of the Subject Property (or back to 1940) to present-day.
• A review of historical aerial photographs for every decade or as far back in history that the Subject Property can be shown.
• A review of federal, state, local and tribal government records to identify past tenants and types of activities conducted on the Subject Property and general site vicinity.

Task 2.0 - Site Inspection
This task involves an inspection of the Subject Property to assess the potential for activities conducted on the property and adjacent properties to impact underlying soil or groundwater with hazardous materials. Waterstone will require a knowledgeable escort and access to all areas of the property. Waterstone will attempt to visually and/or physically inspect the currant usage of all adjoining properties.
Task 3.0 - Government Agency List Review
The purpose of this task is to review published government (federal, tribal, state, and local) agency databases within the AAI (and ASTM) determined radius to identify properties where a known or suspected release of hazardous materials has been reported. Waterstone subcontracts the database search task to EDR, Inc., which compiles information from agency databases and geo-codes the information into a traditional radius style report. Based on the information provided by the radius report, Waterstone will evaluate the potential impact to the subject site from the listed sites. If additional information regarding listed sites is required, Waterstone will conduct additional research at local oversight agencies (see Task 4.0).
Task 4.0 - Agency Research
The purpose of this task is to contact the appropriate regulatory agencies for additional information regarding hazardous materials use, storage and/or releases for the Subject Property and/or selected neighboring properties. This task includes the following:

Subject Site Agency Research
Contact appropriate local agencies to obtain information regarding hazardous materials that may be used, stored, or released on the Subject Property.
Neighboring Sites Agency Research
Identify and review available agency records for neighboring properties which, based on a review of government databases or visual observations made during the site inspection, may potentially impact the soil or groundwater at the Subject Property. If additional properties require agency research and/or the volume of agency materials associated with this task are deemed to be beyond the normal Phase I scope of work, the level of effort and an estimated additional cost will be discussed with the client prior to completing this task.
Information from agencies must frequently be requested in writing. Responses from the agencies may take from two to eight weeks; therefore, information from the agencies may not be received in time for inclusion in the assessment report or the report may be delayed. Relevant agency information received by Waterstone after the assessment report is issued will be included in an addendum letter. Reproductive fees for agency documents are based on the amount of relevant information available at the agencies and their copy costs. Additional cost and delay in the assessment report might occur if additional documentation is required due to data gaps.

Task 5.0 - Previous Document Review
If additional reports are provided to Waterstone for review, these reports will also be reviewed and discussed in the Phase I EA report.
Task 6.0 - Report
Upon completion of the assessment activities, Waterstone will prepare a Phase I EA Report for the Subject Property presenting the findings of the assessment. One original and two copies of the report will be submitted to the client. The report will present the findings of the environmental assessment.
The report will include the following:

• Summary of the observations noted during the site inspection of the Subject Property
• Summary of geologic and hydrogeologic conditions
• Results of the government database search
• Summary of local agency file reviews
• Discussion of environmental issues
• Discussion of a review of available previous environmental documents
• Conclusions and recommendations
• Appropriate figures and support documentation

OTHER AAI CONSIDERATIONS
Client Responsibilities
Waterstone notes and the client accepts that as the current or prospective landowner or grantee, the client is legally responsible for:

• Providing Waterstone with records regarding chemical use and/or releases where chemicals of concern include CERCLA hazardous substances, pollutants or contaminants; petroleum/petroleum products, and other controlled substances.
• Providing Waterstone with records of use limitations and documentation for all environmental cleanup liens;
• Providing Waterstone with any specialize knowledge or experience as the landowner or grantee;
• Providing Waterstone with an analysis of the purchase price to Fair Market Value, if property is uncontaminated; and
• Providing Waterstone with the results of inquiries about commonly known or ascertainable information regarding the Subject Property.

Time Frame
According to USEPA’s AAI guidance, this Phase I Environmental Assessment is only valid for a period of one year from the date of issuance given the following update requirements:

During the first six months - no update requirements exist;

• During the second six months at a minimum the following aspects of the Phase I EA must be updated:
  • Interviews
  • Search for environmental cleanup liens
  • Review of Government Records
  • Site Visit
  • Declaration and signature of environmental professionals.