What Are Environmental Site Assessment And Its Two Phases?

When buying a commercial property, there are certain things that a person needs to research. You are spending thousands of dollars on a property. In that case, it is essential to get acknowledged all the facts about real estate.

However, part of this diligence results in the nationwide appraisal management of a property. For example, if someone is lending money, the lenders will most probably require an environmental site assessment.

And even if you are paying in cash, it is also essential to go through all the measures to protect yourself from any issues within the real estate. However, what is environmental site assessment, and how it protects you? To find out, here is a guide for you.

What is environmental assessment?

Usually, commercial properties are subject to affecting the surrounding areas. The presence might change the landscape and even impact the ecosystem. Moreover, there are chances that the properties might actively damage the surrounding areas by releasing contaminated waste.

In that scenario, an environmental assessment will let a buyer or investor know about the property and its condition. As a result, it is crucial to go through an environmental site assessment.

The process takes place in two phases.

Phase 1

This phase includes all the visual inspection and paperwork. The professionals will look at records, usage, and other data to determine commercial real estate's impact on the environment. However, in Phase 1, there are certain things included-

• The investigators will review the records or any other activity within the building that results in environmental contamination.

• Government officials will interview past real estate owners, occupants, and operators.

• A visual inspection of the property is carried out and compared with the current property plan.

• A visual inspection of any properties that join the subject building

Phase 2

If the report shows contamination, then investigators move towards Phase 2. In this face, the property is examined physically. However, this phase involves-

• Taking water and soil samples to test the contamination on the property.

• Comparing the lab results with state, local, and federal regulations

• Finding whether the building has any issues like radon, lead paint, mold, or anything else.

Through Phases 1 and 2, a buyer or investor can quickly determine whether the commercial real estate is worth the value and what issues are present in the property. It will give you peace of mind and ensure that an investor is making the best deal.