Environmental Due Diligence & Risk Management

Most of these environmental concerns and potential liabilities at a given site are unknown until a Phase 1 Environmental Site Assessment (ESA) is performed. Unfortunately, a Phase I ESA is typically driven by a property transaction and not by an expired lease. That does not mean an evaluation of your tenant’s hazardous material handling practices cannot be performed. This can be done quickly and in a cost-effective manner by having an Environmental Tenant Assessment performed. This assessment can be performed prior to leasing a space to a tenant in order to evaluate the environmental risks associated with that tenant and their operations or towards the end of a lease term prior to the tenant vacating the premises to evaluate what environmental liabilities have been left behind, if any. This will provide the valuable information you need to take control of your environmental liability.

An Environmental Tenant Assessment calls for an environmental assessment of the tenant, the leased property while the tenant occupies the space, and/or prior to the termination of the lease term in order to establish environmental conditions at the leased premises at specific points in time. This will evaluate the operations within the tenant space, the hazardous material and waste handling practices and indications of a release for which you could potentially be liable. The goal is to establish whether the operations of a tenant caused or contributed to any contamination of the property during the term of the lease.

Environmental Tenant Assessments can be customized to fit the needs of the client, a particular property or portfolio. Whether it is a 10,000 square foot office space or an entire real estate portfolio, Environmental Tenant Assessments provide property owners a low-cost, proactive approach for their risk management plan.