When purchasing a property, the ESA environmental assessment of the Phase 1 site is the first step in good due diligence and is highly recommended. It is important to stay away from costly and slow problems in the process. An ESA Phase 1 Environmental Site Assessment is the first step towards this goal accomplishment. Sometimes called a Preliminary Site Assessment or a Level 1 Environmental Site Assessment, the ESA is the first screening process carried out on a property to discover potential or existing environmental risks or environmental liabilities. The following are some of the benefits associated with a phase 1 ESA.
#1: Helps in determining if a property is still useful
In modern times, where each property is subject to serious environmental risks, a good ESA such as Ortam Group mold inspection can help in determining whether a property has been contaminated by past or ongoing activities. It is cheap insurance that makes a buyer purchase an asset knowing that there is no associated environmental liability.
#2: Buyer’s protection
It helps in protecting the buyer and limiting his liability by unveiling environmental concerns before buying the property.
#3: Helps creditors in determining environmental risk
Creditors also require an ESA because it helps them to find out if there are certain environmental risks that could affect the property value or the finances of the borrower. The ESA process includes an assessment of the physical improvements of a property and also the underlying land. By assessing the use of past and present properties, consulting different regulatory agencies, and the use of surrounding lands use, the environmental risk related with a property in question can be quantified and recommendations for further assessment can be made as needed.
#4: Brings the property’s history to light
Reviewing the property’s regulatory records traces its history and may reveal past occurrences of hazardous substances on or near the property that may have contaminated the site. A property, for instance, may be the recent location of a business without any type of environmental concern, but maybe, in previous years, it may have been an auto repair shop sitewhich must have allowed oil and other substances to spread into the soil and surrounding water sources.
#5: Proper interviews can be conducted
Interviews may also be conducted with tenants, former owners, and workers. After spending a large part of their time on the property, the quality experience of these individuals can be very valuable for any assessment, as they can also provide useful information on past and current use and the recent property state.