Real Estate Transaction Assessment

Phase I

The Blackshare Environmental Phase I ESA is conducted to meet ASTM standard for Phase I environmental site assessments and EPA's All Appropriate Inquiry (AAI) regulations. The scope includes a site reconnaissance, interview(s) with person(s) familiar with the property history, a review of historical records such as aerial photographs, and a review of regulatory agency environmental records and databases. The goal of a Phase I ESA is to identify Recognized Environmental Conditions (RECs).

RECs

A REC is defined in the ASTM standard as "the presence or 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 on into the ground, ground water, or surface water of the property". Examples of conditions that constitute RECs include containers of stored hazardous materials, evidence of underground storage tanks, transformers which could contain PCBs, stained soil, distressed vegetation, pits, signs of fill or areas where wastes may be buried, etc.
Many times the presence of a REC warrants further investigation (Site Investigation & Correction Action) to confirm or discount the presence of the material and quantify risk.

Phase II

If a REC is discovered during Phase I ESA (ie. evidence of underground storage tanks, etc.), it may be necessary to conduct additional investigation to determine if the REC warrants action. Phase II is usually intrusive in nature and will be recommended when a REC is discovered in Phase I ESA. Site characterization is a Phase II activity.

Phase III

Phase III is generally the activity necessary to address a REC and includes activities such as asbestos abatement, excavation of contaminated soil, remediation, etc. Phase III typically requires the development of a remedial action plan and design of a remedial system.

Supplemental Services

Services sometimes performed in conjunction with a Phase I ESA are:

• Limited asbestos survey
• Compliance review – when an on-going business is being purchased along with the real estate
• Baseline assessment – collection and analysis of samples to establish and document the environmental condition of the real estate for future liability protection
• Application to Voluntary Cleanup Programs – requires completion of baseline assessment and often used when known environmental issues exits.

AAI

AAI stands for “All Appropriate Inquiry”. In November, 2006 EPA's AAI regulation became effective. AAI expanded, among other things, the qualifications for who can conduct a Phase I ESA, interview requirements, data gaps, historical records searches, and the viable life of the report. ASTM is also accepted as a substitute. The Blackshare Environmental Phase I ESA exceeds all requirements of AAI.