Entry by JoeDerhake
Entry
Industrial properties are expected to be a hot sector in 2013 – in part due to the increase in eCommerce and the resulting need for warehousing facilities near transportation hubs to handle the distribution of goods purchased online.
My colleague Jay Grenfell recently wrote a blog on industrial properties and environmental risk, including some hot button items to look for during the Phase I Environmental Site Assessment.
One important point he makes to consider regarding newer or perceived “lower risk” distribution facilities:
“Although the demand is for new high tech distribution facilities capable of handling modern transportation and distribution requirements, it is common for newer distribution facilities to be constructed on sites with a history of industrial use. Understanding the historical use of the property with respect to environmental risk is accomplished through a Phase I Environmental Site Assessment, which identifies historical tenant operations and includes a review of regulatory agency records to further assess former operations and identify potential issues.”
Another important consideration during a Phase I Environmental Site Assessment on industrial property is whether any environmental liens or activity and use limitations may be present, as liens and use limitations are more common with industrial properties.
Check out Jay’s full blog here: “Industrial Properties and Environmental Risk.”
Keywords
Phase I Environmental Site Assessment, Phase I ESA, industrial property, distribution facilities, environmental risk
