Environmental Due Diligence With Trustee's Sales

[Nic DeAngelo]

Hi BP Nation!

It's been a while. I hope you are all doing well :)

I work with a company that buys mid to large size commercial properties at trustee's sales across California. Because we have so many deals that are coming down the pipeline, and because a very small percentage of deals make it through the strict criteria we have, and even fewer go to sale, we can't get a full report for each property we're researching.

Are there any online resources for historical environmental issues with properties or any possibly hazardous additions like new underground tanks etc? Are there any that would cover Industrial, Retail, Apartments, and Office? Any others you would recommend?

I've been using GeoTracker (which is a great resource by the way!) but it is limited primarily to water issues.

I searched the forums and blogs and found limited information on this subject, and with the specific guidelines of due diligence for a Trustee's Sale, I haven't found anything applicable.

Thanks :) Any help appreciated!!

[Bill Gulley]

ARe you looking for environmental impact studies as a buyer for properties not identified as specific risks? Say on a corner lot where an old dry cleaners was torn down and an appartment building was built? An how far back do you have to go? I kinda wonder if you're in a corporate plant, if the player at the top making such requests understands the levels and time frames of concern vs the customary amount of due diligence. Sounds like it's bogging you down assessing issues that may be set aside pretty quickly with a few phone calls.

While there are specialty companies with engineering, for known risks, I usually get the title work and ask for previous owners for 10 years. If it's a company I never heard of then a search at the Sec. of State is in order can tell you the business they were in.

If you are getting appraisals I assume you are asking the appraiser to mention suspected issues that are obvious and applicable to use. Much can be gained through local knowledge.

I can see where dealing at a distance, in another state, would be frustrating. Especially with reo/s with limited disclosures.