This presentation was delivered at NADO's 2018 Annual Training Conference, held in Charlotte, NC on October 13-16. For more information, visit: https://www.nado.org/events/2018-annual-training-conference/
The Lender’s Perspective
NADO 2018 Annual Training Conference
October 13–16, 2018
Why Would Lenders Consider
Brownfields designation may help make financing
feasible for contaminated/abandoned/underutilized
properties in desirable locations.
Property value > Remediation costs.
Corporate citizenship - Redevelopment of
properties can help the community:
Do We Have Adequate
Information & Documentation?
Current Phase I Site Assessment
Copies of prior assessments; contamination fully
Copies of regulatory correspondence
Executed Brownfields Agreement or comparable
Voluntary Cleanup Program Agreement
Type, extent, and severity of contamination
Regulatory agency requirements
Approved remediation plans
Reliable estimates of costs and timing to
achieve compliance and obtain regulatory
Contingency plans for any issues
discovered during excavation,
Tools to Use
Brownfields Agreements / VCPs
Covenants Not to Sue / Release of Liability
Deed Restrictions / Activity & Use Limitations
Facilitating the Transaction
Discussions among stakeholders can
help achieve consensus and facilitate
Borrowers and Developers
Environmental Consultants and Engineers
The Bottom Line
Is there adequate information?
Is there an approved remediation
plan and schedule?
Does the deal make sense?