Our Projects
Environmental Due Diligence – National Industrial Portfolio
Issue
Enpoint was engaged to conduct an independent review, as part of an environmental due diligence (EDD) process, of environmental site assessments and other relevant environmental documentation to support a potential acquisition of a portfolio of three industrial sites located in Western Australia, Queensland and Victoria.
Enpoint Solution
The focus of the EDD review was on the following elements:
- The key risks and liabilities present at the Sites
- Commercial implications of the key risks and liabilities
- Potential legal implications of identified risks and liabilities
Specifically, Enpoint’s objective of the EDD review were to achieve the following:
- conduct a review of the previous environmental investigations conducted at each of the sites to establish known or potential sources of material soil, groundwater and/or surface water contamination or other environmental issues;
- identify any non-compliances with relevant state or national legislation;
- establish the presence of any environmental liabilities which could:
- result in a statutory or third party liability;
- affect the health and safety of site occupiers;
- affect the structural integrity of the Site buildings and infrastructure; or
- result in any other significant capital or revenue expenditure requirements;
- identify potential or actual environmental liabilities / costs associated with the operations that could significantly affect the value, redevelopment and/or saleability of the Sites going forward; and
- identify additional environmental management measures that should be undertaken at the Sites to minimise the potential for future contamination.
Outcomes
Based on the outcomes of Enpoint’s EDD review, the client proceeded with the acquisition of the entire industrial portfolio. The client leases the sites back to the vendor, who continue to operate at these sites. Enpoint was also involved in advising on appropriate clauses be incorporated into the lease documentation for the sites to safeguard the client from future further potential environmental liabilities.
Enpoint currently conduct ongoing monitoring at these sites on behalf of the client to compare against the established soil and groundwater quality baseline condition.
