How to Choose the Right Environmental Due Diligence

Knowledge, Experience and Solutions to Manage Environmental Risks

For many bankers, hedge fund managers and financial analysts, choosing the right environmental due diligence can be challenging. Most have heard of Phase Is, Transaction Screens, Database Reports and Desktop Reviews (Environmental Roadmaps) but few intuitively understand when to use each. Some institutions use a matrix or policy that drive decision making and others look to us for guidance. 

We don’t offer one-size-fits-all due diligence and we don’t push specific products. 

We provide just the right amount of information for each transaction so that our client can make an informed business decision.

Our managers all have over 30 years of experience which means we have and can assess real estate “everywhere.” Once we understand your need for due diligence (lending, buying, selling, service) and seeing what documentation you have, we recommend the right level of research to get you the information you need to make an informed business decision.

Bell Oldow Environmental RoadMap
When evaluating properties, you need a fast, reliable recommendation for existing and potential environmental liabilities. Our team provides clients the Bell Oldow Environmental RoadMap. The Roadmap is an easy-to-read, straight to the point report that includes a color-coded risk rating schedule which facilitates decision making when considering lending, loan purchases or workout. 

To help our clients learn about these products and when to use them we ask the following questions: 

  1. Why do they think they need diligence?
  2. What decisions will they be making based on diligence?
  3. What is their timeline?
  4. What is their cost budget?

Depending on their answers, which vary greatly from client to client, we offer suggestions that may look like the following: 

  1. Originating and forbearing
    Environmental Roadmap (mirrors a Phase I without the site visit and interviews)
  2. Foreclosure
    Sometimes this is two steps. Environmental Roadmap early in the process to understand fundamental risk followed by a Phase I to be more comprehensive and gain some regulatory protection.
  3. Loan purchase
    Environmental Roadmap either as a stand alone or in a spreadsheet when reviewing portfolios.

Good due diligence comes from good communication. Contact us for your environmental due diligence needs.