Environmental Due Diligence Checklist for Construction Lenders
Environmental Law Partner Dianne Phillips authored an article for "Construction Risk Management," published by the CLRM Journal, identifying important environmental topics to consider as a construction lender. Environmental due diligence is a familiar part of underwriting for most lenders, but it takes on added importance when construction loans are implicated, especially if the project involves demolition or renovation of structures. Unanticipated construction costs, delays and/or environmental enforcement arising from noncompliance have the potential to negatively impact a borrower’s project development and loan repayment. Ms. Phillips highlights categories to keep in mind to aid in underwriting due diligence.
READ: Environmental Due Diligence Checklist for Construction Lenders (p. 31-32)