Comprehensive Collateral Assessment for Multi-Million Dollar Commercial Mortgage Underwriting

Borrower Legal Entity Name

Borrower Entity Structure

Entity Registration/Incorporation Number

Primary Jurisdiction of Incorporation/Registration

Borrower Tax Identification Number

Registered Address of Borrower Entity

Primary Contact Person Full Name

Primary Contact Official Title

Primary Contact Direct Email

Primary Contact Direct Phone

UBO Full Name(s), Ownership Percentage(s), and Nationality

Are there any trusts, nominee arrangements, or intermediary entities in the ownership structure?

Provide full details of trust, nominee, or intermediary structure including trustees and beneficiaries:

Is the borrowing entity a special purpose vehicle (SPV) formed solely to own this property?

Is the SPV bankruptcy-remote with independent director requirements?

Describe SPV structure limitations and potential credit implications:

Property Street Address

Legal Description of Property

Parcel/Plot/Lot Identifier Number

Property Tax Identification Number

Latitude (Decimal Degrees)

Longitude (Decimal Degrees)

Property Type Classification

Total Land Area (Square Meters)

Total Building Gross Floor Area (Square Meters)

Year of Original Construction

Has the property undergone major renovations, expansions, or alterations?

Describe renovation scope, year(s) completed, cost, and permits obtained:

Current Ownership Interest Type

Current Property Owner Legal Name(s) (if different from borrower)

Is this a purchase transaction or refinance of existing debt?

Purchase Price

Current Outstanding Loan Balance to be Refinanced

Date of Property Acquisition (if purchase transaction)

Current Property Use and Occupancy Description

Are there any existing liens, encumbrances, or easements affecting the property?

Describe all liens, encumbrances, easements, and their priority:

Property Management Company Name (if applicable)

Appraisal Firm Legal Name

Certified Appraiser Name and Professional License/Credential Number

Appraisal Report Date

Appraisal Report Reference Number

Is the appraiser independent and without conflict of interest relative to borrower or lender?

Describe the nature of the conflict, materiality, and mitigation measures:

Valuation Approaches Utilized in Appraisal (select all that apply)

Appraised 'As-Is' Market Value

Appraised 'As-Stabilized' or 'Upon Completion' Value (if development/repositioning)

Land Value (as allocated in appraisal)

Improvements Value (as allocated in appraisal)

Value per Square Meter of Gross Building Area

Overall Capitalization Rate Applied (%)

Annual Net Operating Income (NOI) Utilized

Vacancy and Collection Loss Rate Assumed (%)

Income Approach - Operating Expense Breakdown

Comparable Sales Summary

Market Conditions and Trends Affecting Valuation

Overall Quality and Reliability of Appraisal Report

Does the appraisal identify any extraordinary assumptions or hypothetical conditions?

Describe each extraordinary assumption/hypothetical condition and potential impact on valuation reliability:

Highest and Best Use Analysis Summary

Are there any material factors that could negatively impact property value during the loan term?

Describe material factors, probability of occurrence, and potential magnitude of value impact:

Has a sensitivity analysis been performed on key valuation variables?

Describe sensitivity scenarios: cap rate expansion, rent decline, expense increase:

Environmental Consulting Firm Legal Name

Environmental Professional Name and Credential/Registration Number

Phase I ESA Report Date

ESA Report Reference Number

Does the Phase I ESA conform to recognized industry standard practice?

Explain deviations from standard practice and implications for reliance:

Summary of Historical Property Uses (past 50+ years)

Were any historical uses identified that are typically associated with environmental concerns?

Describe concerning historical uses, operational dates, and potential contaminants of concern (e.g., heavy metals, petroleum hydrocarbons, chlorinated solvents):

Does the ESA identify any Recognized Environmental Conditions (RECs)?

Describe each REC in detail including location, nature of contamination, source, extent, and potential impact on property value and marketability:

Are there any Controlled Recognized Environmental Conditions (CRECs) or Historical Recognized Environmental Conditions (HRECs)?

Describe each CREC/HREC, remediation status, institutional controls, and monitoring requirements:

Do adjacent or nearby properties have known or suspected environmental contamination?

Describe adjacent property contamination, distance/direction from subject, hydrogeologic connection, and potential vapor intrusion or groundwater migration risk:

Are there any active or closed landfills, waste disposal sites, or major industrial facilities within 1 kilometer?

Describe facility type, operational status, distance, and potential impact on subject property:

Which regulatory database categories were reviewed? (select all that apply)

Were any environmental violations, incidents, spills, or cleanup activities identified in database searches?

Describe each identified violation, incident, or cleanup activity including regulatory agency, date, status, and resolution:

Was physical evidence of contamination observed during site reconnaissance?

Describe observed evidence: stained soils, chemical odors, stressed vegetation, unauthorized dumps, drums or containers, sumps, floor drains:

Are there any above-ground or underground storage tanks (ASTs/USTs) on the property?

For each tank describe: type (AST/UST), contents, capacity, age, construction material, leak detection, spill containment, regulatory registration, and integrity assessment status:

Is asbestos-containing material (ACM) present in building materials based on survey?

Describe location, type, condition (friable/non-friable), quantity of ACM, and management plan including removal cost estimates:

Is lead-based paint (LBP) present in pre-1980 constructed buildings?

Describe LBP assessment results, location, condition, and management plan including abatement costs:

Are there any polychlorinated biphenyls (PCBs) in building materials or electrical equipment?

Describe PCB location (caulking, fluorescent ballasts, transformers), concentration, and disposal requirements:

Is mold, moisture intrusion, or water damage evident in the building?

Describe location, extent, type of mold, moisture source, health risks, and remediation scope/costs:

Is radon testing recommended or required based on geographic location and building characteristics?

Describe radon risk assessment and recommended testing protocol:

Are there any wetlands, floodplains, or water bodies on or adjacent to the property?

Describe wetland delineation, flood zone classification, setback requirements, and development restrictions:

Does the ESA recommend Phase II Subsurface Investigation (soil/groundwater testing)?

Describe recommended Phase II scope, number of sampling locations, analytical parameters, estimated cost range, and timeline:

Is there potential for vapor intrusion of subsurface contaminants into occupied buildings?

Describe vapor intrusion pathway, building foundation type, indoor air quality risks, and recommended assessment/mitigation:

Have environmental liens or activity use limitations (AULs) been recorded against the property?

Describe lien holder, amount, conditions, and subordination requirements:

Estimated Cost Range to Remediate Identified Environmental Concerns

Is environmental insurance or borrower indemnification available to address contamination risk?

Describe insurance coverage limits, exclusions, deductible, premium, and indemnification scope including lender as additional insured:

Overall Environmental Risk Rating for This Property

Zoning Authority/Jurisdiction Name

Current Zoning District Classification

Permitted Principal and Accessory Uses Under Current Zoning

Is the current property use permitted 'by-right' without special approvals?

What mechanism allows the current use?

Are there any active zoning violations, enforcement actions, or pending complaints?

Describe violations, enforcement actions, responsible agency, penalties, and resolution status with timeline:

Required Zoning Setbacks (Front, Rear, Side) in Meters

Do all existing structures comply with required setbacks?

Describe setback non-compliance, variance status, variance expiration, and enforceability risk:

Maximum Floor Area Ratio (FAR) Allowed by Zoning

Existing Floor Area Ratio (FAR) of Developed Property

Maximum Building Height Allowed (Meters)

Existing Building Height (Meters)

Minimum Parking Spaces Required by Zoning

Existing Parking Spaces Provided On-Site

Does parking supply comply with zoning requirements?

Describe parking deficiency, variance status, shared parking agreements, and impact on operations:

Is the property classified as a legal non-conforming use or structure?

Describe non-conforming status, amortization period (if any), expansion/reconstruction rights, and risk of loss of non-conforming use:

Building Code Edition Under Which Property Was Originally Constructed

Current Applicable Building Code Edition

Does the property have a valid Certificate of Occupancy for the current use?

Explain CO status, plans to obtain, temporary occupancy permits, and legal risk of operating without CO:

Are there any open, expired, or unresolved building permits?

List permit numbers, descriptions, issue date, status, and resolution plan with responsible party:

Has the property been cited for any building code violations or orders to remedy?

Describe violations, severity, issuing authority, correction deadline, and status of remediation:

Are fire suppression, alarm, and life safety systems compliant with current codes?

Describe system deficiencies, upgrade requirements, estimated costs, and timeline for compliance:

Does the property comply with accessibility standards for persons with disabilities?

Describe accessibility deficiencies (parking, ramps, door widths, restrooms), remediation scope, and estimated costs:

Does the property comply with current energy conservation codes and standards?

Describe energy code compliance, building envelope performance, HVAC efficiency, and any required upgrades:

Does the property have any green building or sustainability certifications?

Select all applicable certifications:

Are there planned renovations, expansions, or new developments requiring zoning approvals?

Describe planned changes, required approvals (rezoning, variances, special permits), application status, and timeline:

Overall Zoning and Code Compliance Risk Rating

Requested Loan Amount

Proposed Loan Amount as Percentage of 'As-Is' Appraised Value (LTV Ratio)

Loan-to-Value Ratio (LTV) Based on 'As-Is' Appraised Value (%)

Loan-to-Value Ratio (LTV) Based on 'As-Stabilized' Value (if applicable) (%)

Debt Service Coverage Ratio (DSCR) - Stabilized

Debt Yield (NOI divided by Loan Amount) (%)

Proposed Loan Term

Interest Rate Structure

Proposed Interest Rate or Spread over Index (%)

Risk Factor Assessment - Rate each risk dimension

Will environmental insurance be required as a condition precedent to loan closing?

Required Environmental Insurance Coverage Amount

Will borrower be required to provide environmental indemnification in loan documents?

Describe indemnification scope, survival period, cap limitations, and lender protection provisions:

Are there any material environmental conditions that could trigger loan default or require immediate remediation?

Describe conditions, default triggers, remediation timeline, and cost responsibility:

Will Phase II ESA be a condition precedent to loan funding or future funding tranches?

Describe Phase II scope, analytical parameters, acceptable results threshold, timeline, and cost responsibility:

Should environmental monitoring and reporting be required during loan term?

Describe monitoring frequency, parameters, reporting requirements, and responsible party:

Select all conditions precedent to initial loan closing:

Are there any post-closing or future advance conditions?

Describe conditions for future advances, release of holdbacks, or conversion to permanent financing:

Are there ongoing financial reporting or operational compliance monitoring requirements?

Describe monitoring: quarterly financial statements, occupancy reports, debt service coverage maintenance, capital expenditure tracking:

Key Risk Mitigation Strategies and Contingency Plans

Does this loan exceed single borrower or internal lending limit requiring Credit Committee or Board approval?

Approval Body Name and Approval Date

Are there any exceptions to bank policy or deviations from standard underwriting criteria?

Describe policy exceptions, justification, and compensating factors:

Special Conditions, Waivers, or Borrower Representations

Chief Credit Officer Full Legal Name

Chief Credit Officer Official Title

Sign-Off Date and Time

I attest that I have reviewed all due diligence materials and that all material risks have been identified and appropriately mitigated in the loan structure and approval conditions

I confirm that the independent appraisal and environmental assessment are reliable, current, and prepared by qualified professionals

I approve this loan recommendation as presented, subject to the conditions and covenants outlined above

I confirm that this loan complies with internal credit policy and regulatory requirements or that appropriate approvals for exceptions have been obtained

Chief Credit Officer Digital Signature

Additional Risk Management Comments or Recommendations