Redevelopment – Partners for Success

Contaminated Property Cleanup Through Redevelopment

Brown Dog Land Group, LLC a Vernon Environmental, Inc. affiliated company acquires, remediates, redevelops, and leases environmentally impaired and non-productive real properties. The Company recycles them into productive commercial use. “We return these properties into productive use to the benefit of our environment and our affected communities, thereby, striving to achieve our shared community and corporate values.”

Brown Dog Land Group LLC targets quality Brownfield properties with Construction partners in targeted markets across the Pacific Northwest. The company provides expertise in the structuring, acquisition and execution of Brownfield redevelopment projects to create successful transaction partnerships with owners of select properties. We recognize that each transaction holds its own unique characteristics and objectives.

Brown Dog Land Group LLC is able to draw upon regulatory, corporate, legal experience and political relationships, technical expertise, and insurance expertise to efficiently and profitably reposition Brownfield properties. Brown Dog Land Group LLC principals are among the most knowledgeable in the Brownfield redevelopment business. The company is dedicated to, “Making Our Communities a Better Place to Live.”

The Benefits of Brownfield Redevelopment

Brown Dog Land Group LLC offers owners of Brownfield property the ability to monetize non-performing assets, remove liability from the balance sheet, and exit from the non-core business of environmental remediation. For communities, sites that are cleaned up and returned to productive use generate new jobs, provide new tax revenues, stimulate economic growth and remove blight from the community. The redevelopment of a property uses existing infrastructure and saves development costs inherent in Greenfield development. Brownfield development also is in keeping with principles of smart growth and the trend toward urban renewal.

Mission Statement
Brown Dog Land Group LLC’s mission is to acquire, remediate and redevelop environmentally impaired real property, presently lying fallow due to adverse environmental conditions, into beneficial use. We will become successful in our mission by:
 

1. Contributing positively to our communities and the environment
2. Identifying business partners that embrace our community ideals
3. Striving to return contaminated properties back into productive    use
4. Performing acquisition, remediation, and redevelopment in a financially responsible manner

Redevelopment Process

The redevelopment process by Brown Dog Land Group LLC will typically include the following major elements:

· Initial Screening Analysis
Brown Dog Land Group LLC will complete an evaluation of key real estate fundamentals and environmental conditions in order to determine the highest and best use for redevelopment, identify key environmental and regulatory issues, and general project economics. Should the project meet company investment criteria, a Letter of Intent is submitted.

· Contract Negotiation and Due Diligence

Brown Dog Land Group LLC will negotiate a Development Agreement to acquire or lease the property in its “as-is” condition. General terms of the Agreement will include assumption of the obligation to complete site remediation and resolution of the environmental liability of the owner post closing. The remediation obligation and environmental liability is generally secured by a comprehensive environmental insurance program covering both the cleanup cost exposure and third-party liability claims.

Environmental matters to be completed during the due diligence period include collection of additional site data, negotiation of remedial objectives with the appropriate regulatory agency, confirmation of agency concurrence with remedial strategy, confirmation of financial assurance requirements, procurement of bids for a guaranteed fixed price remediation contract, and negotiation of binding quotations for environmental insurance.

· Post Closing Activities

Brown Dog Land Group LLC will oversee the remediation contractor’s completion of the cleanup to ensure compliance with the Agency-approved remedial action plan and conformance with the site development plan.

Brown Dog Land Group LLC will work in conjunction with our redevelopment partners and the local planning and zoning authorities to perfect entitlement as necessary.

Upon completion of remediation, Brown Dog Land Group LLC will secure regulatory confirmation of completion in the form of a No Further Action letter or similar regulatory closure document and the property will be developed.



Property Criteria

Brown Dog Land Group LLC is actively seeking new investment opportunities in current or former industrial, manufacturing, or commercial facilities and land in prime, land-constrained markets across the Pacific Northwest. We are targeting properties that meet the following guidelines:

· Geographic Focus

Properties should be located in prime land-constrained markets.

· Asset Class

Current or former industrial, manufacturing, or commercial facilities and raw land. Brown Dog Land Group LLC will complete facility closure and demolition activities as necessary. The redevelopment is a function of highest and best use and may vary from single family residential to industrial.

· Transaction Size

Minimum investments are $1 million to $20 million (inclusive of cleanup costs); however, Brown Dog Land Group LLC will consider transactions outside of this range that are compelling investments.

· Transaction Structure

General terms of the development agreement(s) will include Brown Dog Land Group LLC taking the property through a complete site remediation and resolution of the environmental liability for the owner post closing.

· Hold Period

Brown Dog Land Group LLC targets returns generated over a 1 to 3 year time horizon, with a substantial focus on generating a high multiple of capital. Brown Dog Land Group LLC will consider longer-term transactions that fit its overall investment strategy.

· Development Partners

Brown Dog Land Group LLC seeks to invest with “joint venture” development partners that have a proven track record in the target market and asset class.