A Transaction Screen Assessment, or TSA, is a type of environmental property assessment. It is essentially a scaled-back version of a Phase I Environmental Site Assessment (ESA). (Learn more about Phase I ESAs here.)
When are TSAs used?
TSAs are commonly used for residential, office, or undeveloped properties. These types of properties are generally expected to have a lower risk than properties with a history of onsite chemical storage or use, or properties in highly developed areas. TSAs adhere to ASTM Standard E1528-14 and are a way for prospective purchasers of commercial real estate to assess the environmental conditions of a property that is not expected to have environmental concerns (e.g., historically residential property).
What’s involved in a TSA?
A TSA includes a Transaction Screen Questionnaire, which is completed by the property owner, occupants (if applicable), and a site assessor. The questionnaire is intended to capture basic information related to potential environmental concerns at the property.
The TSA process also includes:
- A site visit
- Regulatory records review (if applicable)
- Interviews with owners and/or occupants
- A limited environmental database search
How is a TSA different from a Phase I ESA?
- TSAs have less extensive requirements for interviews, regulatory database searches, and surrounding area/offsite research.
- TSAs do not help the purchaser meet the requirements for All Appropriate Inquiries and do not position parties for the “landowner liability protections” under the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA).
- TSA reports are less lengthy than Phase I reports
- TSAs do not identify recognized environmental conditions (a term defined in the ASTM Phase I ESA Standard), but instead identify “potential environmental concerns.”
- TSAs require less effort and are less costly than Phase I ESAs.
EnSafe has extensive experience preparing TSAs for properties nationwide. Let one of our environmental due diligence experts help you determine whether a TSA may be the right approach for your next real estate acquisition. Whether that’s an individual property or a multi-site real estate portfolio, we love using our expertise and creative thinking to develop custom solutions for our clients.
Transaction Screen Assessments: What to Expect
Posted in Insights/Innovation.