Case Study · Real Estate Transactions·Buffalo, NY · 2024
A Buffalo commercial real estate buyer retains Phase I ESA on a Lovejoy parcel. Historical research reveals 1972-1996 dry cleaner operations + tetrachloroethylene (PCE) Recognized Environmental Condition. Phase II progression documents.
§
A commercial buyer under LOI on a Lovejoy neighborhood Buffalo NY mixed-use commercial parcel (formerly a 2-story retail building with 4 ground-floor commercial units) retained us for a Phase I ESA at the request of M&T Bank's commercial lending team. The buyer planned to convert the ground floor to a restaurant + brewery. The parcel had been continuously owned by the same family LLC since 1968. Current ownership had limited knowledge of pre-1990 tenant operations.
§
Per ASTM E1527-21: historical aerial photographs (1938, 1958, 1972, 1985, 1996); Sanborn fire insurance maps (1939, 1962, 1980); Polk city directory listings 1968-2024; Erie County tax records; NY DEC Spills Incident Database query (1.0 mile radius); EDR-style regulatory database screen; on-site reconnaissance; structured interview with the current property manager + the buyer's planned tenant operator.
§
Polk directory listings 1972-1996 documented 'Buffalo Quality Dry Cleaners' occupying the easternmost ground-floor unit. Sanborn 1980 map confirmed dry-cleaning machinery footprint. Tetrachloroethylene (PCE, also known as perchloroethylene) was the industry-standard solvent during this operational period. NY DEC Spills database showed no reported spill at this specific address. But PCE soil + groundwater contamination from prior dry cleaning operations is among the most common Recognized Environmental Conditions on Buffalo commercial parcels, with documented migration of PCE through floor drains into sub-slab soil.
§
We identified the former dry cleaner operation as a Recognized Environmental Condition (REC) under ASTM E1527-21 definitions. Recommended action: Phase II ESA subsurface sampling at the easternmost unit floor location, focused on PCE + its degradation products (trichloroethylene, dichloroethylene, vinyl chloride). The buyer's lender required Phase II progression before final loan approval.
§
Phase II scope: 3 soil borings to 12 feet below grade (one at the former dry cleaning machine footprint, two at perimeter); 2 monitoring wells installed for groundwater; soil gas sampling for vapor intrusion assessment of the planned restaurant kitchen above. Lab analysis via EPA Method 8260 (volatile organic compounds). Results: PCE detected at 4,200 µg/kg in the central soil boring (well above the NYSDEC TAGM 4046 unrestricted-use cleanup objective of 1,300 µg/kg); groundwater PCE at 18 µg/L (above the 5 µg/L Class GA standard); soil gas PCE confirmed but below the sub-slab vapor intrusion screening level for restaurant use.
Outcome
The buyer renegotiated the purchase price down by $48,000 to account for Phase III remediation cost (soil excavation + monitoring well system + NYSDEC closure documentation). Sale completed with documented Phase I + Phase II + planned Phase III in the closing file. M&T Bank funded the loan. The buyer's planned restaurant/brewery is currently in build-out with the remediation work scheduled to complete before TCO inspection.
— — Takeaway
Lovejoy, Black Rock, Fillmore-Leroy, and South Buffalo have high concentrations of historical dry-cleaner operations that don't appear on the NY DEC Spills database because no formal spill report was ever filed. Polk city directories + Sanborn fire insurance maps are the primary discovery tools for these unreported REC sources. Phase I work in Buffalo commercial parcels routinely uncovers REC patterns that the seller had no knowledge of.
Related
Same protocol applied across different scenarios. Browse the full archive or explore the real estate transactions hub.
Schedule · 48hr appointment
48-hour appointment window. 24-hour lab turnaround. Licensed inspectors, unmarked vehicles, statewide coverage in NY and PA.
