Environmental Due Diligence
Due diligence is conducted by potential buyers of a certain asset, in order to ensure that the acquirer receives an asset as promised by the seller.
The due diligence includes serious financial and legal elements which are obviously conducted by experts in the field, however many assets pose a potential for complex environmental issues, and it is crucial that the acquirer is aware of these before investing funds into the asset.
One of the toughest environmental issues to treat is the state of ground contamination and the potential of ground water contamination at the plot on sale.
Ground can become contaminated as a result of activity done at the asset itself, or penetrate the complex from adjacent plots and even from further areas.
The pollution on its own creates an additional, hidden liability on the acquirer and may reduce the acquirer’s ability to use the plot or even risk altogether the development of the asset.
Our service offers a due diligence prior to the acquisition of assets for entrepreneurs, stakeholders, companies that finance projects and more, even if there is a slight doubt that there may be a hidden environmental issue or limitation on the asset.
The due diligence includes an evaluation of the ground contamination potential (“historic” test), and as required sampling and even suggesting a treatment plan or an evacuation plan; checking environmental limitations due to the planned activity on the asset; checking environmental limitations due to existing or planned activity in the areas adjacent to the asset; possible exposure to hazards such as noise, pollution sources, radioactive substances and more.
Our environmental team conducts due diligence on projects conducted in Israel; however we also have experience in various projects across the globe. In addition, we conduct due diligence for multinational companies considering the acquisition of assets in Israel.