Environmental Site Assessment Report

A Phase 1 Environmental Site Assessment report is the deliverable you receive at the end of the ESA process. It documents everything the environmental professional found during the records review, database search, site visit, and interviews, and provides a professional opinion on whether the property has Recognized Environmental Conditions.

The report is reviewed by your lender, attorney, and transaction team. Understanding what each section contains helps you evaluate the findings and make informed decisions about your property transaction.

Sections of a Phase 1 ESA Report

A Phase 1 ESA report prepared under ASTM E1527-21 includes the following sections:

Executive Summary

A concise overview of the assessment findings, including the property address, purpose of the report, key findings, and the environmental professional's overall conclusions. This is the section most lenders and attorneys read first.

Site Description

A detailed description of the property, including its current use, physical characteristics, size, topography, geology, hydrogeology, and surrounding land uses. This section establishes the context for evaluating environmental risk.

User-Provided Information

Information provided by the client (the "user" under ASTM terminology), including property records, surveys, prior reports, known environmental conditions, and reason for the assessment. ASTM E1527-21 requires specific questions to be asked of the user, and the responses are documented here.

Historical Records Review

The results of reviewing historical sources to understand past uses of the property and surrounding area. Sources include aerial photographs (typically reviewed from the 1940s or earliest available through the present), fire insurance maps (Sanborn maps), city directories, building permits, land title records, and other historical documents.

Regulatory Database Review

A summary of the regulatory database search results. The environmental professional reviews federal (EPA), state, tribal, and local environmental databases for records of contamination, underground storage tanks, hazardous waste generators, spills, enforcement actions, and other environmental records. The search covers the subject property and surrounding properties within distances specified by ASTM.

Site Reconnaissance

Observations from the physical site visit, conducted by the environmental professional. This section documents the condition of the property, any evidence of contamination (stained soil, chemical odors, drums, storage tanks, floor drains, electrical transformers), current operations, and adjacent property conditions visible from the site.

Interviews

A record of interviews conducted with current and past property owners, operators, occupants, and local government officials (fire department, health department, building department). The interviews seek information about past uses, chemical storage, spills, and any known environmental concerns.

Findings and Opinions

The core analytical section of the report. The environmental professional evaluates all information gathered and classifies findings into three categories defined by ASTM:

• Recognized Environmental Conditions (RECs). The presence or likely presence of hazardous substances or petroleum products in, on, or at the property due to a release or material threat of release.
• Controlled Recognized Environmental Conditions (CRECs). A past release that has been addressed but remains on the property subject to institutional or engineering controls.
• Historical Recognized Environmental Conditions (HRECs). A past release that has been addressed to the satisfaction of the regulatory authority and meets unrestricted use criteria.

Conclusions and Recommendations

The environmental professional's summary conclusions and any recommendations for further action. If no RECs are identified, the report states that the assessment revealed no evidence of recognized environmental conditions. If RECs are identified, the report may recommend a Phase 2 ESA or other further investigation.

Qualifications of the Environmental Professional

Documentation of the environmental professional's qualifications, including education, licensure, certifications, and relevant experience. Under ASTM E1527-21, the assessment must be conducted or supervised by a qualified environmental professional (typically a PE or PG).

Appendices and Supporting Documentation

Supporting materials referenced in the report, including regulatory database printouts, historical maps and aerial photographs, site photographs, interview records, and other documentation. The appendices often make up half or more of the total report length.

How Long Is a Phase 1 ESA Report?

A typical Phase 1 ESA report is 50 to 100+ pages. Straightforward properties with minimal history may produce shorter reports. Properties with extensive industrial history, numerous nearby contaminated sites, or complex ownership chains can generate reports of 150 pages or more.

The length of the report reflects the thoroughness of the investigation. A very short report (under 30 pages) may indicate that the assessment was not conducted to the full ASTM standard.

Who Can Rely on the Report?

Phase 1 ESA reports include "reliance language" that specifies who can rely on the report's findings. Typically, the report is prepared for the client who ordered it and may include additional named relying parties (such as the lender). Third parties not named in the reliance language cannot legally rely on the report's conclusions.

If your lender needs to be named as a relying party, make sure to specify this when ordering the Phase 1 ESA. Adding reliance for additional parties after the report is completed may require a supplemental letter or updated report.

Report Shelf Life

Under ASTM E1527-21, a Phase 1 ESA report is considered current for 180 days from the report date. After 180 days, certain components (database search, site visit, interviews) must be updated before the report can be relied upon for a transaction. After one year, a completely new Phase 1 ESA is generally required.

Lenders may impose stricter requirements. Some require the report to be less than 90 or 120 days old at closing. Confirm your lender's requirements before ordering.

What Happens After the Report

If the Phase 1 ESA report identifies no RECs, the property is cleared for the transaction from an environmental perspective. The report supports the buyer's innocent landowner defense under CERCLA.

If RECs are identified, the report will typically recommend further investigation. This usually means a Phase 2 ESA involving physical sampling of soil, groundwater, or soil vapor. The Phase 2 results will determine whether contamination exists and what remediation may be needed. For cost information, see our Phase 1 ESA cost guide.

Get Your Phase 1 ESA Report

ESAquotes connects you with environmental professionals who deliver comprehensive, ASTM E1527-21 compliant Phase 1 ESA reports. Submit your property details to receive quotes from qualified firms in your area.