22062_Smokey Hollow 2_DM_20190809

DECISION MEMORANDUM
DATE: August 9, 2019
FROM: Sharon Eckard, PG
TO: BF Assessment File
RE: Smokey Hollow 2
Former addresses 413 N. Harrington Street, and
0, 506, 516, 520 & 524 N. West Street
Raleigh, Wake County
Brownfields Project #22062-18-092
Based on the following information, it has been determined that the above
referenced site, whose intended use is for no uses other than as office, retail, high -density
residential, and associated recreational space and parking, and subject to DEQ's prior
written approval, other commercial uses.
Introduction:
The Brownfields Property was formerly comprised of six parcels totaling 3.57 acres.
Parcels 1 through 6 had been assigned Parcel ID Nos. 1704512292,1704511285,
1704512404, 1704511469, 1704511562, and 1704512525, and the addresses 413 N.
Harrington Street, 506 N. West Street, 516 N. West Street, 520 N. West Street, 0 N. West
Street, and 524 N. West Street, respectively. As the result of a recombination of these
parcels effective June 3, 2019, the Brownfields Property consists of two parcels totaling
3.47 acres and has been assigned Parcel ID Nos. 1704512232 and 1704513421, and the
addresses 500 N. West Street, and 421 N. Harrington Street, respectively. The
recombination also included minor corrections and the transfer of approximately 0.08
acres from these parcels to the N. West Street and N. Harrington Street public right-of-
ways.
In addition, the original Parcel lwas formerly comprised of three parcels with the
addresses 413, 441, & 447 N. Harrington Street. That portion of the Brownfields
Property is subject to a prior Brownfields Agreement (BF Project No. 20031-16-092),
which was recorded on January 6, 2017 (Wake County Registry of Deeds, Book 016661,
Page 01312). This Brownfields Agreement supersedes the original Brownfields
Agreement for Parcel 1 (413 N. Harrington Street) previously recorded in 2017 as
referenced above (Brownfields Project No. 20031-16-092), and replaces those land use
restrictions respective to these parcels with those provided in paragraph 15 of the
Brownfields Agreement for this property.
It is the intent of DEQ and the co-PDs that the execution and recordation of this
Agreement between DEQ and the co-PDs shall not in any way impact any other person's
existing liability protection under the Brownfields Property Reuse Act and previously
entered Brownfields Agreements. Specifically, this Agreement shall not alter the existing

liability protection of any applicable person identified in Section 130A-310.33 of the
Brownfields Property Reuse Act as provided by the respective agreement attached as
Exhibit A to the Harrington Street Notice of Brownfields Property that was originally
recorded on January 6, 2017 at the Wake County Registry of Deeds (Book 016661, Page
01312). Under that Notice of Brownfields Property, Land Use Restriction No. 2, which
required that development activities be conducted under a DEQ-approved Environmental
Management Plan (EMP), has been complied with for grading and other work done on
the Brownfields Property prior to the effective date of this agreement.
Redevelopment Plans:
The Prospective Developer is comprised of four entities, each controlled by the
management, and operating as co -Prospective Developers (co-PDs) with joint and several
liability. The co -Prospective Developers are WK Smokey Hollow, LLC, WK Smokey
Hollow 2, LLC, WK Smokey Hollow 3, LLC, and WK Smokey Hollow 4, LLC; these
entities are each manager -managed limited liability corporations registered in North
Carolina on January 8, 2016, December 8, 2017, March 26, 2018, and June 28, 2018,
respectively. The principal address of the co-PDs is 4321 Lassiter at North Hills, Suite
250, Raleigh, North Carolina, 27609. WK Smokey Hollow, LLC, WK Smokey Hollow
2, LLC, WK Smokey Hollow 3, LLC, and WK Smokey Hollow 4, LLC are managed by
John M. Kane.
The co-PDs wish to redevelop the Brownfields Property for no uses other than office,
retail, high -density residential, and associated recreational space and parking, and subject
to DEQ's prior written approval, other commercial uses. Demolition of existing
structures commenced in March 2019 and the site is currently under construction.
Site History:
The Brownfields Property was initially developed as single family residences from at
least 1914 to 1959. Pigeon Branch Creek flowed north through the northwestern area of
this parcel before it was culvertized in the mid-1960s. Around 1965, as part of a
downtown Raleigh redevelopment initiative, the residences were razed. Incorporated into
historic deeds circa 1966 for these parcels were a number of restrictive covenants that
prohibited specific uses including manufacturing, disposal, or residential uses; however,
language in the deeds conveying these parcels from the Raleigh Redevelopment
Commission provided for the automatic termination of these restrictive covenants at
midnight, November 6, 1990. Hence, these restrictive covenants no longer apply. Since
that time the primary use has been office space and associated parking.
From the mid- 1960s through 2018, the primary uses of the Brownfields Property on the
various parcels had been office space, a fur storage facility, antique shop, and associated
surface parking. The original six parcels comprising the Brownfields Property and their
relationship to the two new parcels are summarized in the table below:
2

Former
New Parcel
New Parcel
New
Former
Former
Parcel ID
Former
Reference &
ID No.
Acreage2
Parcel
Address
Acreage
No.
Address
Lot 2-
413 N.
1'
Harrington
1704512292
2.17
421 N.
1704513421
0.95
Harrington
St.
St.
506 N.
2
1704511285
0.66
West St.
516 N.
3
1704512404
0.51
West St.
Lot 1-
520 N.
4
1704511469
0.04
500 N. West
1704512232
2.52
West
St.
5
1704511562
0.05
West St.
524 N.
6
1704512525
0.14
West St.
'Encompasses the past recombination of three parcels with the former addresses of 413,
437, & 441 N. Harrington Street that is subject to a prior Brownfields Agreement (BF
Project No. 20031-16-092), which was recorded on January 6, 2017 (Wake County
Registry of Deeds, Book 016661, Page 01312).
2The new acreage is less approximately 0.1 acres that was transferred to adjacent public
right-of-ways.
Summary of Environmental Conditions:
The Brownfields Property is situated in an area of Raleigh that moved from
predominantly residential to commercial uses in the 1960s. The Brownfields Property is
not listed on any regulatory environmental databases, except that a portion of the
Brownfields Property as noted above is a NC Brownfields Property. Several nearby and
neighboring properties are listed on regulatory databases.
Chemical use at the Brownfields Property was minimal given its use as residential or
office property; a printer service was located on one of the parcels for a time, but no
environmental concerns have been detected at the Property stemming from that use. Bulk
oil storage facilities and underground storage tank incidents are known within the area,
including hydraulically upgradient of the BF property.
Environmental investigations at the Brownfields Property consisted of soil, groundwater,
and/or vapor intrusion assessments conducted in 2004, 2013, 2015, 2016, and 2019. The
results of these investigations are discussed below. An EMP required by the original
BFA for the Harrington Street Brownfields Property addressed handling impacted soil or
unexpected conditions upon their discovery during construction for the entirety of the
Smokey Hollow 2 Brownfields Property.

Potential Receptors:
Potential receptors are construction workers, workers, residents, visitors, and trespassers.
Contaminated Media Summary:
DEQ has evaluated data collected from the following media at the subject property:
groundwater, soil, and soil vapor. DEQ relies on the following data to base its
conclusions regarding the subject property and its suitability for its intended reuse.
Soil
Although low concentrations of benzene, toluene, polynuclear aromatic hydrocarbons
(PAHs), and metals were detected in site soil, these concentrations did not exceed DWM
Residential Preliminary Soil Remedial Goals, except for arsenic concentrations which
ranged from 1.2 milligrams per kilogram (mg/kg) to 4.2 mg/kg, in excess of the
residential PSRG of 0.68 mg/kg.
Groundwater
Available groundwater results indicated one well location from 2015 with benzene (4.9
µg/L) and C5-C8 aliphatic petroleum hydrocarbons (2,400 µg/L) at temporary well
TMW-2 in excess of 2L standards of 1 µg/L and 400 µg/L, respectively. Groundwater
sampling conducted in 2019 indicated exceedances of cadmium, iron, and manganese
from groundwater samples TMW-1W, TMW-2W, & TMW-3W, although this could have
been related to improper development of the temporary wells prior to sampling.
Surface Water
There is no surface water at the Brownfields Property, although Pigeon House Branch
flows below a portion of the northwestern area of the site in a culvert.
Soil Vapor
Soil gas sampling was not originally conducted at the Harrington Street Brownfields
Property due to the limited VOCs in groundwater, and that for those contaminants
detected, the concentrations in groundwater did not exceed the applicable DWM Vapor
Intrusion Screening Levels (VISLs) to indicate soil vapor sampling.
Sub -Slab Vapor
Because new construction slated for the larger Brownfields Property contained several
elevator shafts, sub -slab vapor data were collected at a depth of about one (1) foot below
existing concrete slabs or below asphalt or concrete parking surfaces to evaluate the
potential for vapor intrusion in the elevator areas of the new construction and near offsite
sources of contamination. Several volatile organic compounds (VOCs) were detected
across the Brownfields Property; however, no VOCs exceeded established DWM VISLs;
only three VOCs, 1,3,-dichlorobenzene, ethanol, and trichlorofluoromethane, were
detected and reported in Exhibit 2, but they did not have established VISLs.
Indoor Air
Indoor air data were not collected due to the low concentrations of VOCs in site
groundwater and sub -slab data.
2

Risk Calculations
The available site data was entered into the DWM Risk Calculator (May 2019 version).
The results of the risk calculations are provided below:
Risk for Individual Pathways
Version Date: May 2019
Basis: May 2019 EPA RSL Table
Site ID: 22062-18-092
Exposure Unit ID: Site Wide
DIRECT CONTACT SOIL AND WATER CALCULATORS
Receptor
Pathway
Carc�skenic
Hazard Index
Risk exceeded?
Resident
Soil
8.6E-06
3.9E-01
NO
Groundwater Use*
2.8E-05
3.2E+01
YES
Non -Residential Worker
Soil
1.5E-06
5.6E-02
NO
Groundwater Use*
6.5E-06
7.3E+00
YES
Construction Worker
Soil
3.0E-07
4.9E-01
NO
Recreator/Trespasser
Soil
4.8E-06
1.3E-01
NO
Surface Water*
NC
NC
NC
VAPOR INTRUSION CALCULATORS
Receptor
Pathway
Carcinogenic
Risk
Hazard Index
Risk exceeded?
Resident
Groundwater to Indoor Air
6.9E-06
4.8E+02
YES
Soil Gas to Indoor Air
3.9E-07
2.2E-02
NO
Indoor Air
0.0E+00
0.0E+00
NO
Non -Residential Worker
Groundwater to Indoor Air
1.6E-06
1.2E+02
YES
Soil Gas to Indoor Air
3.0E-08
1.8E-03
NO
Indoor Air
0.0E+00
0.0E+00
NO
From the risk calculator's output, groundwater use for residential or non-residential
worker scenarios indicate an exceedance of the non cancer hazard index threshold of 1.0.
Soil exposures for residential, non-residential and construction worker also do not exceed
either an acceptable carcinogenic risk range nor the threshold non cancer risk hazard
index threshold of 1.0. Although groundwater to indoor air risk calculations exceed the
non cancer hazard index of 1.0 for both residential and non-residential exposure
scenarios, the soil gas to indoor air calculations indicate that an acceptable environmental
carcinogenic risk and the non cancer hazard index are not exceeded for either exposure
scenario.
Required Land Use Restrictions —
Land use restrictions will include the standard Environmental Management Plan,
groundwater, soil disturbance, and known contaminants LURs. Due to the low
concentrations of VOCs in onsite groundwater, and resulting risk calculator results, the
vapor mitigation system LUR is not included.
Based on the site -specific data provided to the Brownfield program, the site reuse is
suitable for the site as long as the agreed upon land use restrictions in the BFA are abided
by.
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