17047 REEP LRC Project 1 Decision Memorandum 20200630

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BF# 17047-13-060/REEP-LRC Project 1
DECISION MEMORANDUM
DATE: June 30, 2020 FROM: Bill Schmithorst TO: Brownfields Agreement File
RE: REEP-LRC Project 1 1900 Continental Blvd. Charlotte, Mecklenburg County BF # 17047-13-060
Prospective Developer: LRC-Patriot, LLC Based on the following information, it has been determined that the above referenced Brownfields Property, whose intended use is for no uses other than industrial, warehousing, office, parking, and commercial can be made suitable for such uses.
Introduction: The Brownfields Property comprises two parcels (Parcel Nos. 20308305 and 20308306) totaling approximately 33.5 acres (Exhibit 1). The area to be included under the Brownfields agreement includes both parcels. There are no existing structures on the vacant Brownfields Property. The
Brownfields Property is bordered to the north by land used for warehousing and owned by Liberty Property Limited Partnership; to the east by Interstate 485; to the south by land used for warehousing and owned by Pine Brook Center LP; and to the west by land used for warehousing and owned by SPWF-Continental Warehouse, LLC. LRC-Patriot sold the Brownfields Property to SPWF-Continental Warehouse, LLC in December 2019.
Redevelopment Plans: Redevelopment plans for the Brownfields Property include industrial, warehousing, office, and parking. The proposed redevelopment will consist of one large warehouse building and parking.

Site History: Former uses of the Site include a Naval Ammunitions Depot (NAD) in the 1940s and 1950s and ancillary tire manufacturing operations from 1967 until 1970s (latest tire manufacturer was
Continental Tire of North America). Based on 1950’s era aerial photographs and a 1950 map of
the former NAD, numerous buildings surrounded by protective soil berms were previously located on the Brownfields Property. Buildings previously located on the property were removed by Continental during the early 2000s and the property is currently undeveloped wooded land.
During a wetlands delineation site reconnaissance conducted in 2015, burned/melted rubber, 55-
gallon steel drums containing white material, pails, and waste debris and a layer of ash up to a few inches thick were observed on the ground surface in the southeastern portion of the Brownfields Property. These materials were observed in the vicinity of a former incinerator structure identified on historical aerial photos. In addition, discarded transite siding asbestos
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containing material (ACM) was observed in the northern portion of the Brownfields Property. Review of historical aerial photographs indicates that as early as 1970, an approximately 10,000
sq ft potential disposal area was present in the area where discarded material was observed in 2015. Based on the observation of waste materials, a surface and subsurface soil assessment was conducted at the Brownfields Property in November 2015. Soil samples were analyzed by a
laboratory for volatile organic compounds (VOCs), semi-volatile organic compounds (SVOCs), HSL metals, and explosives compounds. Analytical results showed that zinc was the only constituent detected above Non-Residential PSRGs. A removal action was conducted at the Brownfields Property in February and March 2016 to
remove buried waste and waste materials observed at ground surface (drums, stained soil, tire debris), including soil impacted with elevated concentrations of zinc. The waste materials, including asbestos containing materials (ACM), were removed from ground surface and from subsurface excavations and disposed of at a permitted facility in accordance with applicable regulations. A confirmatory soil sample was collected for laboratory analysis at the base of the
excavation. Upon discovery of a suspected buried drum, excavation activities were stopped by the Prospective Developer to coordinate additional removal activities with site redevelopment. In October 2016, a soil, groundwater and soil gas investigation was conducted to further assess the environmental conditions of the Brownfields Property. Environmental samples were
collected at select locations across the Brownfields Property. Ten soil samples were analyzed for VOCs, SVOCs, RCRA metals and explosives, and two groundwater samples were analyzed for VOCs and explosives. No constituents were detected above non-residential Preliminary Soil Remediation Goals (PSRGs) or NC 2L Groundwater Standards. Soil gas samples were collected within the footprint of the proposed building. Trichloroethylene was detected in two soil gas
samples above Non-Residential Vapor Intrusion Screening Levels (VISLs). Additional details regarding the results from the site assessment can be found in Brownfields Assessment Report, Undeveloped Land REEP-LRC Patriot Premier Development I, Hart & Hickman, October 27, 2017.

A geophysical investigation was conducted at the Brownfields Property using ground penetrating radar (GPR) on November 2, 2016 to assess potential remaining drums at the previous excavation area located in the southeastern area of the site. Results from the investigation identified a subsurface anomaly warranting additional investigation near the location of the
previously discovered buried drum.
Additional environmental site investigation activities were conducted in February and March 2018. Activities included groundwater and soil sampling, and trench excavating to investigate the observed geophysical anomaly. Results from the investigation found no additional buried
drums. However, additional ACM was found at ground surface and disposed of in accordance
with applicable regulations. Soil samples collected after ACM removal showed no detections of ACM. Results from groundwater sampling showed exceedances of NC 2L Standards for trichloroethylene and tetrachloroethylene in two wells (TMW-3 and TMW-4). Based on historical assessment activities, it is suspected that VOCs are migrating in groundwater onto the
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Brownfields Property from the adjacent parcel to the east. Additional detailed information regarding the environmental assessment activities and results can be found in Additional Waste
Disposal Assessment Report, REEP-LRC Project 1 Site, Hart & Hickman, May 7, 2018. Specific compounds exceeding screening criteria are listed in Exhibit 2 of the Brownfields Agreement. A narrow portion of property used for an access road along the southern boundary contains four monitoring wells associated with the adjacent Continental Tire Buffing Shed site
(NCD043679349). Historical sampling results show elevated concentrations of VOCs and TPH. The report data indicate that the contaminant source area is located off site on the adjacent former Continental warehouse property and is migrating in groundwater beneath the access road towards the east/southeast.
Contaminated Media Summary DEQ has evaluated data collected from the following media at the subject property: soil, soil gas, and groundwater. DEQ relies on the following data to base its conclusions regarding the subject property and its suitability for its intended reuse. Compounds exceeding screening criteria are listed in Exhibit 2.

Soil Contaminants exceeding non-residential PSRGs include arsenic and thallium. There were no detections of thallium; however, the laboratory report method detection limits exceeded the Non-Residential PSRGs. An evaluation of the analytical results was completed using the NCDEQ
Risk Calculator and indicated a Risk Hazard Index above 1.0 (Table 1).
Soil Vapor Laboratory data from soil vapor samples collected near the southern portion of the Brownfields Property indicate the presence of trichloroethylene above North Carolina non-residential vapor
intrusion screening levels (VISLs) in two samples (SB-7 and SB-8). An evaluation of the analytical results was conducted using the NCDEQ Risk Calculator and showed a Risk Hazard Index below 1.0 (Table 1).
Groundwater
Groundwater samples collected from two temporary monitoring wells (TMW-3 and TMW-4) exceeded screening levels. Compounds detected above NC 2L Groundwater Standards and Vapor Intrusion Groundwater Screening Levels include trichloroethylene and tetrachloroethylene at temporary monitoring wells TMW-3 and TWM-4, near the southern end of the Brownfields
Property. The analytical data were evaluated using the NCDEQ Risk Calculator and results
showed a Risk Hazard Index below 1.0 (Table 1). Four monitoring wells (MW-3, MW-9, BD-1, and BD-2) are located on the narrow portion of Brownfields property connecting the southern end of the proposed Brownfields redevelopment
area to Continental Blvd. The highest VOC concentrations have been detected in groundwater
samples collected from MW-3. The VOC concentrations exceeding NC 2L Groundwater Standards including trichloroethylene and 1,1-dichloroethene are summarized in Exhibit 2. The analytical data were evaluated using the NCDEQ Risk Calculator and results showed a Risk
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Hazard Index above 1.0 (Table 1). The area where these wells are located is being developed as an access road.
Potential Receptors Potential receptors are: construction workers, on-site workers, and visitors. A receptor survey was conducted and no water supply wells were identified within 1,500 feet of the Brownfields Property. There are no residential areas adjacent to the Brownfields Property. Depth to
groundwater is approximately 25 feet. Risk Calculations Risk calculations were performed using Excel worksheets provided by Sandy Mort, NCDEQ Brownfields Toxicologist. The mediums affected include soil, soil gas and groundwater. The risk
calculations presented in Table 1 indicate the following based on available data:
• The risk drivers for surface soil are thallium and arsenic. The detected concentrations result in a risk hazard above 1.0.
• The risk drivers for soil gas, include VOCs. Based on evaluation of the sample results using the Risk Calculator, soil gas does not pose an unacceptable risk at the site where the proposed building is being constructed. However, groundwater to indoor air concentrations exceed an acceptable risk from samples collected at the access road along
the southern border of the property.
• The risk drivers for groundwater include VOCs, and the Risk Calculator indicates a Hazard Index of 1.3 for the non-residential worker, slightly exceeding the acceptable Hazard Index of 1.0.
Table 1 Summary of Risk Assessment Output

PRIMARY CALCULATORS
Receptor Pathway Carcinogenic Risk Hazard Index Risk exceeded?
Non-Residential Worker
Soil Combined Pathways 3.6E-06 1.8E+01 YES
Groundwater Combined Pathways 5.8E-06 1.3E+00 YES
Construction Worker Soil Combined Pathways 0.0E+00 1.1E+01 YES VAPOR INTRUSION CALCULATORS
Receptor Pathway Carcinogenic Risk Hazard Index Risk exceeded? TMW-3 and TMW-4
Non-Residential Worker Groundwater to Indoor Air 2.3E-06 7.6E-01 NO
Soil Gas to Indoor Air 1.7E-07 1.8E-02 NO
MW-3 (Access Road) Non-Residential Worker Groundwater to Indoor Air 2.4E-05 3.1E+02 YES
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Site development activities will be conducted under an approved Environmental Management Plan. In addition, final grade sampling will be conducted in areas where exposed soil is present.
Land use restrictions will limit the property to commercial and industrial uses. Required Land Use Restrictions Based on the site-specific data provided to the Brownfield program, the site reuse is suitable for warehousing, industrial, office, and parking, as long as the agreed upon land use restrictions in
the BFA are followed. 1. No use may be made of the Brownfields Property other than for industrial, warehousing, office, and parking. 2. No groundwater use.
3. No disturbing soil without DEQ approval or for landscape/mowing/pruning/repair of underground infrastructure (written notice to DEQ)/work for EMP. 4. Soil Import/Export. 5. No new buildings or existing until DEQ says indoor air is safe/no VI issues/VI protection installed.
6. No use of property for child care, adult care centers, or schools. 7. EMP 8. Access to Brownfields Property for environmental assessment. 9. NBP reference in deed. 10. No contaminants on property except for de minimis amounts, fluid in vehicles, fuels for
generators/equipment. 11. Ongoing maintenance of vapor mitigation systems. 12. Final grade soil sampling for RCRA metals, SVOCs, and VOCs will be conducted in exposed areas. 13. LURU submission January 1st
Based on the site-specific data provided to the Brownfields program, the site reuse is suitable for the Brownfields Property as long as the agreed upon land use restrictions in the BFA are abided by.