HomeMy WebLinkAbout22062_Smokey Hollow 2_LOE_20181221ROY COOPER
Governor
MICHAEL S. REGAN
NORTH CAROLINA
Environmental Quality
Secretary December 21, 2018
MICHAEL SCOTT
Director Sent Via USPS and email
John Kane
WK Smokey Hollow 2, LLC
4321 Lassiter at North Hills, Suite 250
Raleigh, NC 27609
jkane cr,kanerealt_y corp.com
Subject: Letter of Eligibility
Smokey Hollow 2
0, 506, 516, 520, 524 N. West Street and 413, 437 and 441 N. Harrington St.
Raleigh, Wake County
Brownfields Project No. 22062-18-092
Dear Mr. Kane:
The North Carolina Department of Environmental Quality (DEQ) has received and reviewed your
October 18, 2018 Brownfields Property Application as well as the November 27, 2018 revised
Brownfields Property Application submitted by WK Smokey Hollow 2, LLC as a Prospective Developer
seeking a Brownfields Agreement regarding the Brownfields Property. This Brownfields Agreement .
would cover the parcels listed in the October 18, 2018 and November 27, 2018 application as well as the
properties listed in the Harrington Street Brownfields Agreement (Project No. 20031-16-092) recorded in
the Wake County Registry on January 6, 2017 (Book 016661, Page 01312); the Brownfields Program
plans to create a new Brownfields Agreement that includes the three parcels from the Harrington Street
agreement and the five new parcels, and that supersedes the original Harrington Street Brownfields
Agreement. Upon review of the BPA with respect to the requirements of the Brownfields Property Reuse
Act of 1997, DEQ has determined that this project is eligible for entry into the North Carolina
Brownfields Program (NCBP) and for continued evaluation for a Brownfields Agreement (BFA).
The next step in the BFA process will involve a detailed review of available environmental and
other relevant data to determine what is currently known about contamination at the Brownfields
Property, and what, if any, information gaps may exist that may require additional assessment. We are in
receipt of various reports relating to the Harrington Street Brownfields Project.
Report:
Prepared By:
Date:
Letter Report of Environmental Test Results
Mid -Atlantic Associates, Inc.
August 17, 2016
Letter Report of Environmental Test Results
Mid -Atlantic Associates, Inc.
FebnyM 11, 2015
Phase I ESA t 413 N. Harrington Street
Mid -Atlantic Associates, Inc.
Janwa 13, 2015
Phase II ESA (437 & 441 N. Harrington
Street
Mid -Atlantic Associates, Inc.
February 21, 2013
Phase I ESA (437 & 441 N. Harrington
Street
Mid -Atlantic Associates, Inc.
January 25, 2013
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North Carolina Department of Environmental Quality I Division of Waste Management
217 West Jones Street 1 1646 Mail Service Center I Raleigh, North Carolina 27699-1646
Smokey Hollow 2
December 21, 2018
Page 2
Available, applicable historical information from the files of DEQ's Division of Waste
Management will also be utilized during the evaluation process. Please forward any additional
information or data you may have or can acquire for our evaluation. This should include reports from
other DEQ agencies or regional offices. We will contact you regarding any additional assessment that
may be necessary to establish that the Brownfields Property is or can be made suitable for the intended
reuse, as required by statute.
According to the BPA, the intended redevelopment for the Brownfields Property is a 275-unit
apartment building, retail, office and parking. Because risk management decisions may vary depending
on the nature of the redevelopment, it will be important that DEQ review the locations of the various
elements. Please forward any maps or drawings indicating these details, even if they are only preliminary
or conceptual.
Please note: pending execution of a final BFA, NCBP eligibility is provisional. The protections a
BFA offers the Prospective Developer are not in effect, unless and until, the BFA is executed. If you
occupy the Brownfields Property or operate or conduct activities at the Brownfields Property that result in
a release of regulated substances before a BFA has been finalized for the Brownfields Property, you may
be considered to have caused or contributed to contamination at the Brownfields Property. Because an
entity that could be considered to have caused or contributed to contamination at the Brownfields
Property cannot be a Prospective Developer under the Act, your eligibility for participation in the NCBP
would be placed in jeopardy. Consult closely with your Project Manager regarding any planned site
activities prior to agreement finalization. You are cautioned to conduct all such operations and activities
at the Brownfields Property with great care not to cause a release of regulated substances at the
Brownfields Property that could jeopardize your eligibility for participation in the NCBP.
If a party other than the WK Smokey Hollow 2, LLC will own the Brownfields Property at the conclusion
of the brownfields process, the final document (which gets recorded at the register of deeds' office) must
be signed not only by Prospective Developer, but by that owner. Failure by the Prospective Developer to
ensure, by the time the BFA negotiations are complete, the willingness to sign of any such party, and to
provide DEQ the exact name, email address, telephone number, and US mail address of the party (along
with the signatory/signatory's tile in the case of an entity) will delay, and could prevent, the BFA taking
effect.
We are excited about the potential for public benefit offered by the reuse of the Smokey Hollow 2
and look forward to working with you to advance this brownfields redevelopment project. If you have
questions about this correspondence or require additional information, please feel free to contact the
project manager, Sharon Eckard by phone at 919-707-8379, or by e-mail at sharon.eckard(y,=denr.ov.
Sincerely,
Bruce Nicholson
Brownfields Program Manager
ec: Central Files, DEQ
Michael E. Scott, DEQ
Sharon Eckard, DEQ
Drew Yates, Kane Realty Corporation