24003 N. Davidson II Decision Memorandum 20210316

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DECISION MEMORANDUM DATE: March 16, 2021 FROM: Bill Schmithorst

TO: BF Assessment File RE: North Davidson II 2315 N. Davidson St. and 421 E. 26th St.
Charlotte, Mecklenburg County
BF # 24003-20-060 Based on the following information, it has been determined that the above referenced site, whose intended use is for no uses other than office, retail, restaurant, parking, and
with prior written DEQ approval, other commercial uses, can be made suitable for such
uses. Introduction: The Brownfields Property consists of two contiguous parcels of land (Parcel
Identification Numbers 08305204 and 08305206) that total approximately 3.8 acres. The
southeastern parcel (2315 N. Davidson Street) is developed with an approximate 29,185-square foot (sq ft) vacant commercial building, and the northwestern parcel (421 E. 26th Street) is developed with an approximate 14,400-sq ft building that is utilized as a fitness studio and an appliance warehouse. An inactive rail corridor that is owned by the City of
Charlotte separates the two parcels.
Redevelopment Plans: The Prospective Developer intends to redevelop the existing buildings for office, parking, retail, restaurant, warehousing, entertainment, brewery or food production facility, and with prior written DEQ approval, other commercial uses.
Site History: The existing building on the southeastern parcel (2315 N. Davidson Street) was constructed in 1950 and was utilized as an electrical appliance warehouse, a knit goods
manufacturing facility, and a cork and insulation warehouse in the 1950s. Subsequently,
the building appears to have been occupied by various warehouse users until the 1990s, when a previous owner renovated the building for use as an event venue. The northern portion of the building was also utilized as a brewery in the 2010s.
The northwestern parcel (421 E. 26th Street) was developed with a concrete plant and an
automotive repair shop in the early to mid-1950s. The concrete plant operated until the late 1950s, and the automotive repair shop operated until at least the late 1960s. Additional buildings, including the existing warehouse, were constructed on the northwestern parcel in the 1950s and 1960s. The buildings appear to have been used as
part of lumber company, automotive scrapyard, automotive repair, automotive body shop,
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and for warehouse operations. Between the 1970s and the early 2000s, several structures
on the northwestern parcel were razed. Information from reports documenting offsite groundwater conditions indicate that an offsite source of trichloroethylene (TCE) has migrated onto the Brownfields Property. According to Proposed Groundwater Monitoring Reduction Plan prepared by
Groundwater & Environmental Services of North Carolina, Inc. (GES) dated December 15, 2004, the former ARGI facility (located approximately 150 ft south-southwest of the Brownfields Property) was a chromated copper arsenate (CCA) formulation plant, and the Gibbs Electroplating facility (located adjacent to the south-southwest of the Brownfields Property) performed electroplating and other metal finishing operations.
Groundwater analytical data indicate that releases of hazardous materials may have occurred at both facilities. The December 2004 GES report indicates that MW-7, MW-11, and MW-19 are the three closest monitoring wells to the former Gibbs Electroplating property and are located approximately 60 to 75 ft north-northwest and upgradient of the Brownfields Property. In April 2004, TCE was detected in wells MW-7, MW-11, and
MW-19 at concentrations of 980 μg/L, 7,800 μg/L, and 5,400 μg/L, respectively, which exceed the NC 2L Groundwater Standard of 3.0 μg/L. Based on groundwater elevation presented in the report, groundwater flow is predominantly to the northwest and towards the Brownfields Property.
Environmental Assessments In August 2019, sub-slab vapor sampling activities were conducted at the Brownfields Property to evaluate the potential for vapor intrusion at the existing buildings. Sub-slab soil vapor sampling activities included collecting four sub-slab soil vapor samples from
beneath the building located at 2315 N. Davidson St. and two sub-slab samples collected from beneath the building located at 421 E. 26th St. Laboratory results indicated that volatile organic compounds (VOCs) exceeded NC Non-Residential Vapor Intrusion Screening Levels(VISLs) at the 2315 N. Davidson St., but not at the 421 E. 26th St.
building.
Based on results from the sub-slab sampling, four indoor air samples (IAS-1 through IAS-4) were collected in November 2016 from the 2315 N. Davidson St. building and analyzed for only chloroform, tetrachloroethylene (PCE), and TCE. Laboratory results
indicated that no constituents were detected above NC Residential Indoor Air Screening
Levels. Soil and groundwater assessment activities were conducted in March 2020 for property due diligence purposes. Five soil samples were collected and submitted to a laboratory
for the analysis of VOCs, semi-volatile organic compounds (SVOCs), and RCRA metals
plus hexavalent chromium. In addition, five groundwater samples were collected from permanent monitoring wells for the analysis of VOCs, SVOCs and RCRA metals. Laboratory results indicated that SVOCs were detected in soil above Commercial/Industrial Preliminary Soil Remediation Goals (PSRGs). Laboratory results
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also indicated that VOCs were detected in groundwater above NC 2L Groundwater
Standards. A file review of available groundwater monitoring data from nearby upgradient properties was conducted by the Prospective Developer to determine the location of potential offsite sources of chlorinated compounds. As reported in Evaluation of Solvent-
Impacted Groundwater (June 3, 2020), the former Applied Research Group, Inc. (NCD 047257472) chromate copper arsenate formulation plant was located south-southwest of the Brownfields Property, and the former Gibbs Electroplating facility (NCD 0001022) was located adjacent to the south-southwest boundary of the Brownfields Property. Historical groundwater monitoring data indicate that a groundwater TCE plume has
migrated onto the Brownfields Property, potentially from these former facilities. Former monitoring well MW-10 appears to have been located just inside the Brownfields Property boundary along E. 26th Street. Laboratory results from a groundwater sample collected in April 2004 indicated a TCE concentration of 3,300 μg/L(GES, December 2004).
An additional environmental assessment was conducted in August 2020 at the Brownfields Property under a DEQ-approved work plan for the purpose of filling in brownfields assessment data gaps. Assessment activities included collecting soil, sub-slab soil gas, sediment and surface water samples. Three soil samples (SB-6, SB-7, and SB-8)
were collected at depths of approximately 1 to 3 ft. below ground surface (bgs) at the central portion of the Brownfields Property (421 E. 26th St.) and one soil sample (SB-9) was collected at a depth of approximately 3 to 5 ft. bgs near previous sub-slab vapor sample location SS-1 at 2315 N. Davidson Street. Soil samples were submitted to a
laboratory for the analysis of VOCs, SVOCs, and RCRA metals plus hexavalent
chromium. Soil samples SB-6 through SB-8 were also analyzed for polychlorinated biphenyls (PCBs). Laboratory results indicate that arsenic was the only constituent detected above industrial/commercial Preliminary Soil Remediation Goals (PSRGs).
One sediment sample was collected from the drainage feature located in the northern
portion of the Brownfields Property in August 2020 and submitted to a laboratory for the analysis of VOCs, SVOCs, RCRA metals plus hexavalent chromium. Laboratory results indicated that no constituents were detected above commercial/industrial PSRGs.
Two surface water samples were collected in August 2020 from Little Sugar Creek
located along the northwestern and northern portions of the Brownfields Property. The surface water samples were analyzed for VOCs, SVOCs, and RCRA metals. Laboratory results indicated that no constituents were detected above NC 02B Surface Water Quality Standards.

Seven additional temporary sub-slab vapor sampling points were installed within the two existing buildings in August 2020. Four sub-slab vapor samples (SS-7 through SS-10) were collected in the building at 2315 N. Davidson Street, and three sub-slab vapor samples (SS-11 through SS-13) were collected from the building at 421 E. 26th Street
and analyzed for VOCs. Laboratory results indicated that no VOCs were detected above
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non-residential VISLs at the 421 E. 26th St. building. However, VOCs were detected
above non-residential VISLs at the building located at 2315 N. Davidson St. Potential Receptors:
As reported in Brownfields Assessment Report (May 20, 2020), a receptor survey was
completed in March 2020. The receptor survey indicated that no water supply wells were identified within 1,500 ft. of the property and that the local area is served by municipal water and sewer.
An unnamed tributary of Little Sugar Creek is located in the northeastern portion of the
Brownfields Property, and Little Sugar Creek is located along the northwestern Site boundary. Based on the DEQ classification system, Little Sugar Creek is classified as a Class C surface water body. A Class C surface water body is defined as “waters protected for uses such as secondary recreation, fishing, wildlife, fish consumption, aquatic life
including propagation, survival and maintenance of biological integrity, and agriculture.”
Surface water samples indicated detections of TCE in upstream and downstream samples, however, laboratory detections were below surface water screening levels. A visual reconnaissance was conducted in the area to identify potential subsurface
structures within 1,000 ft of the Brownfields Property. Evidence of subsurface utilities,
including sanitary sewer, storm sewer, municipal water, electricity, and natural gas, were observed on and adjacent to the subject Site. Utility lines are generally located along E 26th Street and N. Davidson Street. The onsite buildings do not have basements.
Potential receptors include construction workers, on-site workers, visitors, and
trespassers. Contaminated Media: DEQ has evaluated data collected from the following media at the subject property: soil,
groundwater, sub-slab soil vapor, indoor air, sediment, and surface water. DEQ relies on
the following data to base its conclusions regarding the subject property and its suitability for its intended reuse. Soil
Laboratory results from the March 2020 environmental assessment indicate that SVOCs
were detected in sample SB-5 (0-2 ft), which was collected adjacent to the inactive rail spur in the south-central portion of the Brownfields Property. Specifically, benzo(a)anthracene (9.46 mg/kg), benzo(b)fluoranthene (8.66 mg/kg), and indeno(1,2,3-cd)pyrene (2.96 J mg/kg) were detected at concentrations above the residential PSRG of
1.1 mg/kg for all three compounds. Benzo(a)pyrene (4.71 mg/kg) was detected at a
concentration above the industrial/commercial PSRG of 2.1 mg/kg. Arsenic was detected in samples SB-2 (0-2 ft) and SB-5 (0-2 ft) at concentrations of 6.24 mg/kg and 13.3 mg/kg, respectively, which exceed the industrial/commercial PSRG of 3.0 mg/kg. Hexavalent chromium (0.621 J mg/kg) was detected in sample SB-5 (0-2 ft) at a
concentration above the residential PSRG of 0.31 mg/kg. Hexavalent chromium was also
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detected above the residential PSRG of 0.31 mg/kg in the Site background sample BKG-
1 (0.550 J mg/kg) and sample SB-2 (0.384 J mg/kg). Hexavalent chromium was not detected above commercial/industrial PSRGs. A subsurface soil sample (SB-9) was collected adjacent to former sub-slab soil vapor sample location SS-1 where TCE was detected at (91,000 μg/m3) and submitted to a
laboratory for the analysis of VOCs, SVOCs, and RCRA metals. Laboratory results indicated that there were no detections above commercial/industrial PSRGs or detections that would potentially indicate a release of volatile compounds in the area.
Groundwater
Laboratory results from groundwater sampling conducted in March 2020 indicate that TCE was detected in samples MW-3 (110 μg/L) and MW-4 (669 μg/L) at concentrations above the 2L Standard of 3.0 μg/L and the NC Non-Residential Groundwater Vapor Intrusion Screening Level (GWSL) of 4.4 μg/L. Methyl tert-butyl ether MTBE was
detected in sample MW-3 at a concentration of 636 μg/L, which exceeds the 2L Standard
of 20 μg/L. Total Chromium was detected in MW-4 at a concentration of 394 μg/L, which exceeds the 2L standard of 10 μg/L. Laboratory results from groundwater sampling conducted at monitoring well MW-10 in
April 2004, as part of the Former Applied Research Group, Inc. site investigation,
indicated a concentration of TCE at 3,300 μg/L, above the 2L Standardand the GWSL. In addition arsenic (12 μg/L), benzene (1.2 μg/L), and hexavalent chromium (10 μg/L) were detected above 2L Standards.
Surface Water
Laboratory results from surface water sampling conducted in August 2020 indicate that there were no exceedances of NC 02B Surface Water Standards. Sediment
Laboratory results from the sediment sample collected in August 2020 indicate that there
were no exceedances of commercial/industrial PSRGs.
Sub-Slab Vapor Laboratory results from the August 2019 sub-slab soil vapor assessment indicated that
TCE (91,000 μg/m3) was detected in sub-slab vapor sample SS-1 (west-central portion of
2315 N. Davidson Street building) above the NC Non-Residential VISL of 180 μg/m3. No VOCs were detected above the Residential or Non-Residential SGSLs in sub-slab vapor samples collected at 421 E. 26th Street. Laboratory results from sub-slab samples collected from the 2315 N. Davidson Street
building in August 2020 indicate that chloroform was detected in samples SS-7 (92 μg/m3) and SS-10 (150 μg/m3) at concentrations above the non-residential VISL of 53 μg/m3. Naphthalene was detected in sample SS-7 (44 J μg/ m3) at a concentration above the non-residential VISL of 36 μg/m3. TCE was detected in samples SS-7 (43,000
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μg/m3), SS-8 (5,000 μg/m3), and SS-10 (26,000 μg/ m3) at concentrations above the non-
residential VISL of 180 μg/ m3. No VOCs were detected above non-residential VISLs in sub-slab samples collected in August 2020 from the 421 E. 26th St. building.

Indoor Air Laboratory results from the November 2019 sampling event conducted at 2315 N. Davidson St. indicated that no VOCs were detected above NC Non-Residential Indoor Air Screening Levels.

Risk Calculations Risk Calculations were performed using the July 2020 NC Risk Calculator. For purposes of evaluating risk, the samples from environmental media with the highest detected concentrations were used for calculating risk. The risk calculations indicated the
following based on available data, including the following media and associated sample
location: groundwater (MW-4), soil (SB-5), sub-slab soil vapor (SS-1 and SS-6), indoor air (IAS-1), sediment (SED-1), and surface water (SW-2) samples:
DIRECT CONTACT SOIL AND WATER CALCULATORS
Receptor Pathway Carcinogenic Risk Hazard Index Risk exceeded?
Non-Residential Worker
Soil 0.0E+00 0.0E+00 NO
Groundwater Use* 1.4E-03 5.4E+01 YES
Construction Worker Soil 1.9E-06 9.2E-01 NO
Recreator/Trespasser
Soil 5.3E-05 9.2E-01 NO
Surface Water* 3.0E-06 5.0E-01 NO
VAPOR INTRUSION CALCULATORS
Receptor Pathway Carcinogenic Risk Hazard Index Risk exceeded?
Non-Residential Worker
Groundwater to Indoor Air 9.0E-05 3.1E+01 YES
Soil Gas to Indoor Air 2315 N. Davidson St.
3.1E-04 1.0E+02 YES
Soil Gas to Indoor Air 421 E. 26th
St.
7.6E-08 9.1E-03 NO
Indoor Air
2315 N.
Davidson St.
3.8E-07 2.4E-03 NO
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Red shading LICR> 1E-04 or HI> 1.
LICR = Lifetime Incremental Cancer Risk HI = Hazard Index Based on the results from the risk evaluation, DEQ-approved vapor mitigation measures will be required in the existing building located at 2315 N. Davidson St. Due to the
presence of the TCE groundwater plume near the 421 E. 26th St. building, a vapor mitigation system is being installed in the building. An Environmental Management Plan (EMP), approved by DEQ, will be required before
the start of soil grading or excavation activities to prevent exposure to site workers and
future residents from unacceptable levels of contaminants, and to manage the safe handling and disposal of potentially contaminated materials during construction. In addition, final grade soil sampling will be required prior to occupying the Brownfields Property.

Required Land Use Restrictions: A summary of the land use restrictions (LURs) is provided below. 1. No use other than high density residential, retail, office, recreational, parking, open
space, and with prior written DEQ approval, other commercial uses.
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 must be approved by DEQ.
5. DEQ approved EMP
6. Access to Brownfields Property for environmental assessment. 7. Standard vapor intrusion LUR 8. No child care or adult care centers. 9. NBP reference in deed.
10. No contaminants (as included in Ex. 2 to the BFA) on property except for de minimis
amounts, fluid in vehicles, fuels for generators/equipment. 11. Final grade soil sampling for RCRA metals, SVOCs, and VOCs will be conducted in exposed areas. 12. LURU submission January 1st

Based on the site-specific data provided to the Brownfield program, the site will be suitable for the approved uses as long as the agreed upon land use restrictions in the BFA are abided by.