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You are here: Home » Resources » Articles » How the New PFAS Ruling Impacts CRE Transactions

August 28, 2024

How the New PFAS Ruling Impacts CRE Transactions

By Kathryn Peacock and Steven Luzkow

Recent EPA Ruling About PFAS Has Ramifications for Buyers of Commercial Real Estate. Learn How PFAS Risk Is Assessed and Managed During Acquisition.

By By Kathryn Peacock, & Steven Luzkow, published on GlobeSt.com on Aug. 28, 2024

Real estate professionals have a lot of questions about how PFAS may impact their deals EPA’s PFAS ruling of July 8, 2024.  The ruling designates two of the most widely used categories of PFAS as hazardous substances under the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA, also known as Superfund). This means that in order to evaluate environmental risk and ensure the protection from environmental liability that CERCLA provides, the Phase I Environmental Site Assessment (Phase I ESA),  must now include an evaluation of the presence of PFAS in the same manner as other contaminants. Of course, when a Phase I ESA identifies potential PFAS risk at a site, subsequent evaluation may become necessary. It’s helpful to have a basic understanding of how PFAS risk is assessed and managed during a real estate acquisition.

In this Globe St. article, Kathryn Peacock & Steven Luzkow discuss how PFAS risk is assessed and managed during acquisition.

About the Authors

Kathryn Peacock

Kathryn Peacock

Strategic Director
Kathryn Peacock serves as Principal and National Client Manager for Partner Engineering and Science, Inc. With 20 years of experience under her belt, Kathryn has worked on thousands of transactions, subsurface investigations, and site remediation projects for some of the nation’s largest lenders and investors. She holds a bachelor’s degree in Soil Science from Prescott College and a Master’s in Education from the Arizona Teachers Institute. Kathryn speaks and writes frequently on a wide range of environmental due diligence topics, and is dedicated to advancing standards and best practices through her active involvement with industry associations such as ASTM. Kathryn is also a founding member of EFMR (Environmental Facilities Management Roundtable). Environmental Professionals are frequently unique within their companies, having few peers who understand the unique challenges of their day-to-day. This group was formed to help facilitate dialogue amongst industry professionals.
Steven Luzkow

Steven Luzkow

Technical Director
Steven Luzkow is an Environmental Professional (EP) with more than 30 years of experience as an environmental consultant. Mr. Luzkow serves as a strategic team member in the financial and commercial real estate sectors by combining his extensive knowledge in environmental due diligence with Partner’s national reach of a broad spectrum of services for the management and assessment of real estate to satisfy client objectives. As a Technical Director for Partner Engineering and Science, Inc. (Partner), Steve will be focused on Lender Services, including SBA services, policy development, bank-owned or leased asset due diligence, and more. He drives team participation to manage and satisfy client objectives with a responsive and timely resolution, quality work products, adherence to budgets, and meeting scheduled deadlines. He is responsible for managing due diligence assignments, third party reviews, and lender support services, including underwriting and lender-owned asset assessments. Mr. Luzkow has extensive experience in the all appropriate inquiries (AAI) requirements promulgated under the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) and related ASTM E1527 Standard Practice for Environmental Site Assessments. Mr. Luzkow integrated CERCLA and the ASTM standard practice in the finance and consulting sectors.

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