Records Search with Risk Assessment (RSRA) is part of the U.S. Small Business Administration (SBA) environmental due diligence requirement. The report is part of the SBA 504 and SBA 7(a) Loan Programs for commercial real estate (CRE) collateral, but is not confined to only SBA real estate transactions.
If the business use is not listed on the North American Industry Classification System (NAICS) code list of environmentally sensitive industries and the loan value is over $150,000, a RSRA can be conducted according to SBA guidelines, in lieu of a Phase I Environmental Site Assessment (ESA).
A RSRA Includes:
- A search of government databases as well as a search of historical use records (for example, aerial photographs, city directories, and/or fire insurance maps) pertaining to the subject property and Adjoining Properties
- A summary report prepared by an Environmental Professional based on the results of the records search as to whether the Subject Property is either low, moderate, or high risk