Case Study: Acquisition Due Diligence and Surplus Land Strategy – Yennora Site for Alcoa

Client: Alcoa

Location: Yennora, New South Wales

Project Overview

Alcoa was seeking a comprehensive Acquisition Due Diligence for a large industrial site at

Yennora. The due diligence was a critical input into Alcoa’s decision to exercise a purchase

option and later dispose of surplus land not required for its ongoing operations.

Objectives

1. Inform Purchase Decision: Ensure Alcoa had a complete understanding of legal,

technical, environmental, and commercial conditions of the site.

2. Support Pricing Strategy: Provide data and analysis to help determine a fair

acquisition price.

3. Enable Surplus Land Disposal: Identify opportunities and constraints for future

disposal of non-core parcels of land.

Key Project Phases

Stage 1 – Acquisition Due Diligence

Led as project manager, this stage included:

 Coordination and supervision of legal, technical, planning, and environmental

consultants.

 Financial and property due diligence.

 Establishment of a secure online repository for document sharing and collaboration.

 Delivery of a consolidated due diligence report.

Stage 2 – Acquisition Process

To follow the due diligence stage provided Acquisition support:

 Negotiating and provide negotiation support for the purchase.

 Finalising the option to acquire the property.

 Securing funding and managing legal execution.

Stage 3 – Disposal of Surplus Land

Post-acquisition, Alcoa would:

 Develop and execute a disposal strategy.

 Obtain valuations.

 Appoint and manage sales agents.

Specialist Due Diligence Streams

 Legal: Title review, lease/tenancy issues, OH&S, environmental liabilities, insurance,

planning approvals.

 Technical: Building services, structure and façade assessment, remediation cost

estimation, survey.

 Town Planning: Zoning, upzoning potential, heritage, acoustics, flora/fauna, flooding.

 Financial: Review of liabilities, tax implications, funding structures, depreciation

modelling.

 Property: Site risk analysis, cost-benefit assessment, investment modelling, valuation

coordination.

Outcome

Project Managed multidisciplinary team to equip Alcoa with the insights needed to:

 Make an informed purchase decision.

 Strategically manage risk.

 Identify value uplift potential for surplus land assets.

The structured approach also set a foundation for post-acquisition activities including

negotiations, legal completion, and eventual land disposal, all while maintaining project

governance and cost transparency.