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Tag Archives: Environmental Loss

EEL on a Vapor Encroachment Condition (VEC)

Expected Environmental Loss (EEL) on a Vapor Encroachment Condition (VEC)? Expected Environmental Loss is a term I coined and introduced on my previous blog post.   EEL is essentially the mean or expected loss that an owner will experience if they own a given asset with an associated recognized environmental condition (or Vapor Encroachment Condition, VEC).    The term…

Expected Environmental Loss

If I own 100 gas stations for 20 years, what is my Expected Environmental Loss (EEL)?      For an environmental consultant to provide some sort of measure of “expected” environmental risk and related financial loss, as opposed to the worst-case risk, is extremely valuable to real estate investors.   Real estate investors constantly balance risk and reward.  …