{"ok":true,"canonical_url":"https://dealroom.so/glossary/remediation","api_url":"https://dealroom.so/api/public/glossary/remediation","data_freshness":{"sba_records_through":"2026-05-31","fdic_records_through":"2026-03-31","dealroom_last_updated":"2026-06-15","timezone":"America/Chicago"},"source_summary":["Public SBA 7(a) loan records","FDIC institution data","DealRoom lender and franchise enrichment"],"term":{"slug":"remediation","term":"Remediation","group":"Reading the business","definition":"The process of cleaning up or correcting environmental contamination or other hazardous conditions on a property. This is a critical concern for buyers as it can involve significant costs and liabilities.","what_it_means":"If an Environmental Site Assessment (ESA) identifies a Recognized Environmental Condition (REC), remediation may be necessary. This can be a major deal killer or require substantial escrowed funds. Ensure you understand the full scope, cost, and timeline of any required remediation before proceeding.","url":"https://dealroom.so/glossary/remediation","official_sources":[{"slug":"sop-50-10","title":"SOP 50 10 — Lender and Development Company Loan Programs","official_url":"https://www.sba.gov/document/sop-50-10-lender-development-company-loan-programs","official_label":"View on SBA.gov","authority_tier":2,"publisher":"U.S. Small Business Administration","source_guide_url":"https://dealroom.so/sba-7a/sources/sop-50-10"}],"related":[{"slug":"remediation-cost","term":"Remediation Cost","url":"https://dealroom.so/glossary/remediation-cost"},{"slug":"recognized-environmental-condition","term":"Recognized Environmental Condition","url":"https://dealroom.so/glossary/recognized-environmental-condition"},{"slug":"phase-i-environmental-site-assessment","term":"Phase I Environmental Site Assessment","url":"https://dealroom.so/glossary/phase-i-environmental-site-assessment"},{"slug":"phase-ii-environmental-site-assessment","term":"Phase II Environmental Site Assessment","url":"https://dealroom.so/glossary/phase-ii-environmental-site-assessment"}],"related_questions":[{"question":"What if the acquired business's real estate has an environmental concern requiring remediation?","url":"https://dealroom.so/sba-7a/questions/what-if-the-acquired-business-s-real-estate-has-an-environmental-concern-requiring-remedia"},{"question":"If the commercial property being acquired requires significant environmental remediation, can the 7(a) loan cover these costs?","url":"https://dealroom.so/sba-7a/questions/if-the-commercial-property-being-acquired-requires-significant-environmental-remediation-c"},{"question":"If a Phase II Environmental Site Assessment identifies remediation costs, how does a lender treat these for a 7(a) loan?","url":"https://dealroom.so/for-lenders/questions/if-a-phase-ii-environmental-site-assessment-identifies-remediation-costs-how-does-a-lender"},{"question":"If a Phase I ESA recommends a Phase II, what are the lender's options if remediation costs are unknown or prohibitive?","url":"https://dealroom.so/for-lenders/questions/if-a-phase-i-esa-recommends-a-phase-ii-what-are-the-lender-s-options-if-remediation-costs-"}]},"caveats":["Definitions represent DealRoom's plain-English interpretation for buyers; verify regulatory terms against the official SBA and eCFR sources listed.","Not legal, tax, or financial advice, and not an SBA eligibility determination."],"citation":{"label":"DealRoom.so Glossary — Remediation","url":"https://dealroom.so/glossary/remediation","source_type":"DealRoom Data"}}