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The Urban Land Institute and LaSalle Investment Management have launched a new framework to help the real estate industry act on climate risk assessment and disclosure.

The joint report Physical Climate Risks and Underwriting Practices in Assets and Portfolios, is the second in a series by ULI and LaSalle. Building on the first report, which outlined how to source and interpret reliable climate risk data, the second provides a market overview, adaptable framework, and recommendations based on emerging best practices for incorporating physical climate risk in the underwriting process.

“Physical climate risk data collection and disclosure is the first step the real estate industry can take to further invest in and build resilient infrastructure,” said Lindsay Brugger, head of urban resilience at ULI. “Data drives action, and doing nothing incurs deeper costs — from higher insurance premiums to asset repair or replacement.” 

“This report helps provide guidance that investment managers can follow to factor the climate risk data they have available to them and improve outcomes at the asset and portfolio level,” said Julie Manning, global head of climate and carbon at LaSalle. 

The framework is broken down into three steps for decision making based on individual asset risks, local market risks, and ongoing risk mitigation efforts:

Savills has appointed Sarah Brayshaw as its first climate risk and resilience consultant.

Brayshaw will be based at the firm’s Finsbury Circus office in the City of London. She will lead the development and delivery of the team’s climate physical risk service line.

Joining from Deloitte, she has more than seven years’ experience in the sustainability sector; earlier roles include working as a catastrophe risk analyst at Willis Towers Watson.

Brayshaw said: “It has never been more important for businesses to be aware of climate risk. Real estate is part of the solution and I look forward to both reducing climate change impacts, improving resilience and adapting property portfolios in order to make a meaningful impact for those in the sector.”