The Climate Is Speaking: CRE Underwriting for a Future That’s Listening

Climate change is reshaping real estate, making climate fluency essential for investors. Resilience and adaptability are now core competencies, guiding decisions from underwriting to operations and positioning assets for long-term value in a changing world.

Climate change has arrived. It’s influencing how real estate investment assets perform on the market today.

It’s now being priced into insurance premiums, loan terms, and investment models, forcing a redefinition of how we evaluate risk and opportunity across the real estate lifecycle.[1]

In this new environment, being a steward of real estate capital means embedding climate change into every investment decision by becoming climate fluent, from underwriting and acquisition to operations and exit strategy.

Climate fluency is mindset grounded in resilience and adaptability, not only to mitigate risk, but to unlock new forms of value that turns our climate reality into an asset strategy. For asset managers, that means incorporating resilience and adaption strategies into how we underwrite, choose, operate, and plan for the future. Put simply, becoming fluent in climate means reading, understanding and acting on well-known emerging