Method to assess climate risks to real estate

Description

Together with various real estate parties and the Ministry of Infrastructure and the Environment, Climate Adaptation Services is working on a standard approach to assess the physical climate risk for Dutch real estate portfolios. By ‘physical climate risk’ the risk of loss of value of properties as a result of damage caused by climate change, such as extreme precipitation, natural fires or flooding are meant. A standard approach is desirable to create a level playing field in which there is transparency about the method and data used, and the assumptions underlying them.

In a first step, together with these real estate parties, a method for assessing physical climate risks for real estate portfolios has been developed. This method is a step towards creating a level playing field and is based on national data from the Climate Impact Atlas. This open platform is accessible to everyone: the data are public and can be downloaded for free. Several knowledge institutions have developed the maps from the Climate Impact Atlas. The map narratives explain the maps and also refer to the underlying documentation.

Please note that the maps in the Climate Impact Atlas are based on national models and provide a picture at the regional scale level. At the local level, for example at the level of a property, some maps are coarse and indicative. The current method can provide an initial, general picture of the risks within a property portfolio. However, the local situation will always need to be considered in order to properly assess the risk. It is our ambition and hope to develop in the coming years, together with the knowledge institutions, an approach that allows us to analyse the local situation even better.

Reference information