Real Estate & Planning Research Seminar, in person Presentation by Dr Georgia Warren-Myers from the University of Melbourne "Valuation challenges – evaluating climate change and emissions risks for real estate"

If you would like to attend this Seminar please contact our Department Office at repschooloffice@reading.ac.uk for further details, giving your name and organisation/company details

Abstract

Valuation challenges – evaluating climate change and emissions risks for real estate

Associate Prof Georgia Warren-Myers, Faculty of Architecture, Building and Planning, University of Melbourne, Australia.

Climate change will have short and long term ramifications on the real estate sector. There is urgent need to understand the value implications of both physical based climate change related risks; the need for adaptation, and the transition risks associated with emissions targets for compliance and market demands. Businesses, organisations, governments, real estate owners and occupiers are currently tackling a changing policy environment relating to emissions reporting, and some organisations are now mapping physical risks and emissions profiles of their portfolios to examine their exposure to a range of climate change related risks. What is not yet fully known or understood, is the ramification of what these factors will have on value, in the future, or the impact of quantifying these possible risks today. Whilst an emerging area and process for organisations, this will likely start to filter into decision-making and subsequently will then be reflected in prices paid. Valuers will need to be aware and akin to the kinds of decision-making being made and why by market stakeholders, to ensure accurate reflection in valuations. This presentation provides a discussion of current valuation practice and the challenges to consider sustainability, emissions and climate change risks for real estate.