Real estate investors must begin to pay more attention to the threats that climate migration could have on their portfolios.
The warning comes from Mary Ludgin, Heitman’s head of global research, who is a key collaborator of a report jointly published by Heitman and the Urban Land Institute earlier this year called Climate Migration and Real Estate Investment Decision-Making.
Ludgin says that at present, investors have not made a meaningful shift from looking at climate risk from an asset-centric to a market-level view. “For many in the northern hemisphere, climate migration isn’t readily visible in their home markets. In fact, migration toward vulnerable areas is outpacing migration away,” she says.
The report lays out how changes to the world’s climate will lead to significant shifts in demand for real estate as individuals and communities respond to changing environmental conditions. It cautions that some property market segments could decl
