Risk caused by climate change is an important concern for investors in commercial real estate. In a recent paper, Climate Risk in Private Real Estate Portfolios, Will Robson, executive director and global head of real estate solutions research at MSCI, and Gillian Mollod, senior ESG research associate at MSCI, examined the risks that a changing climate may have on real estate portfolios. Recently, the co-authors spoke with Loretta Clodfelter, senior editor of Institutional Real Estate Americas, about the findings and the broader implications for investors. A slightly condensed and edited version of their conversation follows below.

Why did you choose to study the impact of climate risks on private real estate portfolios?

Mollod: There are a couple of reasons. Investments in private real estate are currently on the rise, but investors are al