CORP CRR 2024 8.5x11 v10 - Flipbook - Page 14
2 0 2 4 CO R P O RATE RESI LIENCY REPORT
ASSET RESILIENCE INDEX AND
CLIMATE RISK MODELING
We firmly believe that a resilient portfolio must consider
both financial and non-financial risks. In 2023, our
Corporate Resiliency Team, with oversight from our Investment
Committee, developed a comprehensive Asset Resilience Index
that included a blended score of financial and sustainability
metrics. We combine traditional financial key performance
indicators (KPIs) for each asset with material climate related
KPIs including historical GHG emissions and susceptibility to
climate physical risks, such as sea level rise, storm intensity,
flooding and other physical characteristics.
In 2024, we refreshed our Asset Resilience Index with updated
climate projections and market risks, which provided our
leadership team additional insight into the resiliency of
our assets to inform their investment decisions, including
determining which assets are non-core.
TIER (QUARTILE)
RESILIENCY
1ST
HIGHLY RESILIENT
2ND
RESILIENT
3RD
MODERATELY RESILIENT
4TH
VULNERABLE
OVERALL
RESILIENT
Property-level physical climate risks are a key input of our
Asset Resilience Index. To quantify these risks, we conduct an
annual insurance resilience assessment utilizing a catastrophe
modeling framework to estimate the potential financial
impacts associated with physical climate risks like flooding
and wind events, and secondary building characteristics
including the location of critical building infrastructure and
curtain wall quality. This assessment provides a quantitative
framework for understanding and mitigating potential
physical climate impacts, helping us proactively prioritize
investments in resiliency measures at individual properties
and across our portfolio.
CAPITAL PL AZA | ORL ANDO
CLIMATE RESILIENCE
Our annual resilience assessment process
identified vulnerability of Capital Plaza One
and Two to potential water damage from
heavy rainfall and flooding in the Orlando area.
In response, we invested in waterproofing
improvements to minimize moisture intrusion
and air infiltration, strategies that also improve
building energy performance. This project
demonstrates the tangible benefits of integrating
climate resiliency assessments into strategic
decision-making, contributing to long-term asset
protection and operational efficiencies.
CAPITAL PLAZA ONE | ORLANDO
CAPITAL PLAZA TWO | ORLANDO
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