Climate Risk: Logistics & Industrial Global Outlook

RISK CLIMATE LOGISTICS& INDUSTRIAL

GLOBALOUTLOOK

ACUTE RISKWITHHIGH SPATIAL VARIABILITY FLOODING

Flooding, perhaps more than any other climate related hazard, requires granular analysis. In some cases, flooding can be widespread and extensive, though in others it can have very localized impacts. Average risk globally is usually relatively moderate, however, there is significant variation at the building level. Some locations have negligible risk of flooding, while others represent extremely high risk – i.e., approaching the maximum score of 100. To an extent, this is not surprising. Flood patterns reflect local topography, geography, infrastructure and any mitigation measures in place. As a result, there is the very real prospect that flooding can occur not only between higher and lower ground, but even between one side of the road and the other. Strategic Advice: • Flooding is a highly localised impact. It is important to understand the market characteristics and go deeper to look at your specific exposure. • Don’t rely on out-of-date flood maps, or only reference historical events. The future can be uncertain or represent changing risk exposure. • Understand what flood mitigation measures are in place. It is often more economically feasible to mitigate flood risk at the community level rather than the asset level.

HIGHEST BUILDING RISK SCORE IN SUBMARKET

AVERAGE SUBMARKET RISK SCORE

LOWEST BUILDING RISK SCORE IN SUBMARKET

CHICAGOMETROLPOLITANAREA

CLIMATE RISK: LOGISTICS & INDUSTRIAL GLOBAL OUTLOOK 10

CUSHMAN & WAKEFIELD