Propelled by climate change and extreme weather, damages from physical risks such as flooding, wind damage, and fire have grown exponentially since 2018 and totaled $600 billion across the U.S. in 2023. Rising losses have resulted in sharp increases in commercial property insurance premiums, and the increased frequency of extreme weather and wildfires pose additional concerns for commercial building owners and tenants around emergency planning, occupant health and safety, and business continuity.

“Best Practices in Assessing and Mitigating Physical Risk in Commercial Real Estate,” by NAIOP Distinguished Fellow Spenser Robinson, DBA, and Siqi Zheng, Ph.D., will examine best practices in assessing, managing and mitigating physical risks in collaboration with tenants. The report will consider physical risk management for both existing buildings and new development projects and draws from interviews with developers, owners, investors, and designers as well as findings from a concurrent study on how tenants approach physical risk that the authors are conducting for CoreNet Global. The report will be released in March 2026.