What is Climate Price Index?¶
Climate Price Index (CPI) is a decision-support approach for turning climate risk into valuation-relevant outputs.
Instead of giving a single “correct” number, CPI produces ranges with clear assumptions:
- Price impact bands (premium/discount vs. comparable assets)
- NOI pressure bands (insurance/OPEX/downtime impacts)
- Exit / cap-rate delta bands (how buyers/lenders may reprice risk)
If you’re making an investment or underwriting decision, CPI helps you answer:
- “What could move price, and by how much?”
- “What evidence supports that direction?”
- “What diligence reduces uncertainty fastest?”