Understanding Flood Risk
Unlocking Real Estate Investment Potential

The risk of flooding to the UK’s commercial property sector is set to increase.

Investors therefore need to understand the risks to their assets. It is critical from a due diligence and risk mitigation perspective. Establishing flooding risk will help to inform precautionary asset management and investment decisions.

Our analysis of flood risk zones at a site level, compared to the Environment Agency (EA) catchment scale flood maps, estimates 62% of our sample has overstated flood risk. For investors seeking mispriced assets, this misclassification presents a huge opportunity and could unlock value in existing assets.

In this report we explore the differences in site-level flood risk as determined by CBRE versus the EA’s flood maps.

Key report findings