Sustainability and Climate Report Climate Quantification Assessment For each physical risk, a climate quantification assessment was conducted to assess the potential financial impact of the hazard across all three RCP scenarios. Flooding (coastal and fluvial) Heatwaves Hurricanes Modelling of physical risks across scenarios • Asset impact analysis on property net income and property appraisal value • Financial impact analysis on UHREIT’s income, cashflow and balance sheet Conducting impact analysis Risk ratings used were aligned to UHREIT’s existing Enterprise Risk Management (“ERM”) Framework Assessing potential financial impacts Figure 8: Climate Risk Quantification Assessment Process Physical Climate Risk Financial Impacts Across all properties owned by UHREIT, the physical risk from hurricanes, flooding, and heatwaves is low across the short, medium, and long terms assessed. Based on the analysis, there are expected impacts on costs, cash flows, and business due to potential flooding and hurricane events, as well as business disruptions that can affect revenue. However, the financial impact has been assessed to be insignificant on the property valuation and cashflows for UHREIT. Table 6: UHREIT’s Financial Risk Ratings for Physical Risks Risk Type Financial Risk 2030 2040 2050 Hurricane Flooding Heatwave Financial Risk Ratings Insignificant Minor Moderate Major Severe In FY2025, there were no material financial impacts from climate-related risk and opportunities for the business. 81 ANNUAL REPORT 2025
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