Climate Alpha launches AI-powered platform to steer investment toward more resilient regions

Climate Alpha announces the launch of its
data-driven product suite, offering property
developers, asset managers, and insurers
risk-adjusted valuations, resilience scores, and
site selection rankings for locations all across
America and soon globally.

Climate Alpha is a software platform featuring
three proprietary tools – Climate Price, Resilience
Index and Alpha Finder – running on a
patent-pending scenario forecaster. Climate
Alpha’s model covers 40,000 US ZIP codes, with
bespoke algorithms for each property type:
residential; commercial; industrial, and
agricultural. It has already generated
risk-adjusted valuations for more than 200,000
buildings.

Climate Alpha gives its clients an edge in the
climate adaptation race by both identifying risks
and uncovering opportunities. Unlike traditional
real estate valuation products using simple
financial models that ignore climate variables,
Climate Alpha employs machine-learning
techniques to integrate hundreds of socioeconomic and market variables as well as
the latest climate models. And unlike climate risk
firms that only suggest long-term value-at-risk,
Climate Alpha forecasts real estate values for
every year out to 2040 under multiple climate
scenarios.

Its API function allows seamless and instant
portfolio modeling, delivering Climate Price
assessments and Resilience Index scores for an
unlimited number of properties – with each
customer receiving a secure microsite to rank
asset performance and generate reports for
ESG-related reporting. Simultaneously, Alpha
Finder offers confident fund construction by
screening dozens of datasets to target locations
correlating to clients’ investment mandates and
time horizons.

Dr. Parag Khanna, founder and CEO of Climate
Alpha, says, “Assessing climate risk has become a
commodity. We take adaptation to the next level
by locating and quantifying opportunities
behind which investors and governments can
deploy trillions of dollars. As millions of
homeowners and businesses are recognizing,
relocation is the best adaptation.”

Customers of Climate Alpha include leading
home builders, major asset managers, sizable
pension funds, and prominent data partners. A
full list is available on Climate Alpha’s website:
www.climatealpha.ai/customers.

Together with fintech pioneer Atlas Capital,
Climate Alpha is building the world’s first
Sustainable REIT Index. "The backbone of Atlas
Capital’s novel systematic trading strategy is a
Sustainable REIT Index which is powered by
Climate Alpha's unique ability to blend a vast
array of market drivers and climate variables to
produce actionable valuations," says Atlas
Capital founder and CEO Reza Bundy.

“Property markets are lagging far behind the
complexity of the real world, says Climate Alpha
chairman and former president of Lennar
International, Chris Marlin. “Climate Alpha’s
mission is to get ahead of that complexity and
provide a roadmap for society to reorient
around resilient locations.”

Steve Weikal, Industry Chair of the Real Estate
Technology Initiative at the MIT Center for Real
Estate and a Climate Alpha board member,
adds, “We all read the articles about how Boise,
Denver, and Raleigh and other non-gateway
cities are booming. But what will be the
thriving Zoom towns of 2025, 2030 and
beyond?”

Kathy Baughman McLeod, Climate Alpha board
member and climate risk and resilience
veteran, notes, “Climate tech is evolving at an
astounding pace. Climate Alpha’s
high-frequency data feeds, construction of new
indices around Covid, infrastructure,
immigration and other themes, and global
expansion of coverage have shown that this is
the platform the market needs now.”

Climate Alpha has been profitable since its soft
launch earlier this year, and has completed a
seed funding round with wide participation of
prominent VCs, real estate professionals, angel
investors, and family offices from around the
world.

For media enquiries, please write to
media@climatealpha.ai. Prospective investors
and customers may contact Director of
Strategy Mok Xiao You at:
xiaoyou@climatealpha.ai.

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