Exploring the Intersection of Real Estate and Climate Change

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House in St. George, Maine. Photo by Aubrey Odom on Unsplash.

Insights from South by Southwest

The conversation around climate change and real estate is more relevant than ever before, as highlighted in the recent panel hosted by Realtor.com at South by Southwest, titled “Climate Future Day”. Moderated by Kendall Bonner, the panel featured a diverse group of experts: Danielle Hale, Chief Economist at Realtor.com, Matthew Eby, CEO and Founder of First Street Foundation, and Professor Jay Banner from the Jackson School of Geosciences at the University of Texas at Austin. Their discussion offered an exploration of how climate change is reshaping the landscape of home ownership and real estate investments.

Recent studies have identified a shifting paradigm in home search behavior, driven by the rapidly changing climate. This shift necessitates a new approach to thinking about real estate, one that incorporates climate risks into decision-making processes. The panelists delved into the ramifications of climate change and natural disasters, navigating the complexities of today’s real estate market, and envisioning a sustainable, resilient future.

Key Takeaways from the Panel

  • The Impact of Climate Change on Real Estate: Climate science predictions, based on the laws of physics, forecast more intense rain events, prolonged droughts, and more powerful hurricanes. These changes are consistent with recent record-setting weather events and are expected to impact almost every major sector of society, including real estate. 
     
  • Data-Driven Insights into Climate Risks: First Street Foundation leverages data to translate climate change projections into changing weather patterns, offering insights at a property level. This enables homeowners and buyers to understand exposure and consequence of event happening. It helps mitigate risks associated with flooding, wildfires, hurricane winds, and more. 
     
  • The Role of Real Estate Platforms: Realtor.com integrates First Street Foundation’s data directly into their platform, allowing consumers to make informed decisions based on climate risks. This approach highlights the necessity of access to accurate information when considering home purchases or sales. 
     
  • Adapting to Climate Risks: The panel emphasized the importance of homeowners taking proactive steps to mitigate climate risks. From upgrading infrastructure to adopting sustainable practices, there are numerous ways individuals can contribute to a more resilient future. 
     
  • Future Directions: The discussion also touched upon the need for continued research and innovative solutions to address the challenges posed by climate change in the real estate sector. Collaboration among scientists, policymakers, and industry professionals is crucial to developing strategies that ensure the long-term viability of our communities. 
     

The Path Forward

We are heartened to see the critical issue of climate change being discussed in the context of real estate at platforms like South by Southwest. It’s imperative that we not only understand and adapt to these risks but also strive for more accountability, especially from fossil fuel companies, in mitigating the damages and contributing to a sustainable future. The path forward requires concerted efforts from all stakeholders to address the impacts of climate change on our living spaces and communities.

Final Thoughts

As the panel at South by Southwest demonstrated, understanding and addressing climate risks is essential for building a sustainable future. By leveraging data and adopting proactive measures, homeowners, buyers, and industry professionals can navigate the complexities of today’s market, making informed decisions that contribute to resilience and sustainability. The conversation around climate and real estate is evolving, and continued dialogue, research, and innovation will be key to shaping a future that accommodates the realities of our changing world.

Feed humans before livestock – World Wildlife Fund

Photo by Kelly Sikkema on Unsplash
Photo by Kelly Sikkema on Unsplash

Transform UK farmland to boost food resilience and tackle nature crisis, says WWF.

By, Brendan Montague, The Ecologist (Creative Commons 4.0)

Half of the UK’s wheat harvest each year – equivalent to 11 billion loaves of bread – is being used to feed livestock in an “inherently inefficient” process that is fuelling climate change, a WWF report reveals.

The report shows the extent of farmland used to grow crops that are being used to feed animals instead of people. It explores the benefits for people, climate and nature of using more of the UK’s arable land to grow crops for human consumption instead, such as addressing the climate and nature crises and boosting the UK’s food resilience.

The latest report in WWF’s Future of Feed series highlights the fact that dairy and meat products provide only 32 percent of calories consumed in the UK and less than half of protein despite livestock and their feed making up 85 percent of the country’s agricultural land use.

Habitats

Growing crops like cereals to feed farm animals accounts for a significant proportion of this land-use footprint, according to the analysis in the report.

Wheat and barley grown to feed farmed animals in the UK using 2 million hectares of land – 40 percent of the UK’s arable land area.

Wheat grown in the UK each year to feed livestock – mostly chickens and pigs – makes up half of our annual wheat harvest and would be enough to produce nearly 11 billion loaves of bread.

Oats grown in the UK to feed livestock each year make up a third of our annual oat harvest and would be enough to produce nearly 6 billion bowls of porridge.

The UK imports large quantities of soy to feed pigs and poultry, fuelling the destruction of precious habitats overseas, like the Brazilian Cerrado.

Affordable

Replacing animal feeds like soy and cereal with alternatives like grass, by-products from the food supply chain, and innovative feed ingredients such as insect meal, would free up land to grow food for people, including high-value crops like fruits, vegetables, and nuts, and could be at the heart of a transition to nature-friendly regenerative agriculture.

The report recognises that this approach to feeding farm animals would necessitate a reduction in the overall numbers of livestock in the UK.

Kate Norgrove, executive director of advocacy and campaigns at WWF said: “We can’t afford to stay locked into a food system that’s not fit for purpose, with food prices soaring.

“Far too much of the food we eat is produced in ways that are fuelling the climate crisis and driving catastrophic nature loss, yet failing to deliver affordable, healthy food for all.

Biodiversity

“To make our food system truly shock-resistant we need to accelerate a shift to sustainable production, including rethinking the way we are using huge quantities of the UK’s most productive land to grow food for livestock instead of people.

She added: “UK governments can future-proof our food and bring huge benefits for nature and climate at the same time by ramping up support for farmers to transform our landscapes, making space for nature in farms and forests, fields and fens.”

Focusing purely on the carbon footprint of food production risks fuelling agricultural intensification and masking other negative environmental impacts, like pollution from the slurry or land conversion for feed production in chicken farming, which can have a low carbon footprint in comparison with pasture-fed beef, the report states.

It also highlights the importance of looking at a wider range of measures to evaluate the environmental impact of all aspects of food production, taking account of pressures on land, water, and biodiversity before drawing conclusions.

UN report: The world’s farms stretched to ‘a breaking point’

Photo by Quang Nguyen Vinh from Pexels
Photo by Quang Nguyen Vinh from Pexels

The world’s climate-stressed and pollution-degraded farming and agricultural system must shift quickly to sustainable practices to feed an additional 2 billion mouths expected by 2050, a new United Nations report finds.

By Dana Nuccitelli, Yale Climate Connections (CC BY-NC-ND 2.5)

Almost 10% of the 8 billion people on earth are already undernourished with 3 billion lacking healthy diets, and the land and water resources farmers rely on stressed to “a breaking point.” And by 2050 there will be 2 billion more mouths to feed, warns a new report from the United Nations Food and Agriculture Organization (FAO).

For now, farmers have been able to boost agricultural productivity by irrigating more land and applying heavier doses of fertilizer and pesticides. But the report says these practices are not sustainable: They have eroded and degraded soil while polluting and depleting water supplies and shrinking the world’s forests. The FAO report discusses some important climate change impacts, such as changing distribution of rainfall, the suitability of land for certain crops, the spread of insects and other pests, and shorter growing seasons in regions affected by more intense droughts. While not the sole source of obstacles facing global agriculture, the report makes clear that climate change is further stressing agricultural systems and amplifying global food production challenges.

The report also offers hope that the problems are solvable: Water degradation can be reversed by turning to smart planning and coordination of sustainable farming practices and by deploying new innovative technologies. More sustainable agriculture can also help fight climate change: For instance, the report notes that wiser use of soils can help sequester some of the greenhouse gasses currently emitted by agricultural activities. 

Drastic changes in climate will require regions to adjust the crops they grow. For example, the report predicts that much cereal production will probably have to move north, to Canada and northern Eurasia. Brazil and northern Africa may have a harder time growing coffee, but it may get easier in eastern Africa. A changing climate “may bring opportunities for multiple rainfed cropping, particularly in the tropics and subtropics.” And for areas “where the climate becomes marginal for current staple and niche crops, there are alternative annual and perennial tree crops, livestock, and soil and water management options available.”

The report recommends seed and germoplasm exchanges globally and among regions, and investments to develop crops that can withstand changes in temperature, salinity, wind, and evaporation.

The changes will not be easy, the report says, but they may be necessary to avoid widespread hunger and other catastrophes.

Extensive land and water degradation

Over the past 20 years, the global population has risen by more than 25% from just over 6 billion to nearly 8 billion people. The amount of land used to grow crops has increased by just 4% over that time, as farmers have been able to meet the growing demand for food by dramatically increasing the productivity per acre of agricultural land. They’ve done so, for example, by increasing use of diesel-fueled machinery, fertilizer, and pesticides.

But these practices have come at a price. “Human-induced degradation affects 34 percent (1,660 million hectares) of agricultural land,” the FAO reports. “The treatment of soils with inorganic fertilizers to increase or sustain yields has had significant adverse effects on soil health, and has contributed to freshwater pollution induced by run-off and drainage.”

This degradation is especially extensive on irrigated farmland. Irrigation has been critical for meeting food demand because it produces two to three times as much food per acre as does rain-fed farmland. But irrigation also increases runoff of fertilizers and pesticides that can contaminate soil and groundwater.

The FAO reports also that globally, agriculture accounts for 72% of all surface and groundwater withdrawals, mainly for irrigation, which is depleting groundwater aquifers in many regions. Global groundwater withdrawals for irrigated agriculture increased by about 20% over the past decade alone.

Similarly, the quality of 13% of global soil, including 34% of agricultural land, has been degraded. This degradation has been caused by factors such as excessive fertilizer use, livestock overgrazing causing soil compaction and erosion, deforestation, and decreasing water availability.


Deforestation trends offer one relatively bright spot in the FAO report. The global forested area has declined by about 1% (47 million hectares) over the past decade, but that is a significant improvement from the nearly 2% decline (78 million hectares) in the 1990s. And in the November 2021 international climate negotiations in Glasgow, 141 countries, covering 91% of global forested area, agreed to halt and reverse forest loss and land degradation by 2030. It remains to be seen, of course, how many reach those commitments.

Climate change is worsening food system breakdowns

Climate change exacerbates farmers’ challenges by making weather more extreme and less reliable. Extreme heat can stress crops and farm workers while increasing evaporation of water from soil and transpiration from plants, thus amplifying agricultural water demands. Here too, it’s not all bad news: Agricultural productivity is expected to increase in regions that are currently relatively cold, but decrease in places that are hotter and drier, especially as climate change exacerbates droughts.

As with others, farmers will need to adapt to the changing climate, and making those adaptations can be expensive. For example, as the primary or sole producer of many of the country’s fruits, vegetables, and nuts, California effectively acts as America’s garden. But climate change is exacerbating droughts and water shortages in the state, and farmers are struggling to adapt. About 80% of all almonds in the world are grown in California, generating $6 billion in annual revenue, but almonds are a very water-intensive crop. As a result, some farmers have been forced to tear up their lucrative almond orchards. It’s a stark reminder that “adaptation” can sound easy on paper, but in practice can sometimes be painful and costly.

Farmers and planners will need to adapt

Adaptation will nevertheless be necessary in the face of an anticipated 50% increase in food demand by 2050 (including a doubling in South Asia and sub-Saharan Africa), extensive land and water quality degradation, and a changing climate. The FAO report recommends four action areas to continue to meet rising global food demand.

  • First, adopting inclusive land and water governance through improved land-use planning to guide land and water allocation and promote sustainable resources management.

  • Second, implementing integrated solutions at scale, for example by helping farmers use available resources more efficiently while minimizing the associated adverse environmental impacts and also building resilience to climate change.

  • Third, embracing innovative technologies and management like remote sensing services; opening access to data and information on crops, natural resources and climatic conditions; and improving rainwater capture and increasing soil moisture retention.

  • Fourth, investing in long-term sustainable land, soil, and water management; in restoring degraded ecosystems; and in data and information management for farmers.

Fortunately, sustainable agricultural practices can also do double duty as climate solutions. The FAO reports that 31% of global greenhouse gas emissions come from agri-food systems. Sustainable farming practices like regenerative agriculture can require less diesel-fueled machinery and less reliance on soil- and water-polluting pesticides while increasing the carbon stored in farmed soils.

Solving these multiple problems will require planning and coordination, the FAO writes in the report, and “data collection needs to improve.” Again, a bright side: The technology to improve data collection already exists, and advances in agricultural research have also put other solutions within reach. What is needed now is for policymakers and planners to coordinate work with farmers to adopt more sustainable practices and adapt more quickly to the changing climate. So, while the food system is currently at a “breaking point,” these more sustainable solutions are all within reach.