Adapting cities for aresilient future Contents 3JLL foreword5About the research6Executive summary and key findings8Chapter 1: Introduction: retrofitting for urban resilience10Chapter 2: Building for resilience: what is driving retrofitting progress?20Chapter 3: Behind the brick wall: why retrofitting momentum lags23Chapter 4: Race to renewal: building retrofitting momentum to 203030Conclusion32Acknowledgements33References JLL foreword What’s in a skyline? More than a backdropto life, every building plays its part in howour cities function. From offices where wecraft ideas and factories where machinesmake and move the goods we depend on,to hospitals where we care for one another,campuses where we share wisdom, and sportsvenues where we redefine what it means tobe human—today’s buildings make our livespossible. Cynthia KantorCEO, Project &DevelopmentServices, JLL But in our rapidly growing cities, many of thesebuildings are showing their age. We know that roughly half of all global workspace will require substantial investmentsoon—it could take upwards of US$1.2trn1in capital expenditure to bringthose workplaces up to today’s standards. And that’s just the office sector. Today’s leaders across government, business, real estate and sustainabilitystand on the verge of key decisions over the real estate we see today—and the vision we hold for the spaces of tomorrow. The key question toexplore: how can our built environment shape more livable cities with safe,sustainable, and climate-resilient infrastructure, while also supportingbusiness imperatives? In a word, retrofitting. New research makes a powerful case for ‘radical retrofitting’ across theglobe. Led by Economist Impact and supported by JLL, this report showshow momentum is growing for demand-driven retrofitting, but adoption isfar from where it needs to be. Demand for high-performance buildings consistently outpacessupply worldwide, propelled by escalating energy costs, changingbuilding regulations, and economic forecasts pointing to higher futureresourceprices. Strategic retrofitting extends asset lifespan and delivers measurable ROI.In fact, even moderate retrofits can result in energy cost reductions ofbetween 30% and 60% along with significant rent premiums. Upgradedproperties attract prize tenants and talent looking for productiveenvironments, while awarding investors and lenders with a reduced riskprofile. Building upgrades represent not just incremental improvements but atransformation in how we conceive, value, and utilize built environmentsacross the global economy. Entire markets have the potential to bereshaped for a more competitive and resilient urban landscape. Thisreport chronicles momentum city by city, outlining pathways to accelerateprogress over the next five years. The skyline of the future can fuel business resilience, manage risk, andcreate long-term value. With the collective participation of lawmakers,investors, developers, lenders, and tenants—and US$600bn in dry powderwaiting for investment globally—we have a powerful and humblingopportunity to reimagine the world’s cities and co-create a brighter future,for all. Turn the page and join us. About this research Radical retrofit: adapting cities for a resilient futureis an Economist Impactreport, supported by JLL. This research is part of Economist Impact’sUrban Futures initiative, which aims to empower decision-makers to leadsustainable urban transformation—tackling the climate crisis, advancingthe energy transition and building cities fit for the future. The reportexplores how building retrofits and adaptive reuse enable cities aroundthe world to create climate-resilient infrastructure, optimize space, createproductive, experience-led workplaces, and nurture public safety andwell-being. It examines the drivers and barriers to retrofitting in bothleading global cities and emerging urban centers, accounting for divergenteconomic contexts. Retrofitting progress and gaps are examined through amultistakeholder lens, with emphasis not just on policymakers, developersand service providers, but also on tenants and owners. Assessing the gapsand exploring best practice case studies from global cities, the reportconcludes by identifying pathways to accelerate retrofitting progress overthe next five years. The research is based on an Economist Impact survey of 1,000 seniorexecutives, directors and business unit heads across the built environmentsectors, including construction, real estate development and management,and engineering and design in 12 cities in the Americas, Asia-Pacific,and Europe, Middle East and Africa: Berlin, Delhi, Dubai, London, LosAngeles, Mexico City, New York City, Paris, Singapore, Sydney, Tokyoand Washington, D.C. The survey insights were complemented byan expert advisory and interview program with representatives fromthink tanks, industry and city coalitions, as well as technology andarchitecturecompanies. Executive summaryand key findings Cities a