Climate change will impact all aspects of tourism, particularly lodging. From construction to operations, from changes in market mix and demand to risk mitigation, we must adapt to the new reality.

How we build and operate hotels is critical if we are to contribute positively to the challenge. Hotel construction is a complex activity with many actors – from developers to REITs to management companies and brands - each playing distinct roles. Aligning the carbon reduction goals of the whole network is necessary for the best results. We know that construction sets the stage for the lifetime carbon footprint of a hotel and that construction itself is carbon-intensive. The LEED certification is 25 years old, yet many buildings do not incorporate principles of energy efficiency in their construction, let alone seek the certification. And for those hotels not constructed to be energy efficient – we must commit to capital improvement to improve efficiencies. All while building our capacity to operate every day in a more energy-efficient manner.

Beyond these mitigation activities, we must be ready to change and adapt. The trends are clear. The insurance industry is already signaling that construction in places with the greatest exposure to climate risk will be harder – and more expensive to insure. In the US, that includes places like Florida and California – two states heavily reliant on tourism. While we may very well continue to operate in these places, the cost of doing business will change significantly, as will the lifetime value of the hotel asset.

Finally, we must watch the market trends as demand changes. Just deciding to go somewhere else is one of the easiest adaptations a traveler can make. And assuming climate impacts will be predictable is a fool"s errand. The change will be nonlinear and include surprises as the market decides the near-term "winners."