The global transition to a low carbon economy leads to both carbon-related risks (e.g. carbon taxes, more stringent energy/carbon standards), and opportunities (e.g., lower operating costs, revenue generation through onsite renewables, slower obsolescence, etc.).  Although market research is beginning to demonstrate the existence of brown discounts and green premiums, these elements are not yet fully priced into traditional real estate evaluation models, which leads to a risk of asset mispricing. That is why Ivanhoé Cambridge developed a Green IRR approach which accounts for a price on carbon and a more comprehensive assessment of the long-term benefits derived from green CapEx investments. This session will provide a practical overview of Ivanhoé Cambridge's Green IRR approach with concrete examples, while integrating market evidence on sustainability premiums from MIT and the perspective from the appraisals industry. The speakers will then discuss how we as an industry can collectively improve our financial models to accelerate the decarbonization of the real estate industry.