Green-loan covenants you can't enforce
Green clauses require borrowers to improve EPC ratings against a defined trajectory. Without benchmarking, you have no way to tell whether borrowers are on track or in breach.
Price transition risk on your loan book.
Green-loan covenants and the MEES 2028 deadline are already moving collateral values across UK commercial loan books. Building Atlas screens every asset in the book for transition risk and tells you which covenants you cannot currently enforce, so the exposure stops being something you read about in a regulator's letter and starts being something you can act on.
Portfolio-scale
screening
MEES 2028
risk flagged
Lender-grade
output
What lenders can't see without a plan.
Unquantified transition risk
MEES 2028 will move collateral values. Most lenders have no systematic view of which assets in their book are exposed.
Unpriced physical climate risk on collateral
A mortgage on a flood-zone asset approaching the 2030 horizon is a collateral risk that current LTV models don't capture.
Regulatory pressure
TCFD, Basel, and FCA climate risk guidance all point to portfolio-level transition risk disclosure.
87% of UK office stock requires improvement to meet the proposed EPC B 2030 target, and 85% currently sits at EPC C or below.
Source: Savills.
Systematic risk screening at portfolio scale.
Covenant compliance tracking
Alerts when EPC or energy data changes materially for assets on your book, so green-loan covenant performance is tracked without manual re-screening.
Asset-level MEES status
Current EPC rating, projected trajectory, and compliance gap for each property in your book.
Stranded asset flags
Automated identification of assets at highest risk of value erosion under MEES 2028.
Portfolio concentration view
Aggregate exposure by sector, geography, and EPC band, ready for risk committee.
Physical risk horizon modelling
Flood, heat stress, water stress, precipitation, and coastal erosion assessed at 2030 and 2050 horizons, per asset — feeding directly into collateral risk and TCFD-aligned disclosure.
Document intelligence on collateral
Pull EPCs, valuation reports, and existing surveys from the deal file. Ask plain-English questions across the loan book — "which assets in the SE region have D-rated EPCs expiring before refinancing?" — and surface covenant gaps in seconds.
The regulations driving disclosure and capital costs.
Real-estate finance teams now face climate transition risk obligations from several overlapping regimes. Building Atlas produces the underlying data each one needs.
MEES 2028
EPC E or above is required for all commercial lettings. Assets that fail to comply face letting restrictions and material value erosion, which is collateral risk that most current LTV models do not capture.
TCFD / IFRS S2
Climate-related financial disclosure. Banks reporting under TCFD or transitioning to IFRS S2 must quantify physical and transition risk across loan books at portfolio level.
FCA climate risk guidance
FCA expects firms to integrate climate-related financial risk into their risk management frameworks, with portfolio-level transition risk disclosed to investors and customers.
Basel / PRA climate stress
PRA SS3/19 sets supervisory expectations for climate risk in capital and credit assessments. Lenders need defensible asset-level data to feed scenario testing.
EU Taxonomy / SFDR
Where loan books touch EU-domiciled funds or borrowers, alignment with the EU Taxonomy and SFDR Article 8/9 requires verifiable building-performance data.
Proposed EPC B 2030
Government consultations point to EPC B as the minimum non-domestic standard from 2030. Forward-priced exposure depends on knowing today which assets are off-trajectory.