Coastal cities, as centres of human habitation, economic activity and biodiversity, are confronting the ever-escalating challenges posed by climate change. In this work, a novel Multi-Hazard Risk Assessment framework is presented with the focus on Coastal City Living Labs. The methodology provides a comprehensive assessment of climate-related hazards, including sea-level rise, coastal flooding, coastal erosion, land flooding, heavy precipitation, extreme temperatures, heatwaves, cold spells, landslides and strong winds. Its application is illustrated through a case study: the Coastal City Living Lab of Benidorm, Spain. The methodology incorporates remote sensing data from various satellite sources, such as ERA5, Urban Atlas and MERIT DEM, to evaluate multiple hazards through a systematic and standardized indicator-based approach, offering a holistic risk profile that allows for comparison with other European coastal cities. The integration of remote sensing data enhances the accuracy and resolution of hazard indicators, providing detailed insights into the spatiotemporal dynamics of climate risks. The incorporation of local expertise through the Coastal City Living Lab concept enriches data collection and ensures context-specific adequacy. The integration of local studies and historical extreme climate events enhances the validity and context of the risk indicators. The findings align with regional trends and reveal specific vulnerabilities, particularly related to heatwaves, heavy rainfall, and coastal flooding. Despite its strengths, the MHRA methodology faces limitations, including reliance on outdated datasets and the complexity of integrating multiple hazards. Continuous updates and adaptive management strategies are essential to maintain the accuracy and relevance of risk assessments. The broader implications of the methodology for global coastal cities highlight its potential as a model for developing targeted adaptation strategies.