diff --git a/src/hyp3_isce2/water_mask.py b/src/hyp3_isce2/water_mask.py
index e73fccd2..f5e3fa04 100644
--- a/src/hyp3_isce2/water_mask.py
+++ b/src/hyp3_isce2/water_mask.py
@@ -35,7 +35,8 @@ def create_water_mask(input_tif: str, output_tif: str):
 
     src_ds = gdal.Open(input_tif)
 
-    dst_ds = gdal.GetDriverByName('GTiff').Create(output_tif, src_ds.RasterXSize, src_ds.RasterYSize, 1, gdal.GDT_Byte)
+    dst_ds = gdal.GetDriverByName('GTiff').Create(output_tif, src_ds.RasterXSize, src_ds.RasterYSize, 1, gdal.GDT_Byte,
+                                                  ['COMPRESS=LZW', 'TILED=YES', 'NUM_THREADS=ALL_CPUS'])
     dst_ds.SetGeoTransform(src_ds.GetGeoTransform())
     dst_ds.SetProjection(src_ds.GetProjection())
     dst_ds.SetMetadataItem('AREA_OR_POINT', src_ds.GetMetadataItem('AREA_OR_POINT'))
diff --git a/tests/test_water_mask.py b/tests/test_water_mask.py
index 17fa23f5..8d4ecb44 100644
--- a/tests/test_water_mask.py
+++ b/tests/test_water_mask.py
@@ -63,7 +63,9 @@ def test_create_water_mask_with_no_water(tmp_path, test_data_dir):
     assert info['bands'][0]['type'] == 'Byte'
     assert info['bands'][0]['minimum'] == 1
     assert info['bands'][0]['maximum'] == 1
+    assert info['bands'][0]['block'] == [256, 256]
     assert info['metadata']['']['AREA_OR_POINT'] == 'Area'
+    assert info['metadata']['IMAGE_STRUCTURE']['COMPRESSION'] == 'LZW'
 
 
 def test_create_water_mask_with_water_and_land(tmp_path, test_data_dir):
@@ -74,7 +76,9 @@ def test_create_water_mask_with_water_and_land(tmp_path, test_data_dir):
     info = gdal.Info(output_tif, format='json')
     assert info['geoTransform'] == [200360.0, 80.0, 0.0, 1756920.0, 0.0, -80.0]
     assert info['bands'][0]['type'] == 'Byte'
+    assert info['bands'][0]['block'] == [256, 256]
     assert info['metadata']['']['AREA_OR_POINT'] == 'Point'
+    assert info['metadata']['IMAGE_STRUCTURE']['COMPRESSION'] == 'LZW'
 
     ds = gdal.Open(str(output_tif))
     data = ds.GetRasterBand(1).ReadAsArray()