Good News: Pension Funds Eye US Infrastructure Deals Like Toll Roads. (For the Bad News, See Below.)

Pensions & Investments reports, “Pension funds and other asset owners increasingly are investing in U.S. infrastructure, often buying the assets from infrastructure money managers. This could be a win-win. Investor interest comes at a time when the first crop of infrastructure funds raised in the U.S. in 2004 and 2005 are coming to the end of their 10-year life span. Managers are expected to bring more transactions to market to take advantage of growing interest by direct investors.” The report cites recent pension fund investments in the Chicago Skyway and the Indiana Toll Road, and adds, “[The California Public Employees’ Retirement System] also is among the finalists bidding on Virginia’s Pocahontas Parkway, which Macquarie put up for sale this year, sources said. Canada Pension Plan already owns a stake in the toll road. . . .”