The rise of non-traditional infrastructure assets
We’re seeing a build-up of institutional investment capital at a time when there is a relative dearth in traditional infrastructure targets, such as ports, airports and toll roads.
This has combined with climate change, evolving demographics, technological disruption and a low interest rate environment to push investors towards potentially higher yielding non-core investments and infrastructure-like assets - investments and assets that need capital expenditure and seek to offer similarly stable cash flows.
Recent government stimulus has prioritised digitisation in response to structural workplace changes and evolving consumer behaviours amplified by the COVID-19 pandemic. We’re seeing a corresponding shift in private sector infrastructure investment, as a changing social landscape and positive government cash flows point to longer-term revenue certainty through digital assets.
King & Wood Mallesons continues to build an impressive deal sheet around non-core assets and clients value our ability to benchmark the opportunities and risks in new and highly regulated areas of infrastructure investment and operation.
Thorough due diligence is critical to valuations and our overview of the market, across assets, means we’re well-placed to be able to identify the infrastructure-like characteristics that clients are looking for in projects.
The definition of infrastructure is evolving and so are the needs of our clients. Our hybrid infrastructure specialists are the advisors of choice on several upcoming projects and sales and we’re well placed to assist clients with the issues associated with a range of non-core assets.
Our experience includes advising on:
- Data centres and data security
- Mobile telecommunications, radiocommunications and television broadcast assets
- Digital registries such as land titles and vehicle licensing
- Student accommodation
- Car parks
- Smart metering