The American Investment Council (AIC) and Pitchbook have published a new report, Building America’s Infrastructure: How Private Equity Improves Local Communities, highlighting how private equity investments in critical infrastructure nationwide are improving Americans’ daily lives. The report details the industry’s impact across major sectors of American infrastructure—ranging from construction and engineering to data centres, telecommunications, and energy production. These longer-term investments increase housing availability, boost energy efficiency, and create new job opportunities.
The demand for more housing supply is a major driver for the industry to continue investing in building products and construction firms for the long-term. According to the report, in 2024 alone, private equity firms closed 140 construction and engineering deals for an aggregate value of $7.7 billion.
Meanwhile, as demand for datacentres surges in an era of AI-driven digital transformation, private equity investments are shoring up existing telecom assets that require longer-term capital for refurbishments resulting in faster throughput, higher load capacity, and streamlined logistics. One such example is the recent $8 billion financing package for global datacentre REIT CyrusOne, which is fueling the openings of new centres across Illinois, Ohio, and Texas.
In 2024, private equity investment increased both the amount and value of energy equipment deals in oil & natural gas, alternative energy, and other subsectors. This investment in different types of energy production is critical for generating the power required to advance artificial intelligence technologies, which is much-needed for maintaining the United States’ leadership in this industry.
As Drew Maloney, President & CEO of the AIC, explains, “investing in robust infrastructure is essential for the growth of our economy, and private equity is playing a pivotal role by providing the capital and expertise needed to strengthen infrastructure across communities nationwide”.
