Sector Investment 8 Hours

Last updated: April 24, 2026, 8:30 AM ET

Infrastructure & Real Estate Capital Raising

Fundraising remains heavily skewed toward established managers, with the top 10 funds raising a combined $403 billion between 2021 and 2025, underscoring significant concentration risk in the sector. Despite this trend, specialist managers are seeing traction; Basalt secured $1.5 billion in its first close for its fifth infrastructure fund, reaching the halfway mark toward its $3 billion goal only eight months post-launch. Concurrently, asset managers are rethinking strategy amid market shifts, as seen with Australia’s Qualitas expanding its direct real estate capabilities under Jesse Curtis to focus on stable, income-producing assets as the cost of capital environment tightens.

Investment Environment & Deal Flow

Market participants are finding that climbing capital costs are actively straining deal flow, forcing firms to rework existing capital stacks amid mounting global geopolitical risk. This rising cost of debt and equity is creating headwinds for broader transaction volumes across the real estate and infrastructure sectors, even as certain niche funds manage to secure substantial initial commitments during the early close. The pressure forces managers like Qualitas to pivot toward in-house asset management for income-producing strategies, seeking more predictable returns in an environment characterized by economic noise and financing strain.