Henry Cisneros Firm Picked as an Investment Partner for a JFK Project 

(Bloomberg) -- A minority-owned private equity firm led by Clinton administration veteran Henry Cisneros has been selected as an investment partner for a project at New York's John F. Kennedy International Airport.

American Triple I Partners will contribute 30% of the equity for the redevelopment of terminals 6 and 7 at JFK, according to Chief Executive Officer David Cibrian. The firm's investment amounts to about $180 million, according to a person with knowledge of the matter who requested anonymity.

The New York-based firm joins an investor group consisting of JetBlue Airways Corp., Vantage Airport Group and RXR Realty. Cisneros, who serves as chairman and co-chief investment officer at American Triple I, was mayor of San Antonio and led the U.S. Department of Housing and Urban Development under President Bill Clinton.

The addition of American Triple I, a 100% minority-owned business, helps the consortium meet Governor Andrew Cuomo's goal for the JFK redevelopment plan to include 30% participation from minority and women-owned business enterprises, known as MWBEs.

Its participation “strengthens and diversifies” the investor group, Lisa Reifer, an executive at JetBlue, said in a statement.

“This project is a linchpin to fulfilling the governor's goal of a complete and total redevelopment of JFK Airport,” Cisneros, who led the U.S. Department of Housing and Urban Development under President Bill Clinton, said in a separate statement.

Read More: Henry Cisneros, Clinton HUD Chief, Plans Infrastructure Firm

Another project at JFK to redevelop Terminal 1, Terminal 2 and the former Terminal 3, is led by Carlyle Group LP and includes JLC Infrastructure, which is an MWBE. The overall plan to revamp the airport carries an estimated $13 billion price tag.

Infrastructure-focused investment firms are aggressively raising capital, with a record 241 funds seeking a combined $200 billion globally at the beginning of the fourth quarter, with half of that in North America, according to data provider Preqin.

Airport deals in the U.S. have been rare, and two failed efforts to privatize Chicago Midway International Airport have driven some firms to focus on terminal projects. Oaktree Capital Group is exploring options including a partial sale of its right to operate the south terminal at Austin-Bergstrom International Airport in Texas, Bloomberg News reported earlier this year.

To contact the reporter on this story: Gillian Tan in New York at gtan129@bloomberg.net

To contact the editors responsible for this story: Alan Goldstein at agoldstein5@bloomberg.net, Craig Giammona, Josh Friedman

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