The North American Middle-Market Opportunity

Infrastructure is a fundamental aspect of society that connects businesses, communities and people, helping to support economic growth and quality of life. However, investment in essential infrastructure in North America and globally is failing to keep pace with current and expanding needs, leaving much of the world’s roads, energy infrastructure, pipelines and water systems in disrepair.

We believe the private infrastructure opportunity in North America is sizeable and has the ability to offer investors an attractive investment profile.

Benefits of Investing in Infrastructure

Essential infrastructure assets are typically characterized by:

  • Resilience to variations in the economic cycle owing largely to the inelastic demand for irreplaceable services;
  • Strong barriers to entry typically resulting from regulation, a concession-based structure, or contractual frameworks;
  • Stable, long duration cash flows typically linked to measures of economic growth; and
  • A relatively low correlation to traditional fixed income and public equity investments.

Our portfolio includes:

Civil Infrastructure

Skyservice Investments Inc.

JET Infrastructure

Leading Edge Jet Center

AMPORTS Inc.

Skyservice

InstarAGF owns a majority interest in Skyservice Investments Inc. (Skyservice), Canada’s leading provider of business aviation services operating out of facilities in Toronto, Montreal, Calgary and Ottawa. Frequently ranked among the top providers of Fixed-Base-Operations (FBO) services by industry publications such as Professional Pilot Magazine and Aviation International News Magazine, Skyservice also delivers aircraft management and maintenance services.

Skyservice’s business is characterized by high barriers to entry and creditworthy counterparties, and represents a strong foundation for further acquisitions as the FBO market consolidates. InstarAGF will partner with Skyservice’s management team to build the long-term value of the business, with a focus on world-class service, safety and security, and pursuing growth opportunities. We believe our investment in Skyservice enhances InstarAGF’s growing aviation infrastructure platform.

JET Infrastructure 

InstarAGF owns and manages a diversified portfolio of jet fuel pipelines and terminals, serving as the primary supplier to major hub airports and urban growth centres across the United States. Located in Memphis, Port Everglades, San Diego, Reno, Sacramento and Stockton, representing approximately 99 kilometres of underground pipes and total storage capacity of 896,000 barrels, JET Infrastructure delivers a critical aviation infrastructure service to a diversified customer base.  JET Infrastructure’s facilities are managed in partnership under a long-term operations and maintenance (O&M) contract with Buckeye Development & Logistics (BDL), which provides best-in-class O&M services for pipeline and energy assets across the United States.

We believe that JET Infrastructure’s business, which is competitively positioned and underpinned by long-term contracts, is poised for future growth as customers expand operations and air travel continues to increase.

Leading Edge Jet Center

InstarAGF owns and operates Leading Edge Jet Center (Leading Edge), the sole provider of business aviation and jet fueling services in Central Oregon, a growing region of the northwestern United States. LEJC provides fuel for commercial airlines and private aircraft at Redmond Municipal Airport and Bend Municipal Airport and services such as hangar space, de-icing, ground transportation, and aircraft maintenance and repair.   Central Oregon is one of the fastest-growing regions in the US with an increasing population, significant tourism appeal and a robust economic environment that has contributed to expanding commercial and private aviation activity.

With predictable cash flow underpinned by a diversified customer base, long-term leases and strong barriers to entry due to limited land, we believe that Leading Edge is a strong addition to InstarAGF’s growing North American aviation platform.

AMPORTS

InstarAGF owns an interest in AMPORTS, Inc. (AMPORTS), a premier, award-winning automotive port logistics and processing company based in Jacksonville, Florida, alongside its Canadian and international co-investors. 

AMPORTS is a vital link in the global transportation supply of many of the world’s largest automotive original equipment manufacturers (OEMs), providing customized, seamless logistical port-side services in vehicle processing, including rail loading and unloading, inspection, storage, accessory installations, and customizations, repairs and regulatory homologation services. AMPORTS, which directly owns approximately 50% of its land portfolio, operates from strategically-located facilities along major coastal zones in the United States and Mexico, thereby offering its customers superior access to land transport links and distribution networks in close proximity to major population centres.

With a focus on safety, quality, operational excellence and customer satisfaction, we believe AMPORTS is well positioned to expand and build on its 50-year legacy as an essential component of the North American automotive supply chain.

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Energy and Utilities Infrastructure

Okanagan Wind

Steel Reef Infrastructure Corp.

Creative Energy

Oilfield Water Logistics

Okanagan Wind

InstarAGF developed and operates two wind power projects in British Columbia’s Okanagan region totaling 30 megawatts of installed renewable energy capacity.

The two projects have been awarded 40-year electricity purchase agreements by BC Hydro, a creditworthy government agency.

Experienced construction and equipment providers were engaged under fixed-price contracts to construct and deliver the projects, which achieved commercial operations in early 2017. The facilities generate approximately 100,000 megawatt hours of clean electricity annually, enough to power the equivalent of approximately 9,000 homes.Notably, the projects have entered into Impact Benefit Agreements with local First Nation communities to provide access to job opportunities, annual benefit payments to the community, funds to support scholarships and continuing roles through the operations of the projects. 

Our wind projects establish a footprint for InstarAGF in British Columbia’s attractive renewable energy market, where favourable policies and growing electricity export opportunities to the U.S., among other drivers, suggest positive long-term dynamics and additional growth opportunities.

Steel Reef 

InstarAGF has an investment in Steel Reef Infrastructure Corp., a privately held Canadian midstream energy service company with a diversified portfolio of high quality assets that provide value-added services for the production and processing of oil, natural gas and natural gas liquids.

Steel Reef, which was established in 2012, partners with mid-sized upstream exploration and production (E&P) companies by purchasing or constructing their midstream infrastructure.  Steel Reef’s management team has deep industry experience and a record of constructing, operating and optimizing midstream assets.

Steel Reef’s facilities are located in high quality formations within the Western Canadian Sedimentary Basin, which is one of the world’s largest reserves of oil and natural gas.  These facilities, which are essential energy infrastructure, generate stable cash flow that is primarily underpinned by contracts with well capitalized counterparties.

We believe the basins in which Steel Reef operates have strong economic fundamentals and low producer breakeven points, and that Steel Reef is well positioned for continuing growth.

Creative Energy 

InstarAGF manages a North American district energy platform through a 50/50 partnership with Creative Energy, a neighbourhood thermal energy utility company operating one of Canada’s largest district energy networks. The partnership will develop, construct, finance, renew and manage urban energy infrastructure in across Canada and the United States. Creative Energy, which currently operates 14 kilometres of distribution pipes serving more than 210 buildings in British Columbia, has achieved an energy reliability of about 99.9% over the last 50 years of operations.

With the shared experience of our two teams, Creative Energy Developments is well positioned for growth as a leader in energy efficiency and safe, sustainable energy solutions for communities.

Oilfield Water Logistics (OWL)

InstarAGF owns and operates Oilfield Water Logistics (OWL), a leading provider of midstream water infrastructure and services to the energy industry in Texas, New Mexico, Colorado, Utah and Wyoming.  An established leader in the Permian Basin, OWL owns and operates the largest commercial produced water gathering and transportation system in the Northern Delaware Basin, one of the most active and economic oil and gas basins in North America with one of the highest water-to-oil ratios in the United States. 

OWL’s growing platform provides essential infrastructure supporting oil production across the midstream water value chain, including produced water gathering, transportation, reuse and disposal. With long-term stability and volume predictability for its exploration and production customers, we believe that OWL is strongly positioned to meet increasing customer demand and further expand its footprint and service offering. 

Realized Assets

Billy Bishop Toronto City Airport Passenger Terminal

Billy Bishop Toronto City Airport Passenger Terminal

InstarAGF was a member of Nieuport Aviation Infrastructure Partners GP, a consortium of local and international infrastructure investors that acquired the passenger terminal at Billy Bishop Toronto City Airport in January 2015.

Billy Bishop Airport, which is owned and operated by PortsToronto, is the ninth busiest airport in Canada and serves approximately 2.8 million passengers annually.  Overall, the airport is a major economic engine for the Greater Toronto Area and is renowned for its unique travel experience, efficiency and customer service.  It has won a series of passenger-driven awards, including being named one of the top airports globally and in North America in both the Airports Council International’s (ACI) Airport Service Quality Awards and Skytrax World Airport Awards. Billy Bishop Airport has also been ranked as the fourth Best International Airport by Condé Nast Traveler and has ranked top ten on Private Fly’s list for Most Scenic Airport Approaches in the world for five consecutive years.

InstarAGF divested its interest in Nieuport Aviation in February 2019.

Our portfolio includes:

Civil Infrastructure

Skyservice Investments Inc.

JET Infrastructure

Skyservice

InstarAGF owns a majority interest in Skyservice Investments Inc. (Skyservice), Canada’s leading provider of business aviation services operating out of facilities in Toronto, Montreal, Calgary and Ottawa. Frequently ranked among the top providers of Fixed-Base-Operations (FBO) services by industry publications such as Professional Pilot Magazine and Aviation International News Magazine, Skyservice also delivers aircraft management and maintenance services.

Skyservice’s business is characterized by high barriers to entry and creditworthy counterparties, and represents a strong foundation for further acquisitions as the FBO market consolidates. InstarAGF will partner with Skyservice’s management team to build the long-term value of the business, with a focus on world-class service, safety and security, and pursuing growth opportunities. We believe our investment in Skyservice enhances InstarAGF’s growing aviation infrastructure platform.

JET Infrastructure

InstarAGF owns and manages a diversified portfolio of jet fuel pipelines and terminals, serving as the primary supplier to major hub airports and urban growth centres across the United States. Located in Memphis, Port Everglades, San Diego, Reno, Sacramento and Stockton, representing approximately 99 kilometres of underground pipes and total storage capacity of 896,000 barrels, JET Infrastructure delivers a critical aviation infrastructure service to a diversified customer base.  JET Infrastructure’s facilities are managed in partnership under a long-term operations and maintenance (O&M) contract with Buckeye Development & Logistics (BDL), which provides best-in-class O&M services for pipeline and energy assets across the United States.

We believe that JET Infrastructure’s business, which is competitively positioned and underpinned by long-term contracts, is poised for future growth as customers expand operations and air travel continues to increase.

Leading Edge Jet Center

 

AMPORTS Inc.

 

Leading Edge Jet Center

InstarAGF owns and operates Leading Edge Jet Center (Leading Edge), the sole provider of business aviation and jet fueling services in Central Oregon, a growing region of the northwestern United States. LEJC provides fuel for commercial airlines and private aircraft at Redmond Municipal Airport and Bend Municipal Airport and services such as hangar space, de-icing, ground transportation, and aircraft maintenance and repair.   Central Oregon is one of the fastest-growing regions in the US with an increasing population, significant tourism appeal and a robust economic environment that has contributed to expanding commercial and private aviation activity.

With predictable cash flow underpinned by a diversified customer base, long-term leases and strong barriers to entry due to limited land, we believe that Leading Edge is a strong addition to InstarAGF’s growing North American aviation platform.

AMPORTS

InstarAGF owns an interest in AMPORTS, Inc. (AMPORTS), a premier, award-winning automotive port logistics and processing company based in Jacksonville, Florida, alongside its Canadian and international co-investors. 

AMPORTS is a vital link in the global transportation supply of many of the world’s largest automotive original equipment manufacturers (OEMs), providing customized, seamless logistical port-side services in vehicle processing, including rail loading and unloading, inspection, storage, accessory installations, and customizations, repairs and regulatory homologation services. AMPORTS, which directly owns approximately 50% of its land portfolio, operates from strategically-located facilities along major coastal zones in the United States and Mexico, thereby offering its customers superior access to land transport links and distribution networks in close proximity to major population centres.

With a focus on safety, quality, operational excellence and customer satisfaction, we believe AMPORTS is well positioned to expand and build on its 50-year legacy as an essential component of the North American automotive supply chain.

Energy and Utilities Infrastructure

Okanagan Wind

 

Steel Reef Infrastructure Corp.

 

Okanagan Wind

InstarAGF developed and operates two wind power projects in British Columbia’s Okanagan region totaling 30 megawatts of installed renewable energy capacity.

The two projects have been awarded 40-year electricity purchase agreements by BC Hydro, a creditworthy government agency.  Experienced construction and equipment providers were engaged under fixed-price contracts to construct and deliver the projects, which achieved commercial operations in early 2017.  The facilities generate approximately 100,000 megawatt hours of clean electricity annually, enough to power the equivalent of approximately 9,000 homes.

Notably, the projects have entered into Impact Benefit Agreements with local First Nation communities to provide access to job opportunities, annual benefit payments to the community, funds to support scholarships and continuing roles through the operations of the projects. 

Our wind projects establish a footprint for InstarAGF in British Columbia’s attractive renewable energy market, where favourable policies and growing electricity export opportunities to the U.S., among other drivers, suggest positive long-term dynamics and additional growth opportunities.

Steel Reef

InstarAGF has an investment in Steel Reef Infrastructure Corp., a privately held Canadian midstream energy service company with a diversified portfolio of high quality assets that provide value-added services for the production and processing of oil, natural gas and natural gas liquids.

Steel Reef, which was established in 2012, partners with mid-sized upstream exploration and production (E&P) companies by purchasing or constructing their midstream infrastructure.  Steel Reef’s management team has deep industry experience and a record of constructing, operating and optimizing midstream assets.

Steel Reef’s facilities are located in high quality formations within the Western Canadian Sedimentary Basin, which is one of the world’s largest reserves of oil and natural gas.  These facilities, which are essential energy infrastructure, generate stable cash flow that is primarily underpinned by contracts with well capitalized counterparties.

We believe the basins in which Steel Reef operates have strong economic fundamentals and low producer breakeven points, and that Steel Reef is well positioned for continuing growth.

Creative Energy

Oilfield Water Logistics

Creative Energy

InstarAGF manages a North American district energy platform through a 50/50 partnership with Creative Energy, a neighbourhood thermal energy utility company operating one of Canada’s largest district energy networks. The partnership will develop, construct, finance, renew and manage urban energy infrastructure in across Canada and the United States. Creative Energy, which currently operates 14 kilometres of distribution pipes serving more than 210 buildings in British Columbia, has achieved an energy reliability of about 99.9% over the last 50 years of operations.

With the shared experience of our two teams, Creative Energy Developments is well positioned for growth as a leader in energy efficiency and safe, sustainable energy solutions for communities.

Oilfield Water Logistics (OWL)

InstarAGF owns and operates Oilfield Water Logistics (OWL), a leading provider of midstream water infrastructure and services to the energy industry in Texas, New Mexico, Colorado, Utah and Wyoming.  An established leader in the Permian Basin, OWL owns and operates the largest commercial produced water gathering and transportation system in the Northern Delaware Basin, one of the most active and economic oil and gas basins in North America with one of the highest water-to-oil ratios in the United States.

OWL’s growing platform provides essential infrastructure supporting oil production across the midstream water value chain, including produced water gathering, transportation, reuse and disposal. With long-term stability and volume predictability for its exploration and production customers, we believe that OWL is strongly positioned to meet increasing customer demand and further expand its footprint and service offering.

Realized Assets

Billy Bishop Toronto City Airport Passenger Terminal

Billy Bishop Toronto City Airport Passenger Terminal

InstarAGF was a member of Nieuport Aviation Infrastructure Partners GP, a consortium of local and international infrastructure investors that acquired the passenger terminal at Billy Bishop Toronto City Airport in January 2015.

Billy Bishop Airport, which is owned and operated by PortsToronto, is the ninth busiest airport in Canada and serves approximately 2.8 million passengers annually.  Overall, the airport is a major economic engine for the Greater Toronto Area and is renowned for its unique travel experience, efficiency and customer service.  It has won a series of passenger-driven awards, including being named one of the top airports globally and in North America in both the Airports Council International’s (ACI) Airport Service Quality Awards and Skytrax World Airport Awards. Billy Bishop Airport has also been ranked as the fourth Best International Airport by Condé Nast Traveler and has ranked top ten on Private Fly’s list for Most Scenic Airport Approaches in the world for five consecutive years.

InstarAGF divested its interest in Nieuport Aviation in February 2019.

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InstarAGF Asset Management Inc.
Toronto Dominion Bank Tower
66 Wellington Street West, 31st Floor
Toronto, ON M5K 1E9
416-815-6224