HedgeCo.Net — Harrison Street Asset Management on September 30, 2026 announced it has agreed to acquire a majority equity position in Vicinity Energy, the largest U.S. district energy provider, from Antin Infrastructure Partners in a transaction valuing Vicinity at a total enterprise value of $2.92 billion. Harrison Street, which reports more than $110 billion in assets under management, is buying through a joint venture with NYSE- and TASE-listed Kenon Holdings.
Kenon said it will acquire a 25% indirect interest for approximately $450 million in cash, and that a lender consortium has committed non-recourse debt financing of up to $1.4 billion to fund part of the purchase price and future growth capex. According to Kenon, Vicinity generated approximately $611 million of 2025 revenue, its expected annualized run-rate adjusted EBITDA is above $140 million based on unaudited management information, and its contracts carry a weighted average tenor of about 15 years with inflation-linked escalators and fuel cost pass-throughs.
Vicinity supplies steam, hot water, and chilled water to more than 700 customers across roughly 1,000 buildings in 12 cities, including Boston and Philadelphia, over more than 140 miles of underground pipe. The Boston Globe reported that Antin will keep a minority stake and that Vicinity was valued at $1.25 billion when Antin agreed to buy it from Veolia in 2019. Closing is expected in the first half of 2027, subject to regulatory approvals.
For infrastructure LPs, the deal is a clean read on how sponsors are pricing contracted, inflation-linked urban utility cash flows: the headline value is roughly 21 times the stated run-rate EBITDA figure by HedgeCo.Net’s arithmetic, and more than double Antin’s 2019 entry valuation. It also shows a sponsor-to-sponsor exit structured as a partial sale, with the seller retaining exposure rather than taking a full exit.