Listed property group Lend Lease has hired Babcock & Brown's infrastructure team to establish an advisory business focused on public-private partnerships (PPP).
The business is branded as Capella Capital and will be led by former Babcock & Brown head of infrastructure John Bowyer.
The group includes 15 people who all worked with Bowyer at Babcock & Brown.
Capella Capital will target economic and social PPPs, including schools, hospitals and defence.
The development of toll roads would not be part of Capella Capital's investment mandate, Lend Lease global head of public-private partnerships Mark Menhinnitt said.
"We will only be providing advice to such projects," Menhinnitt said.
Lend Lease had been active in the PPP market in the United States and United Kingdom, but had not been as active in the Australian market, he said.
"The exit of a number of firms that were involved in this space has given us the opportunity to expand locally," he said.
He said businesses such as banks no longer had the ability to invest equity or originate PPP deals like they were able to before the market crisis.
The firm would look to tap into the industry superannuation sector to finance completed PPP deals, he said.
