How the World Cup spending boom is also an opportunity for income investors

As millions of soccer fans descend on stadiums in the United States for the World Cup to cheer on their teams, few are thinking about the makeovers the host cities underwent to handle the crowds. Most of those were financed with the help of municipal bonds. The U.S. is hosting 78 games across 11 cities, which started Friday and run through mid-July. Federal funding helped the cities prepare for the big event, but much of the capital investment required will be funded by cities and states — and that is where municipal bonds come in, Dan Close, head of municipals at Nuveen, said in a recent report . Yet while events like the Olympics used munis to fund projects that weren't used beyond the specific games, the World Cup investments will have a longer lasting impact, Close said in an interview with CNBC. "Cities did not waste this opportunity from the World Cup," Close said in an interview with CNBC. "They used it as a catalyst, or an excuse, to really do long delayed infrastructure projects that they've meaning to do." The municipal bond proceeds from the host cities are tied to four infrastructure categories: transit and ground transportation improvements, airport upgrades, convention and broadcast infrastructure, and urban connectivity and community infrastructure projects, he noted. For instance, Houston used munis to finance an airport expansion and Seattle extended its light rail. …