Funds raised for cargo development at Baltimore airport
29 / 08 / 2019
By Damian Brett
An affiliate of Aviation Facilities Company Management has raised more than $36m in financing for a new air cargo facility at Baltimore Washington Thurgood Marshall International Airport (BWI).
AFCO will use the funds to construct a 200,000 sq ft air cargo facility, 450,000 sq ft of aircraft parking apron, and related infrastructure at BWI, which will be completed this coming October.
The transaction also established AFCO Airport Real Estate Group (AFCO AREG), a new financing vehicle for AFCO.
The financing comes from the sale of Series 2019 Airport Revenue Bonds issued by the Maryland Economic Development Corporation as part of an “expandable Obligated Group structure”.
Initial properties in the Obligated Group include the BWI project and other AFCO properties at BWI, Dallas/Fort Worth International Airport and Mather Field in Sacramento.
“We are very pleased to successfully close on the bond sale and establish this creative financing vehicle,” said Chuck Stipancic, president and chief executive of AFCO.
“Not only was the financing important for our BWI project, but AFCO AREG is another tool in our toolbox for delivering efficient, flexible and cost-effective financing solutions on future airport infrastructure projects.”
The Series 2019 Bonds were underwritten by Goldman Sachs & Co.