US-based Aviation Facilities Company Management (AFCO) said it has raised more than $36 million in financing for a new air cargo facility at Baltimore Washington Thurgood Marshall International Airport (BWI).
The company said the funds will finance the construction of a 200,000 square foot air cargo facility and a 450,000 square foot aircraft parking apron at BWI.
Completion of these projects is expected by October 2019. A case study on the AFCO website, says the development is to meet demand from a major e-commerce retailer.
The transaction has also seen the set-up of AFCO Airport Real Estate Group (AFCO AREG), a new financing for 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,” said AFCO president and CEO, Chuck Stipancic.
Financing for the projects come from the sale of Series 2019 Airport Revenue Bonds issued by the Maryland Economic Development Corporation, which allows AFCO to combine multiple business assets to create a single entity.
AFCO AREG was created to fund the BWI project and to provide a source of debt financing for AFCO’s ongoing portfolio growth program.