IBJNews

Airport may carve up ex-terminal property

Back to TopCommentsE-mailPrintBookmark and Share

Don’t read too much into a new map of the 315-acre former passenger terminal and parking lots at Indianapolis International Airport that shows four distinct parcels up for redevelopment.

Airport managers say they haven’t given up hope that a single, mega-sized tenant could create an economic development boon at the site abandoned nearly four years ago when the midfield terminal opened.

rop-terminal-091012-15col.jpg The 1,800-space parking garage at the former passenger terminal will be preserved. (IBJ file photo)

But the Indianapolis Airport Authority’s latest listing of redevelopment sites shows the former terminal complex being marketed in pieces: 167 acres available where the old terminal building sits, 121 acres consisting of the former long-term parking lots, and two smaller plots totaling 27 acres at the northeast corner of the airport.

“You do not want [prospects] to discount the property because it’s too large for them … . It’s always easier to ‘go up,’” said Eric Anderson, property director for the IAA.

Anderson said the former terminal generates more inquiries than any other site the IAA has for lease. The airport authority has begun demolishing parts of the former terminal to make it more shovel-ready to any number of potential clients. The terminal’s 1,800-space parking garage is being preserved.

Anderson declined to identify current prospects, but said they come from industries ranging from aviation to advanced manufacturing to transportation.

Tantalizingly, Anderson said at least one inquiry has been about leasing the entire former terminal site. That would suggest a use dependent on direct access to the airfield.

“One entity taking the whole site would be a great boon to the city and the whole metropolitan area,” he said.

Besides airfield access, one big selling point to the former terminal area is pre-existing gas/electric/water and telecommunications infrastructure, plus storm-water capture.

The airport’s land use plan contemplates aviation-related, advanced manufacturing and logistics operations on the former terminal site.

But one drawback to the airport is that there’s still ample land available near the airport in Marion County and to the west in Hendricks County, said Ross Reller, a commercial real estate broker at the local office of Seattle-based Colliers International.

“We have not seen users who require [airport] on-campus presence,” Reller said.

Leasing land from the airport also invites questions about possible restrictions in terms of land use, questions about what can be built on airport land, and regulations inherent with a government-owned parcel, he added.

The IAA’s Anderson agreed there is still an ample supply of development sites outside the airport but said he’s not heard concerns that operating at the airport would be problematic.

He said the airport is concerned about making the most of its finite supply of land accessible to runways and that the airport has to fulfill its obligations under federal grants used to acquire property over the years.

terminal-map.gifMichael Wells, president of the IAA board, said big-box warehouses might be an underutilization of the former terminal property. He remains bullish on an air-rail-truck intermodal facility. CSX’s Avon rail yard is just a few miles to the west.

Other potential tenants are specialized air freight carriers, he said, pointing to how Cargolux operates trans-Atlantic flights into Indianapolis.

The airport could also build off its existing strengths in aircraft repair, Wells said, noting that AAR Corp. is going gangbusters repairing aircraft at the former United Airlines base on the west side of the airport. He wonders whether related companies, such as specialized aircraft component makers, would be ripe for the old terminal site and complement existing airport operations.

He said airport officials will explore trying to lure those manufacturers to Indianapolis.

One big draw for the vast sea of parking lots is that they border Interstate 465, allowing quick access to that highway and to Interstate 70.

Some have wondered if FedEx, which operates its second-largest U.S. air hub at Indianapolis, might find use for the old terminal space. FedEx has warned of slowing shipping growth ahead, however, as the economy remains tepid.

A fantasy tenant for the old terminal would be an air cargo operator the likes of UPS. That shipper already operates a bustling hub in Louisville, however.

The authority is also busy trying to fill other vacant space. The U.S. Postal Service is to end truck-based operation at its former air cargo hub at the airport by the end of the year. The building has direct airfield access.

It’s also still trying to restore to full occupancy the former ATA Airlines campus at Washington Street and Girls School Road.

Ivy Tech Community College is converting part of the ATA space for an airport campus.•

ADVERTISEMENT

  • Non Airport Usage
    At what point in time does property that was removed from the tax rolls go back on the tax roles? If the airport isn't using this property as an airport why are they allowd to keep that property?

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
 
Subscribe to IBJ
  1. Good Day I am Mr (Victoria Wright) from United state of America, i stayed in NEW YORK, and i have a broke up business, until i found this company email who help me to gain a loan for business,, and now i want to used this short medium to congratulate the below company for the fast and safe money they loan to me without any form of collateral, i loan 500,000USD from the company to save my business and lots more, i saw their mail on the internet, everyone always give testimony for what they did, so i quickly contacted them and they all did everything for me without stress and my money was sent to my account just 3 days later, i was surprise and i feel so glad, now i have a standard business control agent who help me, now i will advice those who need urgent loan to contact him at the bellow email:zenithfirm12@gmail.com

  2. NOTICE:This is to inform the general public that Vampires are real. My name is James Franklyn.,am an agent of vampire,am here to introduce our new world trend to you,a world of vampire where life get easier,we have made so many persons vampires and have turned them rich,you will be assured long life and prosperity,you shall be made to be very sensitive to mental alertness,stronger and also very fast,you will not be restricted to walking at night only even at the very middle of broad day light you will be made to walk.In case you are wildly oppressed by some unscrupulous persons we can still help you fight them.Your protection is assured immediately you join.Just contact the bellow email if you are interested we are here to attend to you anytime you want us. Contact the bellow email for more details. Email:vampirescreed@hotmail.com Sincerely: James Franklyn.

  3. Bravo! Someone else that is willing to speak the truth! Bravo!_____NBCSN is available in almost 2 MILLION more homes than just a few years ago, but Indycar STILL gets less total viewers than it did just a few years ago when NBC took over Versus. Attendance and ratings cratered with the end of season races (just when the title battle got "interesting" HAH!__________And now...new race in Basilia, where Miles celebrated the "rich history" of Indycar racing there. Rich history? What, 7 events in the 100 years of AOW? Yep, some history. Well, at least its an oval. It's not??? Are you kidding me??? Gosh darn road racin furriners.

  4. PURITY RAY LOAN OFFER........ Have you been denied by your banks,or are you in need of of an urgent loan to pay of your bills we are capable of giving loans @ cheaper rate to interested individuals, student, companies and members of the public in need of finance to settle bills, we do offer considerable loans which you can count on. For more information on our various types of loan,then you will have to contact PURITY RAY LOAN FIRM, to help you achieve your desire LOAN APPLICATION FORM TO BE FILLED BORROWERS INFORMATION * Full name:………………………. * SEX * ……………………………. * Country………………………….. * State:……………………………. * Land:…………………………….. * Occupation:…………………….. * phone number:…………………. * Telephone: ………………………….. * Age:………………………………. * Amount needed as loan:……… * Loan Duration:………………….. * Propose of Loan:……………….. * Annual revenue:………………… * Monthly Income:……………….. * Guarantee:………………………. * Payment: monthly or annually Email.....purityrayloanfirm@gmail.com Thank you and God bless Mr Purity Ray PURITY RAY LOAN FIRM we tend to serve you better

  5. Problem: most of the people responding to this article don't know about this service AT ALL! Why? Lack of awareness. This isn't IndyGo. This is CIRTA: might as well be the mattress company because they are asleep at the wheel - something like 3 directors over the last year? Playing with federal grant money is great! This "region" wants commuter rail service, has spent MILLIONS on Transportation studies yet can't even support a commuter bus line? This is largely for suburban riders to get to downtown - not for "service people to work in our hotels and restaurants" ! Get your head out of your backside!! These are professionals, students etc. that don't want to fight traffic, save some money on parking, gas, stress.... if CIRTA would put their federal money into widely promoting the sevive to Greenwood, Fishers & Carmel instead of finding directors and studies - this would be a successful service. Our family uses(d) it daily for the last several years - but the recent uncertainty & now unreliability due to cuts from Carmel has been a problem. Now, costs us an additional $350/month for gas & parking ( $4200/year) plus vehicle wear, service, environmental impact ... YES - this REGION needs this this type of service in order to keep growing and getting the people it needs to fill skilled positions in downtown Indianapolis. Think outside of your own car !!!

ADVERTISEMENT