The U.S. Postal Service’s lease at its Indianapolis International Airport hub ends next month, but mail operations are likely to continue there anyway.
The Indianapolis Airport Authority board on Friday is expected to vote on a lease with Wilmington, Ohio-based LGSTX Distribution Services to continue operations at the hub through at least November 2014.
LGSTX has managed ground-mail services for the postal service at the hub since 2004. The facility employs more than 100 people.
Airport officials announced in April that the Postal Service would vacate the facility by the end of the year.
The postal service’s Eagle Air Express Mail facility shipped packages by aircraft until 2001, when it hired FedEx to handle air mail. The facility, which has 34 dock doors, was then used to handle ground mail shipped by trucks.
LGSTX will use less space, giving the airport the opportunity to market 71,000 square feet of warehouse space to the air-cargo market. Also available will be 35,000 square feet of office space.
LGSTX will lease more than 171,600 square feet and pay annual rent of $654,581. It has options to extend the lease two more years.
Thomas Wright, an LGSTX manager at the facility, said the company hopes to grow activity at the hub.
Also on the Friday agenda for the IAA board is a measure that would authorize staff to negotiate a contract with Indianapolis mechanical and energy services firm Johnson Melloh to operate the airport’s central energy plant.
Five firms, including current operator BHMM LLC, a unit of Citizens Energy, bid on the contract.