PILLAR: Core - Organizational Support
AGENDA DATE: September 9, 2026
COUNCIL DISTRICT(S): N/A
DEPARTMENT: Office of Government Affairs
PRIORITY: Transportation
______________________________________________________________________
SUBJECT
Title
A resolution for the Owner Cities of Dallas and Fort Worth to approve the financing, planning, development, construction, equipping, and operation of cargo facilities at the Dallas-Fort Worth International Airport (Airport) as Public Facilities and as an approved International Air Cargo Project, as required under the Articles of Incorporation and Rules and Regulations of the Airport Public Facility Improvement Corporation - Financing: No cost consideration to the City
Body
BACKGROUND
The Airport is requesting that the City of Dallas, as an Owner City, approve and authorize the International Air Cargo (“IAC”) 1, 2 and 3 transaction as a Public Facility Improvement Corporation (PFIC) project.
The PFIC Board approved the transaction on July 29, 2026, followed by approval by the DFW Airport Board on August 6, 2026. Owner City approval is required under the Articles of Incorporation of the Dallas Fort Worth International Airport Public Facility Improvement Corporation for new PFIC projects and for certain lease terms extending beyond 40 years.
Under the proposed transaction:
• PFIC would assume the existing ground leases for IAC 1, 2 and 3 between Prologis and the DFW Airport Board.
• The existing ground leases expire on March 12, 2046; July 1, 2040; and November 19, 2038, respectively.
• The DFW Airport Board would extend ten non-aeronautical warehouse leases with Prologis affiliates. If all available options are exercised, certain lease terms would extend beyond 40 years, triggering Owner City approval.
• Prologis would assign its subleases with tenants for IAC 1, 2 and 3 and the adjacent aprons to PFIC.
• PFIC would assume property management responsibilities.
The purchase price would not exceed $99.8 million. PFIC would pay ground rent to the DFW Airport Board pursuant to the existing ground leases, along with additional rent sufficient to cover debt service.
The proposed resolution would approve the transaction and designate it as an authorized PFIC project, as required by the PFIC Articles of Incorporation and Rules and Regulations.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On July 29, 2026 and August 6, 2026, the PFIC Board and the DFW Airport Board approved the IAC 1, 2 and 3 transaction, respectively. Approval of the transaction by the City of Dallas, as an Owner City, will authorize the IAC 1, 2 and 3 transactions as a PFIC project, as required by the PFIC Articles of Incorporation and Rules and Regulations, and allow the PFIC to move forward with the project.
FISCAL INFORMATION
No cost consideration to the City.