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Privatization of Puerto Rico’s Luis Muñoz Marìn Airport Moves Forward

Above: Luis Muñoz Marìn Airport

By the Caribbean Journal staff

A plan to privatize Puerto Rico’s Luis Muñoz Marìn International Airport is moving forward, following approval by federal regulators.

United States Department of Transportation Secretary Ray LaHood approved the plan, which will allow the Puerto Rico Port Authority and its selected operator to go ahead.

The DOT, in a release, said the secretary’s decision and exemptions were based on the FAA’s Airport Privatization Programme requirements.

The deal paves the way for Aerostar to become the private operator at the airport. The company won a public bidding process in June, entering into a 40-year lease.

The deal involved a $615 million upfront payment to the Puerto Rico Ports Authority, a combination of financing and equity contributions.

The bidding process first started in 2009.

Aerostar said last year that its plan would feature $1.4 billion in capital investments.

A government estimate in June found that the move would bring $2.6 billion in revenues to the territory over the 40-year period.

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