The board of the Tucson Airport Authority on Monday authorized a new lease agreement with Raytheon Missile Systems as part of a plan to help the missile maker expand here.
The airport board also voted to exercise an option to extend the airportβs lease and operating agreement with the city of Tucson by another 25 years to 2098, to accommodate the Raytheon lease.
The actions are part of cooperative efforts by the airport authority, the governor and Arizona state officials, the city, Pima County and others to enable Raytheon to expand its operations at TIA.
Raytheon has announced it plans to add nearly 2,000 high-paying jobs as part of an expansion projected to generate an economic impact of $7.9 billion over the next 10 years. The city and county are finalizing millions of dollars in tax incentives to help Raytheon grow.
Under the new agreement with the airport, Raytheonβs nine leases will be consolidated into one that will include an additional 21 acres of land adjacent to 183 acres Raytheon has under its existing leases.
The initial term for the new lease is 30 years with options for up to an additional 30 years, the airport authority said.
To accommodate the potential 60-year lease extension, the TAA board also agreed to exercise the option to extend Tucson International Airportβs lease and operating agreement with the city.
In 2015, the city and TAA agreed to a lease extension to 2073. Under this latest extension, the airportβs lease will go to Oct. 14, 2098.
Raytheon began its Tucson operation as Hughes Aircraft in 1951. It has been leasing airport property since 1956, when the airport authority helped finance construction of a building expansion on the site. Raytheon acquired Hughes Aircraft in 1997.
