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Chicago & Midwest  + North Side  + Finance  | 

$1.8B Bond Sale for O’Hare Tops Year’s Municipal Airport Transactions

Chicago has sold the largest municipal airport transaction this year amid volatility in fixed-income markets, pricing $1.8 billion of debt that will partially fund improvements at O’Hare International Airport, Bloomberg News reported. The $1.1-billion Series 2022A includes bonds due in January 2031 which priced with a 5% coupon and 3.69% yield, while debt due in 2055 with a 5% coupon yielded 4.74%. 

The oversubscribed deal will both refinance existing debt and fund $1.1 billion of new capital investments as the city proceeds with its O’Hare 21 project. The multibillion-dollar plan encompasses runway extensions, the expansion of Terminal 5 and the terminal area plan, which includes construction of two satellite concourses along with a revamped global hub that doubles the size of Terminal 2. 

Another $1.5 billion sale in about a year’s time is in the works, Chicago CFO Jennie Huang Bennett told Bloomberg.  

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Inside The Story

City of Chicago's Bennett

About Paul Bubny

Paul Bubny serves as Senior Content Director for Connect Commercial Real Estate, a role to which he brings 13-plus years’ experience covering the commercial real estate industry and 30-plus years in business-to-business journalism. In this capacity, he oversees daily operations while also reporting on both local/regional markets and national trends, covering individual transactions across all property types, as well as delving into broader subject matter. He produces 15-20 daily news stories per day and works with the Connect team and clients to develop longer-form content, ranging from Q&As to thought-leadership pieces. Prior to joining Connect, Paul was Managing Editor for both Real Estate Forum and GlobeSt.com at American Lawyer Media, where he oversaw operations at both publications while also producing daily news and feature-length articles. His tenure in B2B publishing stretches back into the print era, and he has served as Editor in Chief on four national trade publications. Since 1999, Paul has volunteered as the newsletter editor of passenger rail advocacy groups (one national, one local).

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