Boston Logan International Airport is issuing $812 million in municipal bonds to finance a range of infrastructure improvements. The airport is experiencing a substantial surge in passenger volume, necessitating upgrades to outdated terminals and concourses. This borrowing is part of a broader trend among U.S. airports, which collectively tapped $24 billion in municipal debt in record borrowing to fund capital plans, as highlighted in a January 8, 2026 Bloomberg report.
The renovation projects at Logan include a new security checkpoint, improvements to Terminal E, and gate expansions. This builds on previous financing efforts, such as the 2019 debt issuance for the BOSFUEL project, which is expanding fuel storage and distribution assets, though this project is currently $19 million over its original $31.5 million budget. Fitch recently affirmed an A+ rating for the BOSFUEL bonds, citing strong operations and revenue stability.
Logan Airport's financial overview for fiscal year 2025 shows total debt of $2.5 billion and unrestricted cash of $1.2 billion. The passenger traffic increase is substantial, with the airport handling 21.8 million enplanements (CPE) in FY2025. This compares to Chicago O'Hare International Airport's concurrent efforts to borrow $476 million for its own multi-billion dollar capital plan, which has also exceeded its initial budget, growing from $8.6 billion to $12 billion since 2018. The nationwide trend underscores the critical need for infrastructure investment to accommodate soaring air travel demand.
