The Gary/Chicago International Airport has acquired the nearby Griffith-Merrillville Airport in a $1.8 million deal.
The Gary Airport Authority finalized the purchase at its Wednesday meeting.
Officials said they used existing revenue previously budgeted for the purchase.
The airport will continue to be managed by Craig Anderson, one of its owners who took part in the sale. Anderson will also continue to operate his fixed base operator business that serves about 65 business and recreational small plane owners.
“This is a monumental event in the city of Gary,” said Mayor Jerome Prince. “One of our goals has always been to increase operations at the Gary/Chicago Airport. The prime focus is to increase our cargo activity and this allows us to do that.”
Deputy Mayor Trent McCain said the acquisition made the Gary airport the third one in Indiana, along with Indianapolis and Fort Wayne, to own multiple airports.
“We are excited to acquire this local airport and bolster our short- and long-term aviation offerings,” said GCIA Authority Chairman Pete Visclosky.
“The past decade of strong planning, investments and growth of our airport has put us in a position where we can acquire this new asset, helping sustain our local aviation offerings while building for the future as well,” he said.
The two sides began talks last year with assistance from the Federal Aviation Administration and the Indiana Department of Transportation.
Because of an FAA policy change, privately-owned airports like Griffith-Merrillville are no longer eligible for federal grants.
“We were looking for a sponsor to ensure long-term benefits,” said Anderson. He said he initially began talking with the town of Griffith and then Gary airport officials. He said he’s been looking for a public buyer for about the past five years to ensure the airport’s sustainability.
“Griffith-Merrillville is a key reliever airport in the Indiana Aviation System,” said Marty Blake, INDOT state aviation director in a statement.
“GCIA’s acquisition will allow for continued partnership with our office to improve facilities at Griffith-Merrillville and will reinforce the $21 million regional annual economic impact this airport provides.”
GCIA executive director Dan Vicari said the two airports are about six miles apart.
He said the FAA has provided millions of dollars to the Gary airport toward a mission of commercial and cargo operations with larger planes on its nearly 9,000-foot expanded runway.
If Griffith-Merrillville closed, Vicari said Gary could have been overwhelmed with traffic from smaller single and twin engine planes.
Officials said cargo service was growing in Gary and the airport is now ranked third in the state on its freight volume.
In 2020, GCIA began cargo service operations with the United Parcel Service, which signed a long-term lease agreement.
Officials said the Griffith-Merrillville Airport was completely rebuilt in 2001 and is designed for smaller aircraft that have a single wheel load of 38,000 pounds or a dual wheel load of 50,000 pounds. The airport consists of a paved and grooved 4,900-foot by-75-foot runway, with full pilot controlled lighting.
It also has a 175,000- square foot ramp area, as well as a modern 38,000 square-foot terminal building.
Anderson said the Lake County sheriff houses its helicopter and airplane at the airport, where they’re fueled and serviced.
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