Midland Hangar Project Opens $12.6M Build
Construction firms and aviation businesses in Midland should expect hangar work to start in early 2027 under a lease-based model.
Updated on Nov. 5, 2026 in Construction
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The City of Midland awarded a $12.6 million hangar infrastructure contract to Reece Albert, Inc., the lowest-cost qualifying bidder among three contractors. Private investors will lease ground at Midland International Air and Space Port to build hangars, with ownership reverting to the city at lease end.
Why it matters
The project is designed to expand aircraft storage capacity and attract private-sector investment serving air traffic in the Permian Basin. For Midland businesses in construction and aviation services, it signals new demand for hangar work and a public-private model that shifts build-and-maintain costs onto leaseholders.
The $12.6 million total combines an $8.37 million construction cost with about $4.23 million in project-related expenses, and the city projects $8.6 million in additional annual airport revenue. Three contractors bid and all met the appropriate criteria, with Reece Albert, Inc. submitting the lowest-cost qualifying bid.
The players
Reece Albert, Inc.
A contractor that was the lowest-cost qualifying bidder for the Midland hangar infrastructure project.
Midland International Air and Space Port
The municipal airport facility whose long-unused land is being leased for private hangar development.
The details
Private investors will hold long-term leases on ground at the airport and build and maintain hangars on it. Their lease payments will go toward repaying the cost of the improvements, and the property and structure return to the city when the lease ends. The large project cost will be paid from the city's Airport Fund, and the land has gone unused since the Midland Army Airfield era.
Timeline
Construction is anticipated to begin in early 2027.
Construction is expected to be completed by the end of 2027.
Market Landscape
The project returns land that has sat idle since the Midland Army Airfield era to productive use through a lease-and-reversion model. It positions the Midland airport to capture private-sector investment tied to Permian Basin air traffic.
Construction firms bidding on municipal projects should note that the lowest qualifying bid won this award, so pricing discipline matters in competitive public procurement. Aviation-adjacent businesses in Midland may see new hangar capacity and related demand as construction proceeds toward completion.
The takeaway
Operators in construction should track how lease-based public-private models shift build and maintenance costs to investors while returning assets to the city. Businesses that plan to bid on comparable airport work should watch for the early 2027 construction start.
Further reading
For more on the industry behind projects like this, explore Construction coverage on We are Main Street.
Source note: This article includes information reported by Midland Reporter-Telegram.
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