Construction on a hangar at MBS International Airport to house Dow Corning Corp.'s aircraft will begin within several weeks.
Airport Commission members met Friday to approve a ground lease for the hangar.
It will generate about $55,000 per year in leasing fees for the airport, said Jeff Nagel, airport manager. He said he will evaluate future use for the existing hangar.
Dow Corning leases a hangar for two aircraft that fly officials to corporate facilities in Carroll County, Kentucky, as well as to destinations around the globe, said spokesman Jarrod Erpelding.
Crews should complete work within a year. Erpelding did not give a cost estimate on the project.
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Lebanon Airport hopes the new construction will bring in increased revenue from leases, fuel and fees from aircraft based at the airport.
Another 61 new hangars for privately owned crafts are under construction and will be completed this year.
For the first time in 23 years, new construction was approved Tuesday by the Zoning Commission for Sikorsky Memorial Airport.
Work will include adding 12 hangars for small aircraft, which will be the first hangars built at the airport in 25 years.