Delta Air Lines is seeking to go beyond additional passenger travel volume at Utah’s largest airport.
The airline announced plans to renovate and modernize a cargo facility at Salt Lake City International Airport, previously occupied by the U.S. Postal Service, through a partnership with the Utah Inland Port Authority and Salt Lake City. The new cargo facility will replace Delta’s existing cargo facility and “strengthen” cargo operations, said Peter Penseel, senior vice president of Delta Cargo.
“Transforming the former USPS facility into a modern cargo hub reflects our long-term commitment to Salt Lake City and the role it plays in our global network,” Penseel said in a statement.
Renovation work is expected to begin soon, in time for the new 48,000-square-foot facility to open in 2027. It will offer warehouse space, as well as refrigerated storage, a shipping and receiving section, administrative space and a customer lobby area. The refrigeration, officials point out, allows for the transportation of temperature-sensitive goods such as pharmaceuticals and perishables.
The airline received an $18 million loan for the project from the port authority, and it will lease the facility from Salt Lake City International Airport.
The airport serves as one of Delta’s hubs, and the airline opened a pilot training center in Salt Lake City last year as part of its focus on the airport. It also accounts for more than two-thirds of the airport’s passenger volume, as it’s been a major driving force in the addition of new gates at the airport.
Delta also expanded Salt Lake City’s global footprint this year by adding new direct flights to South Korea and Peru, the latter of which will be the airport’s first connection with South America when seasonal service begins next month.
Monday’s agreement marks yet “another key chapter” in Utah’s partnership with the airline, said Utah Gov. Spencer Cox, who added that Delta is a “vital catalyst” in Utah’s growth. He expects that the new cargo facility will bolster the state’s supply chain. It also serves as another investment that supports local businesses, said Salt Lake City Mayor Erin Mendenhall.
Utah Inland Port Authority officials agree.
“This project is a game-changer for Utah’s air cargo infrastructure,” said Abby Osborne, the authority’s board chair. “It enhances our capacity, strengthens our supply chain and keeps Utah-manufactured goods here in-state rather than rerouting through coastal gateways.”