Paccar is negotiating a lease with Boeing Field, above, ahead of its departure from Sea-Tac Airport.
King County | Ned Ahrens
By Nick Pasion – Reporter, Puget Sound Business Journal
Feb 26, 2026
Story Highlights
What’s This?
- Paccar Inc. will vacate its Seattle-Tacoma International Airport hangar five years early.
- The Port of Seattle waived about $2 million in remaining lease payments.
- Paccar will relocate its aircraft operations to Boeing Field in King County.
Bellevue-based truck maker Paccar Inc. (Nasdaq: PCAR) is leaving its hangar at Seattle-Tacoma International Airport five years ahead of schedule.
Commissioners for the Port of Seattle on Tuesday unanimously approved an early termination of Paccar’s over-3-acre ground lease at the airport.
Paccar acquired the lease, which includes the hangar, from Weyerhaeuser Co. in 2016 for $6.8 million. Paccar has been paying $37,360 per month in rent to the port, with its lease due to expire in 2031.
The company owns a Falcon 50 business jet registered in SeaTac, according to the Federal Aviation Administration.
The port did not intend to renew the lease.
“Paccar understood the long-term options at (Sea-Tac) were limited, and have been actively exploring alternative locations,” Eric Johnson, a senior real estate manager at the port, said in a presentation to commissioners.
Paccar is headed to Boeing Field instead. The company negotiating a lease with the King County-owned airport, a spokesperson for Boeing Field told the Business Journal.
A spokesperson for Paccar declined to comment.
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Paccar is expected to vacate its space at Sea-Tac between March and April, once it secures a new lease. The port will receive the property in October,after Paccar makes certain agreed-upon changes.
Under the terms of its departure, Paccar will not have to pay the remaining amount on its lease — about $2 million. Instead, the port is mandating thatPaccar pay for renovations to the hangar before it moves out.
“The value of the real estate in the building footprint outweighs those costs of losing the potential revenue from continuing this lease agreement to the end of the termination date,” Johnson said.
Before it turns over the property, Paccar will have to install a water-based fire suppression system, remove an underground aircraft fueling system and clean up a PFAS-based fire suppression system. PFAS are long-lasting chemicals that can cause adverse health effects, according to the Environmental Protection Agency.
Initially, Paccar’s lease agreement would have required the company to demolish the building upon the termination of its lease, but the port is instead opting to keep the space for its own needs.
While the port hasn’t finalized how it will use the space, Johnson floated ideas such as using it as storage for Sea-Tac’s capital construction projects, as an aviation maintenance space or for fire department storage.
“Ensuring we have this real estate to support those future impacts and future growth will provide an immense relief valve to an extremely constrained environment that we’re operating in,” Johnson said.