Following successful chemical soil cleanup at Port San Antonio, the U.S. Air Force has transferred more than 1,000 acres of land needed to further develop the former base into an industrial park.

Air Force officials announced the land transfer on Sept. 30. All told, the military officially handed over 1,017 acres of the former air force base to Port San Antonio, the redevelopment authority overseeing the property’s transformation into an industrial park anchored by Boeing.

“This makes the largest land transfer since Kelly’s closure in 1995, and equals more than half of the property used when the base was active,” Air Force officials said a prepared statement.

Since the military installation’s closure, some of the soil at the site was found seeped with chemicals. In past interviews, Air Force officials categorized cleanup – costing millions of dollars to undertake in the intervening years since the base closure – as a required step before land conveyance to port officials could take place.

The Air Force is continuing cleanup on another 440 acres of land at the site slated for transfer to port officials by 2010. Even short of the transfer of the 1,017 acres, Port San Antonio spokesman Rafael Aviles said the industrial park’s developers had management authority over the land.

“We already had the rights for the land,” he said. “It’s been in our hands and we’ve been in charge of management.” But he noted the official transfer gives port officials unencumbered access to develop the acreage for future tenants.

Prior to the land transfer, the Air Force had to demonstrate to the Environmental Protection Agency all remediation efforts required for the site had been undertaken, according to the prepared statement. The EPA checked off on the successful completion of the effort on the 1,017 acres on Sept. 22, officials said.

“We hope to continue to develop the land as Port San Antonio continues to establish itself as an aerospace and logistics center,” Aviles said.

Boeing and Lockheed-Martin - with a respective 1,411 and 505 employees – anchor Port San Antonio. But the port is also home to a number of smaller viable tenants – including an office maintained by U.S. Sen. Kay Bailey Hutchison and the William C. Velásquez Institute, each employing three workers.

The Air Force land transfer is the latest major economic development milestone at the former base. Last year, the port secured more economic development assistance in securing a $34 million loan from the Texas Military Preparedness Commission, charged with preserving and expanding the missions of military installations affected by the Base Realignment and Closure Act.

That loan has enabled port officials to continue work on five major undertakings related to infrastructure development. One key projects is the 36th Street extension to connect the artery to the port to enhance access.

“The land transfer is another step toward the full conversion of the former Kelly Air Force Base,” Aviles said.