Service by USAir, the former Allegheny Airlines, began October 29, 1978, in part of the terminal. Scheduled airline service, however, was suspended from 1971 to 1978, during which time the FAA Tech Center's engineering and developmental division occupied the terminal. The city retained 84 acres, where the civil aviation terminal and related support facilities now stand.
The property was sold to the federal government for $55,000 to provide a site for aviation test facilities but with a reverter clause, giving the city the right to buy the acreage back for the same price should the federal government cease to use it.
In 1958, the lease was transferred to what is now the Federal Aviation Administration. Atlantic City International Airport was originally established in 1942 as a Naval Air Station on 4,312 acres leased from Atlantic City.
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