The human prostacyclin receptor (hIP) undergoes agonist-induced internalization and subsequent recyclization in slowly recycling endosomes involving its direct physical interaction with Rab11a. Moreover, interaction with Rab11a localizes to a 22-residue putative Rab11 binding domain (RBD) within the carboxyl-terminal tail of the hIP, proximal to the transmembrane 7 (TM7) domain. Because the proposed RBD contains Cys(308) and Cys(311), in addition to Cys(309), that are known to undergo palmitoylation, we sought to identify the structure/function determinants of the RBD, including the influence of palmitoylation, on agonist-induced trafficking of the hIP. Through complementary approaches in yeast and mammalian cells along with computational structural studies, the RBD was localized to a 14-residue domain, between Val(299) and Leu(312), and proposed to be organized into an eighth alpha-helical domain (alpha-helix 8), comprising Val(299)-Val(307), adjacent to the palmitoylated residues at Cys(308)-Cys(311). From mutational and [(3)H]palmitate metabolic labeling studies, it is proposed that palmitoylation at Cys(311) in addition to agonist-regulated deacylation at Cys(309) > Cys(308) may dynamically position alpha-helix 8 in proximity to Rab11a, to regulate agonist-induced intracellular trafficking of the hIP. Moreover, Ala-scanning mutagenesis identified several hydrophobic residues within alpha-helix 8 as necessary for the interaction with Rab11a. Given the diverse membership of the G protein-coupled receptor superfamily, of which many members are also predicted to contain an alpha-helical 8 domain proximal to TM7 and, often, adjacent to palmitoylable cysteine(s), the identification of a functional role for alpha-helix 8, as exemplified as an RBD for the hIP, is likely to have broader significance for certain members of the superfamily.