“This is really important for us, because this is a pivotal moment to be that airport with what I call ‘Southwest 2.0’. The company is going through a lot of changes, and it's really great to have them invest in [Central Texas],” ABIA CEO Ghizlane Badawi said during a chamber event last month detailing the airport's multibillion-dollar expansion.
The big news
On Aug. 28, City Council approved an agreement allowing the Department of Aviation to move forward with negotiations and lease agreements with commercial airlines and cargo carriers for future facilities planned under the Airport Expansion and Development Program.
Within the same day, Southwest Airlines told Community Impact in an emailed statement that it’s aiming to add more gates at ABIA.
“Southwest looks forward to making Austin and Central Texas an even bigger part of our future,” a spokesperson for Southwest said in a statement. “As Austin’s leading carrier with more than 40% of the market, Southwest is invested in the success of the airport and its efforts to offer world-class travel options for a world-class city.”
The lease agreement would run from 2026 through 2035, with an option for a two-year extension. Airlines that opt out of a long-term deal could instead sign non-signatory, month-to-month agreements—but at rates, fees and charges set 15% higher.
“Southwest is eager to be the anchor tenant of the new Concourse B, with up to 18 leased gates upon execution of the new agreement. That will mean more flights, more service, more jobs and more economic impact to the Austin region,” the spokesperson said.
What else?
Delta Airlines has also signaled a desire for a greater presence in Austin. This October, Delta will open a permanent flight attendant base in Austin, further strengthening its operational presence and long-term commitment to Central Texas, according to an update from ABIA.
This year, Delta has already carried more than one million passengers to and from Austin—a 12% increase year over year—and represents the second-largest airline operator at ABIA, after Southwest.
Some context
Tracy Thompson, chief business and external affairs officer for ABIA, told the Airport Advisory Commission members in August the city’s recommendation to act was a “pivotal milestone” in the airport’s expansion.
“Unlike many large airports in the United States, [ABIA] is not a hub to any single airline—and that makes this a vote of confidence from our signatory airline partners,” Thompson said.
Negotiations are currently ongoing, but commissioners are hoping to announce the total number of airline gates by January, she said.
