February 25 Session to Focus on Financing Alternatives for Airport Terminals
PITTSBURGH, February 18, 2013 – AIRMALL® USA, developer of the leading airport concessions model in North America, will offer its take on how private investment is an important part of the financing matrix for airports across North America during the ARN Revenue Conference & Exhibition (February 24-26 in Las Vegas, Nev.), sponsored by Airport Revenue News.
Mark Knight, president of AIRMALL USA, will serve on a panel of industry experts for a session titled “Use Other People’s Money to Build Your Terminal,” which is being held on February 25 at the convention.
“Study after study has shown that airports across North America face a potential pitfall when it comes to funding infrastructure investment. This represents an acute challenge to cities with aging airports that require a significant upgrade if they are to remain competitive and continue to serve the traveling public,” said Knight. “Private airport concessions developers such as AIRMALL offer a viable funding source for infrastructure improvement when they are tapped to transform a concessions program, and the improvements made by a concessions developer last long after the concessions contract has expired.”
Knight went on to cite several examples from AIRMALL’s current projects:
- Last month, AIRMALL USA began preliminary work on a $10-million upgrade to the concessions program at Pittsburgh International Airport (PIT), a project that will transform the airport’s Center Core and create nine new units.
- This year, AIRMALL USA is collaborating with the Maryland Aviation Administration (MAA) and concessions tenants at Baltimore/Washington International Thurgood Marshall Airport (BWI) on a $15-million upgrade to the concessions program. The twoyear project will create more than 17,000 square feet of additional retail space at BWI and is part of an overall airport construction program that includes the creation of a new connector between concourses B and C.
- At Boston Logan International Airport, AIRMALL USA collaborated with the Massachusetts Port Authority (Massport) to create a new concessions area within the terminal, an area that initially had formed the roof for part of the building. In this way, the project transformed what was an empty space into a revenue-generating initiative at a fraction of what it would have cost to build a new terminal. The comprehensive development also incorporated improvements to security, seating, customer flow and restrooms and was executed while the terminal remained open. In addition, the renovations added nearly 20 new concessions units to the concessions program in Terminal B.
“AIRMALL brings capital to the table when we partner with an airport to develop and manage their concessions,” added Knight. “This eliminates the need for the airport to bear all the costs of improvement. It also results in a higher-performing concessions program that ultimately enhances the passenger experience.”
Moderator for the February 25 session at the conference is Mitch Berman, attorney with Weiss Serota. Other panelists include Ira Smelkinson, executive director and co-head of the finance transportation group, Morgan Stanley; and Miguel Southwell, deputy director for business, Miami-Dade Aviation Department.
For more information on AIRMALL USA, visit www.fraport-usa.com.