Austin, TX, January 8, 2026
Austin-Bergstrom International Airport is set to undergo a major expansion with a $6.5 billion investment to nearly double its gate capacity, accommodating growing travel demands. The project, backed by major airlines, aims to enhance facilities and support economic growth in the region. The expansion will introduce 32 new gates, significantly modernizing the airport by the 2030s, funded exclusively through airport-generated revenue.
Austin TX Airport Expansion: A $6.5 Billion Investment in Growth
Austin-Bergstrom International Airport to Nearly Double Gate Capacity
Austin, Texas – Austin-Bergstrom International Airport (AUS) is embarking on a significant expansion project that will enhance its gate capacity and modernize facilities, with a total investment of over $6.5 billion. This initiative comes on the heels of new lease agreements with major airlines such as Southwest, Delta, United, American, and Alaska, in addition to cargo giants FedEx and UPS, expected to generate around $250 million in revenue this fiscal year and an estimated $275 million next year.
This expansion reflects a commitment to supporting the growing demands of travelers and showcases the resilience of local entrepreneurs driving economic growth, bolstered by reduced regulatory hurdles that allow for such significant infrastructure developments.
Expansion Details
The ambitious plan will introduce 32 new gates, nearly doubling the airport’s existing capacity. Notably, Concourse B will feature 26 gates anticipated to open in the early 2030s, linked to the current Barbara Jordan Terminal via an underground tunnel. Furthermore, Concourse M will add six gates, expected to become operational as soon as 2027, and will be served by shuttle buses from the main terminal.
Airline Commitments
Significantly, Southwest Airlines, which currently operates the largest number of flights at AUS, plans to double its gate allocation by leasing 18 to 20 gates in the new Concourse B. Delta Air Lines will occupy 15 gates in the main terminal, complemented by a new lounge and a $250 million investment in terminal upgrades. American Airlines also intends to increase its gate presence from four to nine, all affirming the airlines’ confidence in Austin’s burgeoning market.
Strategic Significance
The expansion is strategically aligned to position AUS favorably against rival airports, particularly San Antonio International Airport, which is also seeking to grow. By establishing long-term relationships with major airlines, AUS aims to modernize its facilities in anticipation of the ongoing expansion of Central Texas. The partnerships formed through these lease agreements are not merely transactional but are essential for fostering regional economic development.
Background Context
Since its opening in 1999, AUS has experienced remarkable growth, with passenger numbers soaring from 11 million annually to over 21 million in 2022. The original terminal has undergone multiple expansions to accommodate this rising demand. The current expansion is part of the “Journey With AUS” program, aimed at transforming the airport into a key player in economic prosperity for the broader Central Texas region.
Funding and Timeline
The expansion project’s funding is exclusively derived from airport-generated revenue, including new airline lease agreements and federal grants, ensuring that local taxpayer dollars are not utilized. The expansion will be executed in phases, with the Concourse M gates projected to be ready for service by 2027 and the Concourse B gates expected to follow in the early 2030s. This phased approach allows AUS to effectively manage construction impacts while simultaneously enhancing its operational capacity to meet future travel demands.
FAQ
What is the scope of the Austin-Bergstrom International Airport expansion?
The expansion includes the construction of 32 new gates, nearly doubling the airport’s current capacity. Concourse B will add 26 gates, opening in the early 2030s, while Concourse M will provide six gates, operational as early as 2027.
Which airlines have committed to the expansion?
Major airlines such as Southwest, Delta, United, American, and Alaska have signed 10-year lease agreements, securing their presence and gate allocations in the expanded facilities.
How is the expansion being funded?
The expansion is funded through airport-generated revenue, including new airline lease agreements and federal grants, ensuring that no local taxpayer dollars are used for the project.
What is the expected timeline for the expansion?
The expansion is expected to be completed in phases, with Concourse M gates opening as early as 2027 and Concourse B gates in the early 2030s, allowing the airport to manage construction impacts while enhancing capacity.
Key Features of the Expansion
| Feature | Description |
|---|---|
| New Gates | 32 additional gates, nearly doubling current capacity. |
| Concourse B | 26 gates opening in the early 2030s, connected to the existing terminal via an underground tunnel. |
| Concourse M | 6 gates opening as early as 2027, accessible by shuttle buses from the main terminal. |
| Airline Commitments | Southwest Airlines plans to lease 18-20 gates; Delta Air Lines intends to occupy 15 gates; American Airlines aims to increase from 4 to 9 gates. |
| Funding | Funded through airport-generated revenue and federal grants, with no local taxpayer dollars used. |
| Completion Timeline | Phased completion, with Concourse M gates opening as early as 2027 and Concourse B gates in the early 2030s. |
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Author: STAFF HERE AUSTIN WRITER
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