Airport market set for take off

Brexit aside, air passenger numbers are continuing to grow and the industry is set to benefit from some significant new investments in upgrading and expanding airport capacity, particularly in new terminals buildings.

Stansted Airport- which handled a record 2.45 million passengers in September – has submitted plans for a new £130 million arrivals building covering some 34, 000 sq m which will enable it to grow to its current planning limit of 35 million passengers a year. Work on the three-year project, together with other improvements, is expected to be finished by 2022.

Stansted Airport, which is now owned by MAG Group, owner of Manchester Airport, is also seeking to raise its capacity limit to 44 million passengers a year, implying further work at the site is in the pipeline. Glenigan data shows tenders have been returned for a £180 million small/medium construction works framework at Stansted (Glenigan ID 16081714) where work is set to start late in 2018 on works which will be worth £180 million over 96 months.

Meanwhile, fast-growing London Southend Airport last month submitted an application to Rochford District Council to extend its terminal building. The multi-million-pound project involves extending the southern and northern ends of its terminal building with work expected to start early in 2018 to be open in time for the summer peak at the airport, which handles around 1 million passengers a year.

Elsewhere, Luton Airport work is underway on a £110 million programme of works aimed at transforming the airport and increasing its capacity by 50%. This summer, the airport also secured planning permission for a new £200 million mass passenger transit system which will link the airport terminal with Luton Airport Parkway station. Arup Associates is the project manager on the project.

Meanwhile, a contractor is due to be appointed for a new £50 million, 7.5-hectare concrete deck scheme at London City Airport. The project will include 1,000 piles and is part of a £344 million expansion programme at the Docklands site. Bechtel has been reported as a delivery partner on the scheme.

While a public consultation into the third runway at Heathrow re-opened last month and Gatwick continues to press its case for expansion, construction work continues at London’s main two airports. Earlier this year, Balfour Beatty pointed to a contract to upgrade baggage screening and handling systems at Heathrow airport as one of the highlights in its UK order book. Meanwhile, tenders have recently been returned and a contractor is due to be appointed soon on an £88 million (Glenigan ID 17061125) aircraft hangar project at Gatwick Airport.