Seven Carriers Sign 10-Year Leases to Fund Austin-Bergstrom's $5 Billion Expansion From 34 to 66 Gates

Five passenger airlines and two cargo carriers at Austin-Bergstrom International Airport (AUS) have finalized ten-year leases committing them to fund a modernization program of more than $5 billion. The program will nearly double the airport's gates from 34 to 66. The signatories are Southwest Airlines, Delta Air Lines, United Airlines, American Airlines, Alaska Airlines, FedEx and UPS. The leases run from January 1, 2026 through September 2035. The City of Austin reported that no local taxpayer dollars will be used, with the financial burden taken on entirely by the airlines.

The airport was designed for 11 million passengers a year but now handles an estimated 15 million, and is on track to serve a record 22 million by the end of the year. AUS-based carriers initially sought more than 20 additional gates, and Austin approved 32. The added gates raised the estimated program cost from $4 billion to over $5 billion, and some reports speculate it could reach $5.5 billion or $6.5 billion.

Southwest anchors the new 26-gate Concourse B with 18 gates, alongside five for United and three common-use domestic gates. Delta anchors the redeveloped Barbara Jordan Terminal, reconfigured as Concourse A, with 15 gates, flanked by nine for American, one for Alaska and eight common-use gates equipped for international flights. Southwest and Delta together control half of the future 66 gates.

The program includes a 700,000-square-foot midfield Concourse B connected by a tunnel beneath the tarmac, an 84,500-square-foot Westgate and infill expansion that replaces 12 older boarding bridges and adds three gates, a new 7,000-space parking garage, and a 20,600-square-foot international arrivals customs area. Airside work covers 2 miles (3.2 km) of parallel taxiways and connecting bridges, and baggage systems will be upgraded to support up to 30 million passengers a year.