WORLD ROUTES: Investing in Airports and Airport Cities

Respected aviation academic, John ‘Jack’ Kasarda, Director - Centre for Air Commerce at the University of North Carolina kicked off the Invest and Manage sessions at this year's World Routes with a discussion on aerotropolises.

The concept of airport cities is not a new one and Kasarda described the economical benefits of the growing trend. He told delegates that, while airport cities could grow to up to 20km, the economic impact could extend a further 40km.

Explaining that aerotropolises are dynamic models and businesses in their own right, Kasarda added: “Airlines serve markets; they don’t serve the airports. Airport cities serve regions, not just travellers.”

He added that “understanding future demand” was critical to the success of an aerotropolis and that focus was needed on facility demand analysis, risk analysis and competitor analysis. Ground transportation corridors are essential to the airport city, and growth is seen more around these areas.

Kasarda also explained the various facilities that make up an airport city, including retail infrastructure and conference centres. For the latter, he cautioned that conference facilities could face potential competition from downtown venues.

He claimed that Paris-Charles de Gaulle, Amsterdam Schiphol and Fraport were the only large airports that had successfully developed office space. Other airports praised for their additional infrastructure included Vienna, Athens and Brisbane. However, he said: “No existing airport city has a full complement of facilities.”

Instead, Kasarda showed delegates a computer-animated video of an aerotropolis that did include all these amenities, stating that each facility was in place already at some airports around the globe.

Richard Maslen

Richard Maslen has travelled across the globe to report on developments in the aviation sector as airlines and airports have continued to evolve and…