New York Port Authority forced to reconsider airports capital plan

Premium Analysis

Having been criticised heavily by President Trump as being of ‘Third World’ standard, New York’s LaGuardia Airport is in the midst of a multi-billion dollar public-private restoration project, effectively a new airport, while the other two main airports operated by the Port Authority of New York and New Jersey (PANYNJ) are receiving their own makeovers – again, with public-private schemes involved.

The Port Authority has issued a plea to the federal government to provide direct assistance towards construction costs as the pandemic continues to rage, requesting that the U.S. federal government provide the authority with USD3 billion towards capital construction projects.

PANYNJ added that without financial assistance it may be forced to reconsider a 10-year capital plan that includes redevelopment of New York LaGuardia Airport, replacement of New York Newark Liberty International Airport terminal 1, and a redevelopment of New York John F Kennedy International Airport.

Essentially, PANYNJ is looking much further ahead here and asking the federal government to pay for an existing master plan well into the future as it becomes clearer that ‘normality’ may not return until 2024 or 2025.

Can such a request be justified under these circumstances, and what other scenarios might play out?

Become a CAPA Member to access Analysis Reports

This CAPA Premium Analysis Report is 2,288 words.
Become a CAPA Member

Our Analysis Reports are only available to CAPA Members. CAPA Membership provides exclusive access to in-depth insights on the latest developments in the aviation and travel industry, developed by our team of dedicated analysts located in Europe, North America, Asia and Australia.

Each report offers a fresh perspective on the latest industry trends and is available online or via the CAPA mobile app, with customisable alerts to help you stay informed and identify new business opportunities.

CAPA Membership also provides access to our full suite of tools, including a tailored selection of more than 1,000 News Briefs every week and comprehensive data and analysis on thousands of companies around the world.