London Luton Airport Concession Agreement: A Comprehensive Overview
London Luton Airport is one of the busiest airports in the UK, with over 15 million passengers annually. As the demand for air travel continues to increase, the airport has announced plans to expand its operations to cater to a growing number of passengers. In order to facilitate this expansion, the airport has been seeking new concession agreements with its partners.
What is a Concession Agreement?
A concession agreement is a type of legal contract that allows a company or individual to operate a business on a property owned by another entity. In the context of airports, concession agreements allow businesses to operate within the airport, providing services such as food and beverage, retail, and car rental.
The London Luton Airport Concession Agreement
In 2018, London Luton Airport announced that it had signed a new concession agreement with a consortium of partners to develop a new £200 million terminal building. The consortium, comprising of VolkerFitzpatrick, Arup, and BDP, will not only build the terminal building but also operate it for the next 30 years under the concession agreement.
The new terminal building will feature state-of-the-art facilities, including new immigration and security checkpoints, a larger departure lounge, and more retail and dining options. The expansion is expected to increase the airport`s capacity to 18 million passengers per year, making it one of the largest airports in the UK.
The Benefits of the Concession Agreement
The new concession agreement will bring a number of benefits to both the airport and its passengers. Firstly, the new terminal building will provide a much-improved passenger experience, with more space, better facilities, and greater convenience. Secondly, the expansion will create new jobs, both during the building phase and after the terminal building is completed. Finally, the increased capacity of the airport will enable it to expand its routes and attract more airlines to operate from London Luton Airport.
Conclusion
The London Luton Airport concession agreement is a significant investment in the airport`s future, and it is expected to deliver a range of benefits to both the airport and its passengers. With the expansion of the airport, it is likely that more people will choose to fly from London Luton Airport, making it an increasingly important hub for air travel in the UK.