DFW International Airport is radically transforming to serve more travelers and drive economic impact across the region, its new CEO said.
The world’s third-busiest airport is undergoing a massive construction boom to expand and rebuild terminals, revamp bridges and roads, and add more gates and retail stores, airport CEO Chris McLaughlin said in his keynote address during the Fort Worth Report’s 1 Million & Counting Growth Summit on Oct. 23.
“We know DFW serves (as) a major economic driver for the region,” said McLaughlin, who was an airport administrator for four and a half years before being appointed to the CEO role in April. “We’re proud of the work that we do — in terms of global productivity, capital investments, job creation and commercial development here in North Texas, Fort Worth, Dallas and our other cities.”
DFW’s global position as an aviation hub occurred over five decades through regional partnerships with local cities, counties and entities.
Initially called DFW Regional Airport, it was founded in 1974 in Tarrant and Dallas counties with nine airlines and 66 gates. The airport “has always been a key historical piece of the fabric of North Texas” by connecting it to the world, McLaughlin said.
The airport’s operations led to the creation of 634,000 jobs with a $24 billion annual economic impact from visitor spending, including $3 billion in state taxes and $2 billion in local taxes, McLaughlin said.
During his time at the airport, McLaughlin said, he learned about the value of competition between local cities. That’s helped lead to a robust North Texas economy and booming population, now expected to reach 12 million by 2050, he said.
“When our founders thought about putting DFW together, that sense of competition between our communities has really driven us forward and propelled us to become the airport we are today,” McLaughlin said. “It’s that sense of competition that generates greatness, and that greatness is what’s built North Texas as this aviation hub that the rest of the country is jealous of.”
The airport’s customers grew from 6.8 million in 1974 to a record 87.8 million last year.
The number of customers served annually 50 years ago equates to “less than a month” of the airport’s business these days, McLaughlin said.
Today, the airport’s operations are third in the world, as travelers can reach more destinations from DFW than any other airport in the nation, McLaughlin said. The airport reaches 192 domestic destinations and 79 international ones through contracts with 32 passenger airlines and 19 cargo carriers.
However, this year the airport has to date seen about 500,000 fewer travelers because of some decreases in tourism, he said. Still, DFW saw a 2.3% increase in international traffic even in face of political rhetoric, he said.
Since December, DFW launched new service to Fiji, Hong Kong and Taipei through contracts with international passenger carriers. Next up will be direct service to Amman, the capital of Jordan, which starts in the spring.
The airport’s largest carrier, Fort Worth-based American Airlines, is doing stellar business at DFW, McLaughlin added. Within a year, American launched new services to Brisbane, Australia, Barcelona, Spain and Venice, Italy. Next year, the carrier will begin direct flights to Athens, Greece, and Zurich, Switzerland.
The airport estimates it will serve 100 million customers annually by 2030, McLaughlin said.
“The growth is just phenomenal,” he said.
Airport construction
McLaughlin said the airport has 180 active construction projects, including road repairs and lane changes.
“(There is) construction essentially across the entire campus in order to prepare what the future holds for us,” McLaughlin said.
Upgrades include making 5 out of 6 terminals accessible through right-hand exits. Major construction is going on in three terminals, while smaller construction projects are occurring in the other two.
In May, airport officials will open a pier at Terminal C with nine new gates. Terminal C is being rebuilt in one-third increments to maintain operations while upgrading the building, McLaughlin said.
Terminal A will have a new pier with 10 new gates, he added.
Meanwhile, Terminal F will be a new stand-alone facility with 31 gates, next-generation technology, a Skyline station, modern baggage handling systems and a second customs hall. American Airlines, the airport’s partner on the $4 billion project, will occupy the whole terminal.
The airport upgrades, he said, will aid the region as it will host FIFA World Cup games next summer. The event is expected to bring an estimated 100,000 soccer fans to the area.
“This vision will truly propel us into the next decade,” McLaughlin said.
Community support
McLaughlin said the airport’s success is tied to its relationships with the North Texas community.
“When we come and talk about our economic impact, we also know that this is really about collaboration with the community, and we’re grateful to be part of this community,” he said.
The airport’s management is focused around five pillars: network, infrastructure, workforce, community and the future.
“We can only do it with renovated, resilient, best-in-class infrastructure, and that’s why we’re focused on spending $12 billion dollars over the next five years to deliver essentially a completely rebuilt DFW,” McLaughlin said.
As airport officials look toward the future and how to use its 27 square miles with a creek running through it, they will consider environmental and climate effects on the land, he said.
“So what do we do to make sure we’re preserving DFW for future generations?” McLaughlin said. “We’re focused on that. We use that to guide our principles on a daily, weekly, monthly (basis) and, candidly, across the next 50 years is how we think about it.”
Eric E. Garcia is a senior business reporter at the Fort Worth Report. Contact him at eric.garcia@fortworthreport.org.
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