Port contracts $10-billion investment by TOGA and JetBlue for JFK. Plan total: $13 billion

Port contracts $10-billion investment by TOGA and JetBlue for JFK. Plan total: $13 billion
Port Authority Executive Director Rick Cotton congratulates Terminal One’s Arthur Molins of Lufthansa as one of four partners in the the Terminal Consortium for its $7 billion winning investment contract.
Photo by Jeff Yapalater

Port Authority Executive Director Rick Cotton congratulated Arthur Molins, who represents the Terminal One Group (TOGA) at JFK Airport, for the award of contract for the redevelopment of Terminals 1, 2 and part of 3. This contract award for TOGA, which is comprised of airlines Lufthansa, JAL, Korean and Air France, is a $7 billion dollar investment by the TOGA group and a consortium of investors in the Reimagining JFK redevelopment plan

Also awarded was JetBlue, represented by CEO Robin Hayes and CFO Steve Priest, for a $3 billion terminal rebuild and expansion investment by JetBlue and partners at JFK. “Excitement” was the word used by both terminal executives after the announcement by Cotton and Governor Cuomo Thursday morning. This is a major step in the Governor’s Vision Plan for the future of JFK. According to Port, more is to come. An additional $3 billion will come from private investors and the Port Authority, totaling $13 billion for the JFK transformation.

Airline executives and community leaders lauded the announcement.

Arthur Molins, Managing Director of the Terminal One Group, said, “We are extremely grateful for the support of the Governor and Port Authority as we partner with them to return JFK Airport to world-class status. We look forward to bringing this vision to reality.”

Robin Hayes, JetBlue Chief Executive Officer said, “As New York’s Hometown Airline (TM), JetBlue has been doing its part to transform JFK Airport since our first flight 18 years ago. Building on the success of JetBlue’s award-winning JFK Terminal 5, we look forward to creating a more unified world-class airport experience across Terminals 5, 6 and 7 and achieving Governor Cuomo’s vision for a transformed experience at JFK.”

Congressman Gregory W. Meeks said, “Today’s announcement by Governor Cuomo is a welcome development that speaks to his administration’s leadership. The transformation of JFK into a state-of-the-art international airport for the 21st century is closer than we can imagine, and will be inclusive in ways that are crucial to the success of the project and the advancement of the community. This massive project will create regional job growth, especially in Southeast Queens and surrounding communities, as well as new business ventures for qualified MWBEs.”

Queens Borough President Melinda Katz said, “The $13 billion overhaul of John F. Kennedy will be instrumental in assuring continued economic growth and development across Queens. A project of this magnitude will bring many opportunities to the community of Southeast Queens, as well as encouraging additional investment from the state.”

These committed investments advance the Governor’s vision for a unified and interconnected airport system with best-in-class passenger amenities, centralized ground transportation options and vastly improved roadways that collectively will increase the airport’s capacity by at least 15 million passengers a year. The overall plan includes a central terminal for JFK with an RFI to go out asking for proposals on design and developments costs.

However, this is an initial announcement of intention. Public details are scant as to the exact proposals and why the other contender, jointly from JFKIAT and Delta, was not considered as part of the scope of the bid package. According to Roel Huinink, JFKIAT’s chief executive, “the company looks forward to a continued partnership” with the Port Authority. However the loss of this business must be a difficult and hopefully the notification that a new centralized terminal that was unveiled at the announcement would be another opportunity for the JFKIAT, a Schipol company, and Delta.

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