Delta Signs On To $1.9 Billion Terminal Improvement Project At LAX

Delta Air Lines is moving forward with the first steps in a $1.9 billion plan to modernize, upgrade and connect Terminals 2 and 3 at Los Angeles International (LAX) over the next seven years.

Los Angeles World Airports’ Board of Airport Commissioners approved a terminal facilities lease and license agreement on Thursday.

“This is a significant milestone for Delta in Los Angeles, and it illustrates a strong, successful public-private partnership,” said Delta CEO Ed Bastian. “Delta is working hard to become the preferred airline for Angelenos, and this project reinforces our commitment to our LAX hub and to an ever-higher level of service for our customers.”

Delta said it will begin immediately with an initial investment of $350 million to design and renovate gate areas, support space and other passenger amenities; upgrade the baggage handling systems in both terminals; and facilitate the relocation of those airlines currently located in Terminals 2 and 3 to Terminals 5, 6 and the Tom Bradley International Terminal, in accordance with a plan vetted with the other airlines and approved by LAWA.

The relocation will expand Delta’s gates at LAX commensurate with the airline’s growth there. Since 2009, Delta has more than doubled its number of seats and grown from 70 daily departures to more than 175.

By relocating from Terminals 5 and 6 to the complex at Terminals 2 and 3, Delta will operate alongside many of its airline partners, including Aeromexico, Virgin Atlantic and Virgin Australia. Eventually, plans call for a secure connection to TBIT that will enable seamless access to additional partners, including Air France-KLM, Alitalia, China Eastern and China Southern.

Delta said the remodeled Terminals 2 and 3 will “provide all the amenities that Delta’s customers have come to expect at LAX,” including a private Delta One check-in lounge, new Delta Sky Clubs, fast check-in for Delta Shuttle services and an integrated in-line baggage system. The concessions program will be run in partnership with Westfield.

“The ongoing $8.5 billion LAX Modernization Program has resulted in a new Tom Bradley International Terminal, airfield and roadway improvements, as well as over $2 billion invested by airlines to renovate Terminals 1, 5, 6, 7 and 8,” said LAWA Board President Sean Burton. “Partnering with Delta Air Lines will allow both parties to further our shared goal to significantly improve the guest experience at LAX.”

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