SFGate: Oakland airport in a growth spurt/With a big influx of new passengers, facility is getting new digs to match

[Date Prev][Date Next][Thread Prev][Thread Next][Date Index][Thread Index]

 



=20
----------------------------------------------------------------------
This article was sent to you by someone who found it on SFGate.
The original article can be found on SFGate.com here:
http://www.sfgate.com/cgi-bin/article.cgi?file=3D/c/a/2005/10/23/BUGA1FAD6P=
59.DTL
 ---------------------------------------------------------------------
Sunday, October 23, 2005 (SF Chronicle)
Oakland airport in a growth spurt/With a big influx of new passengers, faci=
lity is getting new digs to match
David Armstrong, Chronicle Staff Writer


   "Nothing," Oakland International Airport's Steven Grossman said, "makes =
an
airport director's heart beat faster than steel going up."
   Grossman's heart must really be aflutter these days. Oakland
International, where he is director of aviation, is intensifying a
construction and overall growth spurt that began in earnest several years
ago, and is likely to keep going apace until at least 2025, when the
airport foresees handling more than twice as many passengers than it does
now.
   Oakland handled 14.3 million passengers in 2004, up from 10.6 million in
2000, Grossman said. Cargo growth is up even more, growing by 6 percent in
2004 from 2003, he added.
   Rapid growth has crowded Oakland International, where long lines at
check-in and security checkpoints have become common.
   Unlike many other airports, which see peak business in early morning and
late afternoon, Oakland has an additional peak late at night, when
speciality and charter airlines like SunTrips board and unload passengers
in the wee hours.
   Oakland is bursting at the seams.
   To catch up, Oakland International -- a unit of the Port of Oakland -- is
expanding and renovating its jam-packed Terminal 2, repaving the 1950s-era
airplane aprons outside its two passenger terminals, using a $16 million
grant from the Federal Aviation Administration to install new technology
for screening passengers' bags, and opening a renovated business jet
center in its North Field facility that has been restored to its 1932 Art
Deco splendor.
   "It looks like the set for an Indiana Jones movie," Grossman said of the
facility, which he said cost $4 million to upgrade.
   Additionally, Oakland International, the nation's 31st-largest airport by
passenger traffic, is rewriting its master plan. The plan, which Grossman
said would cover $800 million to $900 million of work, should be finished
by February.
   In what may prove to be a controversial move, the bayside airport is
anticipating building an additional runway to handle growth, Grossman
said, although there is no firm date for it. "We'll leave that for another
day," he said.
   Oakland's growth has induced growing pains as well as opportunities.
   Although there has been occasional speculation by press and public that
Oakland may need to build a third passenger terminal, no third terminal is
on the horizon.
   When United Airlines consolidated its maintenance operation at San
Francisco International Airport last year and vacated a cavernous
maintenance facility at Oakland, various uses -- including possible
conversion to a passenger terminal -- were considered.
   But the big building hasn't lent itself to quick and practical conversio=
n,
Grossman said, and it won't be used again as a maintenance center by
another airline.
   "There's just not a demand for that now," he said. As it is, the facility
is scheduled to be demolished in two or three years, according to
Grossman.
   Early this year, Oakland International also had to scale back an ambitio=
us
plan to build a multimillion-dollar parking garage when airport studies
indicated it was likely to go over budget.
   Partly in response, the airport began to collect a small percentage of
revenues from private, off-site airport parking companies that ferry
travelers to and from their lots. That helps the airport capture some
parking revenue but is presumably less than it would have been able to
snare with a multilevel garage.
   Still, the airport's financial situation has been strong enough for
Standard & Poor's to issue it a A+ long-term credit rating last year and a
"stable" outlook for the next two years.
   "They are performing as well as we expected. They are taking prudent
long-term steps and not building facilities that are not needed," said
Kurt Forsgren, a director for S&P.
   According to Forsgren, the airport's continued growth in passenger traff=
ic
has put it in a good position to come up with the revenue from tenants and
other sources to fund its ambitious capital improvement program.
   Oakland has experienced flurries of activity before, but many occurred
long ago. Back in the early days of civil aviation, Oakland was a West
Coast terminus for the nation's fledgling air mail service, and it served
as home airport for the daring, doomed aviator Amelia Earhart. Then it
settled into years of relative quiet.
   As recently as the early 1990s, Oakland felt like a small-town airport,
with a modest-size terminal, a relaxed atmosphere and easy parking.
   That began to change in the mid-1990s, when low-fare pioneer Southwest
Airlines began to expand its presence in Oakland. Low-fare newcomer
JetBlue Airways jumped in late in the decade, Southwest pulled out of San
Francisco International and expanded even more in Oakland and air freight
giant FedEx Corp. increased its Oakland cargo hub as it increased its Asia
and transpacific business.
   During the dot-com bust, which shrank business at SFO and San Jose Mineta
International Airport, business kept growing at Oakland International,
which shrewdly remade itself into the Bay Area's low-fare leader.
   Indeed, the remake and expansion at Terminal 2 is being done in no small
measure to satisfy Southwest's desire to fly more planes from Oakland.
   "We are right now operating at close to capacity," Southwest spokeswoman
Whitney Eichinger said. "We obviously want to fly more planes. We have an
average of 10 flights per gate per day in Oakland, so adding more gates
provides an opportunity for growth."
   The terminal expansion will give Southwest three new gates, which it
expects to start operating in the second half of 2007, she said. Southwest
has 11 gates in Oakland and handles about 60 percent of the airport's
passengers.
   "Oakland is an excellent, excellent airport," Eichinger said. "It is
low-cost, and we get fast turn-around of our planes. We have a great
relationship with the airport, and we are working closely with them in
this construction. It's a great operating environment for Southwest."
   Overall, Oakland is now the Bay Area's second-largest airport -- up from
third in the late 1990s, after which time it leapfrogged San Jose.
   The Bay Area's largest airport, by far, is SFO, which handled 32.2 milli=
on
passengers in 2004 -- more than Oakland expects to see in 2025 -- and is
the 21st-busiest airport in the world, according to Airports Council
International.
   San Francisco handles more than 90 percent of the area's long-haul
international travel, a part of the business that low-fare carriers only
nibble at.
   While Mexico and the Caribbean have become popular destinations for some
low-fare carriers, long-haul flights to Asia and Europe are still the
domain of major legacy carriers, which pamper high-paying passengers who
want more creature comforts than most discounters provide on short-haul
flights.
   The U.S. airline business continues to be turbulent, tossed about by high
fuel prices, fears of terrorism and labor strife. Still, Oakland
International sees mostly clear skies ahead for the long-term.
   "The new airport master plan anticipates 18 million passengers in 2010,"
Grossman said. "In 2025, we expect 30 million. Where we'll put all those
people, I don't know."
   Oakland is adding five gates to Terminal 2, where Southwest runs most of
its operations. That process is well under way, Grossman said, with steel
girders going up and about 60 percent of the building's skin in place.
   "The dirt is flying," he said.
   The repaving of aircraft aprons will proceed in three phases, he said, a=
nd
the airport will operate during the construction. A more sophisticated
baggage-screening program is also expected to be in place by December, he
said.
   The airport is also trying to be more environmentally sensitive. It
instituted a more wide-ranging recycling program early this year, and is
studying the performance of new solar-energy mirrors on the roof of the
main FedEx building, to see if solar power is a viable option for other
parts of the airport, Grossman said. "We'll know more about that in a year
or so."
   In the long-term, Oakland will need a new runway, Grossman said, adding
that there are so many projects already under way, the airport hasn't
seriously advanced a case for a runway yet.
   "Let's face it, there's no easy way," he said. "Several years from now,
there will have to be a process for the region to address it and talk
about what we all ought to do."

Oakland International Airport

31st-largest airport in the United States by passenger traffic
   Second-largest airport in Bay Area
   Handled 14.3 million passengers in 2004, up from 10.6 million in 2000
   $110 million Terminal 2 expansion will add five gates and a food court,
plus new baggage-screening facilities.
   Sources: Airports Council International, Oakland International Airport

   E-mail David Armstrong at davidarmstrong@xxxxxxxxxxxxxxxx --------------=
--------------------------------------------------------
Copyright 2005 SF Chronicle

[Index of Archives]         [NTSB]     [NASA KSC]     [Yosemite]     [Steve's Art]     [Deep Creek Hot Springs]     [NTSB]     [STB]     [Share Photos]     [Yosemite Campsites]