JFK Airport Redevelopment
AIRPORT V 16 OICE, DECEMBER 2021
Reimagined and reinvigorated
BY JEFF YAPALATER
The announcement of the
New Terminal One (NTO) redevelopment
as part of the overall
JFK Airport redevelopment
was announced by Governor
Hochul and the Port Authority.
The announcement carried
an air of reimagination and reinvigoration
of the completion
of the airport planned redevelopment
with the New Terminal
One (NTO) redevelopment as
part of the overall JFK Airport.
The redevelopment plan began
years ago when then Governor
Cuomo announced the airport
Vision plan at the TWA Hotel. It
was a bit of a slow start by the
different pillars of development
including Terminal One, Terminal
Four, Terminal 6 and Terminal
8 but really began to gain
momentum a year before the
outbreak of covid. The Terminal
One Group Associates (TOGA)
comprised of Lufthansa, Air
France, Korean Air and Japan
Air Lines, are leaseholders and
general managers of the current
Terminal One, were underway
with plans and joined
the Carlyle Airport Group to develop
the aging current Terminal
One built in 1998.
But this partner plan was
scuttled as covid spread across
the world, paralyzing normal
plans and visions. International
flights to the U.S. dropped to almost
non-functional levels, income
was hammered and budgets
for any improvement had
to be scrapped. The planned
partnership between TOGA
and CAG fell by the wayside
as T1 struggled to make ends
meet with reduced flights, terminal
operations, staffing, concessions,
maintenance and
covid health and safety protocols.
The upshot is that CAG
is going the redevelopment as
NTO (with its investors) without
TOGA which will remain dayto
day management. The Port
recently approved a four year
extension to the lease expiring
next year allowing a buffer as
construction increases. While
Port Executive Drector Cotton and CAG Dr. Gerrard Bushell
TOGA is no longer an equity
partner, it will retain the management
of the terminal with a
detailed deal put together with
NTO and the Port. The Port has
extended the lease with TOGA
until May of 2026 (which is the
expected date of the new terminal
completion) when CAG will
decide future management as
well as whether the terminal remains
entirely international.
The lease extension seems
to have been a key factor with
the signing of the terminal
agreement as it was for the
completion of the Terminal 6
project. The Port master lease
extension by NYC gives time for
the terminals to be constructed
and to begin the return on investment
that is required for any
deal to be signed.
The Terminal One redevelopment
is the last piece of the
passenger related redevelopment
pie along with Terminal 8
currently undergoing construction,
Terminal 4 having just broken
ground for its extension
and Terminal 6 JPM consortium
with its pre-deployment
planning. The cargo side of redevelopment
is currently under
consideration as the Port awaits
responses from a RFP to many
developers for the North Cargo
Area. The single current cargo
modernization is the new Aeroterm
building at the former Bldg.
260 site with Worldwide Flight
Services as it’s anchor tenant.
According to TOGA Board
Member, " it is exciting that the
idea that was on the back of an
envelope will be a reality.”
TERMINAL ONE GROUP ASSOCIATION, L.P.
and the Four Partner Airlines
Wishes JFK Airport and its employees
a Happy Holiday Season and a Prosperous New Year
■Air France ■Japan Airlines ■Korean Air ■Lufthansa