Athens International Airport plans to expand – How the works will roll out & when a new terminal will be built

With its introduction to the Stock Exchange at Eleftherios Venizelos Airport, the expansion of the terminal and its infrastructure is now secured in three distinct phases from this year until 2050.

This is revealed by the Information Bulletin accompanying the offering of Athens International Airport shares on the Athens Stock Exchange.

According to the Master Plan of expansions as presented in the accompanying material for the introduction of Athens International Airport , it appears that these three phases of expansions will bring the airport’s capacity to 50 million passengers. The first two phases involve the enlargement of the existing terminal station by the middle of the next decade and will cost 1.35 billion euros (at 2022 prices).

The third phase will be the decisive step for the airport to acquire a second terminal in the area currently used for long-term parking. Its cost has not been clarified yet, and according to estimates by Athens International Airport , it will be completed by 2045, allowing the airport to accommodate up to 50 million passengers annually.

The first phase of the expansion

The first phase of the airport infrastructure expansion (coded as 33MAR) is not just on the horizon but already in progress, as the airport has exceeded its maximum capacity (handling 26 million passengers, with 28 million served in 2023). As mentioned in the text, the expansion projects will commence either at the end of this year or at the beginning of 2025 and are expected to be completed by 2028. This means that the announcement of the competition by Athens International Airport will likely happen very soon. The completion of the projects is set for 2028, approximately 4 years from today, with the aim of accommodating passenger traffic of up to 33 million annually.

The cost of the first expansion, which concerns the existing terminal according to Athens International Airport’s  estimates, is 650 million euros. By 2025, 25% of the investment will have been allocated, another 30% in 2026, an additional 25% in 2027, and the remaining 20% in 2028. This will be another area of competition for the major construction companies in the country, as it involves a very significant contract, with completion expected in about three years.

In more detail, the first phase of the Athens International Airport infrastructure expansions includes four distinct actions:

1. The expansion of the central terminal station building by approximately 81,000 square meters, primarily consisting of new passenger boarding areas with air bridges and buses, an extension of the check-in area including a new facade for the terminal station, a new baggage sorting hall accompanied by an expansion of the baggage claim area, as well as new spaces for commercial stores and offices.
2. The development of a new aircraft parking apron for 32 aircraft, including associated taxiways, two new servicing bridges (air bridges), and an aircraft servicing station (ramp service).
3. A new VIP terminal.
4. Expansion of the road network in the terminal area, as well as the construction of a new multi-story parking facility.

The first phase of the expansions was set in motion in 2018 but was put on hold in 2020 due to the COVID-19 pandemic. However, the rapid recovery of Athens International Airport’s traffic, especially in 2022 and 2023, brought back to the forefront the need for the first major expansion of the airport’s infrastructure. The 95% threshold, which is the statistic indicating the activation of airport expansions globally, was reached in April 2023. A necessary condition for the initiation of the projects is approval from the Hellenic Civil Aviation Authority (YPA).

As outlined in the Information Bulletin following consultations with airport advisors, the implementation of the Master Plan for the first expansion is projected to require five to six years from the publication of the Information Bulletin. Therefore, the company is in discussions with the Hellenic Civil Aviation Authority  to agree on an extended implementation period.

The socond phase of the expansion

The second phase of infrastructure expansion at Eleftherios Venizelos Airport (coded as 40MAR) may be closer than we think. This is because the activation of the second phase is set to begin in the year following when Eleftherios Venizelos Airport is projected to handle 31.35 million passengers. If we assume an average annual increase of around 5% in passenger traffic, this statistical threshold could be reached by 2027.

With the second phase of expansion, Athens International Airport, Eleftherios Venizelos, will be able to accommodate up to 40 million passengers annually. According to the projections in the Information Bulletin, the cost of this investment exceeds 700 million euros (at 2022 prices). The goal is to complete the projects by the middle of the next decade, but it is highly likely that if the development of Athens International Airport continues positively, the investment timeline could be advanced. It’s important to note that airport expansions are not only based on their business plans but also on international regulations set by IATA.

In this second phase of expansions, there will be a new enlargement of the existing terminal station. This involves expanding the terminal, extending dining and retail areas, constructing a new aircraft parking expansion, taxiways, and runway taxi lanes, ground support equipment areas, new passenger servicing bridges (air bridges), and a new aircraft taxiing bridge over the highway.

With the completion of the two expansions, the terminal station at “Eleftherios Venizelos” will be among the largest in Europe (as a single terminal) and will have reached the peak of its capacity.

The third phase with the new terminal

The third phase at Athens International Airport, Eleftherios Venizelos, for infrastructure expansion (coded as 50MAR) will result in the creation of a new terminal opposite the existing one. As noted in the Information Bulletin, to activate this phase, the airport must reach a passenger traffic of 36 million passengers and anticipate an increase to 38 million within a two-year period. With the new terminal, Athens Airport will be able to accommodate up to 50 million passengers annually.

The schedule for this new infrastructure has been estimated to be completed by 2045, but currently, there is no cost estimate. This third phase will include the development of a second terminal station in the area that is currently used for long-term parking. It will also involve the continuation of the expansion of the new aircraft parking station, new taxiways, and new runway taxi lanes, a new aircraft taxiing bridge over the highway, new accesses and traffic roads, as well as the completion of the new multi-story parking facility.

In any case, the Athens International Airport’s Master Plan has been designed to allow for some flexibility to adapt to changes in passenger traffic and can be revised or modified if necessary to accommodate different traffic patterns and operational requirements. As stated in the Information Bulletin, “the company will assess measures during the planning and construction phases to minimize the impact of the projects on airport operations.”

Regarding the funding for the expansion of infrastructure at Eleftherios Venizelos Airport, it is mentioned that the planned investments within the framework of the Master Plan are expected to be financed through additional debt from banks at competitive interest rates, constituting “Pre-determined Debt.