At airports where there are still gates left, is it cost effective to build a terminal? Are the gate fees lower for gates in owned terminals? How many gates would I need to have at an airport for it to be cost-effective to build a temrinal? (just like how a 5-gate hub doesn't do much good)
Thanks.
Terminals worth it?
Started by Yuxi, Oct 11 2008 02:29 PM
#1
Posted 11 October 2008 - 02:29 PM
#2
Posted 11 October 2008 - 07:48 PM
No, not unless your margins are VERY poor.
The gate fees are lower (the discount increases the more gates you buy), but the discount you get won't add up to much when you consider the large cash outlay required to buy the gates. You will probably get a better return on investment by purchasing more aircraft and opening more routes.
The gate fees are lower (the discount increases the more gates you buy), but the discount you get won't add up to much when you consider the large cash outlay required to buy the gates. You will probably get a better return on investment by purchasing more aircraft and opening more routes.
#3
Posted 12 October 2008 - 12:07 AM
Well, I have a slightly different take on this. Since I don't have much to spend my money on anyway the cash outlay isn't an issue.
At 33 gates you get a 65% discount on gates in your terminal. You can rent 33 gates cheaper than you can rent 20 gates because of the discount. If you have 15-20 gates that you've bought willy nilly here and there while they open up then you'll save money monthly on your gates at that airport with almost any sized terminal if you don't mind the initial outlay.
At 33 gates you get a 65% discount on gates in your terminal. You can rent 33 gates cheaper than you can rent 20 gates because of the discount. If you have 15-20 gates that you've bought willy nilly here and there while they open up then you'll save money monthly on your gates at that airport with almost any sized terminal if you don't mind the initial outlay.
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#4
Posted 12 October 2008 - 12:09 AM
Is there a monthly fee on terminal gate rental or just the one-time construction costs?
#5
Posted 12 October 2008 - 01:37 AM
You still pay a monthly fee on the gates but its at a discounted price based on how many gates you build in your terminal up to 65%.
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#6
Posted 12 October 2008 - 11:14 AM
is there any way to return your terminal?
because in the begin i bought a terminal at newark but i only got 44 % anymore (to many airlines)
Gr,
Didi
because in the begin i bought a terminal at newark but i only got 44 % anymore (to many airlines)
Gr,
Didi
#7
Posted 12 October 2008 - 04:49 PM
is there any way to return your terminal?
because in the begin i bought a terminal at newark but i only got 44 % anymore (to many airlines)
Gr,
Didi
No there is not
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