Terminal 2 Year-by-Year
Background
In 1982 Terminal A opened as a temporary measure to ease overcrowding in the airport’s first passenger terminal. At the time, the Airport Authority had plans to build a primary terminal on the west side of the airport, adjacent to the new, longer runway. Those plans, however, changed in 1987 when American Airlines built Terminal C as home to its southeast hub operations.
Throughout the 1990s, demand for air service from RDU continued to grow as more airlines began operating from Terminal A.
In 1994, the Authority developed a nearly $1 billion plan to build a temporary terminal, demolish overcrowded Terminal A and build a new, larger terminal. This plan was put on hold after the September 11, 2001 terrorist attacks to assess the status of the aviation industry and to examine other opportunities for terminal development.
In 2002, the Airport Authority was given the opportunity to purchase American Airlines’ Terminal C lease. With the acquisition, the Authority began plans for constructing a new terminal in the location of Terminal C.
By building Terminal 2, the Authority is able to build a new terminal without incurring the substantial cost and inconvenience associated with the redevelopment of Terminal A.
Terminal 2 Year-by-Year
1985 – 2002
2003 – 2004
2005 – 2006
2007
2008
Terminal 2: 1985 – 2002
July 1985
American Airlines announces it will build Terminal C at Raleigh-Durham International Airport as its southeast hub operation. In return, the Airport Authority grants American a 40-year lease. The airline begins operating at RDU with 11 daily flights.
June 1987
Terminal C, with 26 gates, opens as American’s southeast hub.
June 1995
American closes its hub operation at RDU as part of the consolidation of its hub system. With much of Terminal C now unused, American Airlines leases gates, hold rooms and office areas to Midway Airlines.
August 2001
Midway Airlines declares bankruptcy and later ceases operations completely.
December 2001
American Airlines and the Airport Authority reach an “Agreement in Principle” to transfer control of Terminal C to the Airport Authority.
June 2002
The Airport Authority purchases the remainder of American Airlines’ lease and additional facilities for $30 million.
July 2002
The Airport Authority begins assembling a project definition team to develop a renovation and expansion plan that will act as a roadmap for future development of the terminal.
October 2002
Fentress Bradburn Architects of Denver joins the project definition team to assist in the architectural design of the terminal.
November 2002
The Airport Authority issues $30 million in General Airport Revenue Bonds to fund the purchase of the Terminal C lease from American Airlines.
The Airport Authority approves an agreement with Parsons Transportation Group for project management and construction management services for the terminal project.
Terminal 2: 2003 – 2004
March 2003
The project definition team completes the roadmap for Terminal C.
May 2003
The Airport Authority holds a work session to determine the scope and financial parameters of the terminal project. The Airport Authority board commits to a $350 million project that focuses on the passenger experience. The project will be designed and constructed to facilitate the complete build out of the project definition plan when airline and passenger demand warrants.
May – July 2003
Authority staff develops an initial plan for moving forward with the renovation and expansion of Terminal C using the plan developed by the project definition team as a roadmap. The Airport Authority board asks staff to revisit the plan and develop alternatives that focus on the ticketing area, Federal Inspection Services facility and concourse expansion.
August 2003
Authority staff revisits the project definition plan and devises an alternative for the renovation and expansion of Terminal C. The Authority votes to move forward with a schematic design that focuses on the construction of a new north concourse, redevelopment of the ticketing level to include a Federal Inspection Services facility and to rebuild and renovate portions of the south concourse. The working budget given to the architectural design firm for construction only is $250 million. The cost does not include design and associated services or contingency costs.
October 2003
The Airport Authority board votes to approve a $5 million dollar contract with Fentress Bradburn Architects for the schematic design of the Terminal C renovation. The contract also includes associated services.
March 2004
Architect Curtis Fentress unveils the architectural design of Terminal C. Using the themes of hand made and mind made, the design reflects the rolling hills of North Carolina and its history of craftsmanship.
September 2004
The Airport Authority contracts with D.H. Griffin for the demolition of the Terminal C north concourse. The $4.6 million contract includes the demolition of 150,000 square feet of the north concourse and 30,000 square feet of the Terminal C airline ticketing and baggage claim areas.
Terminal 2: 2005 – 2006
February 2005
Crews begin the demolition of the Terminal C North Concourse.
May 2005
The Airport Authority issues $82.6 million in General Airport Revenue Bonds to fund the Terminal C redevelopment project and the Taxiway D construction project.
August 2005
The Airport Authority holds an information session on the Terminal C building contract. The event targets local subcontractors and vendors and provides opportunities for them to discuss subcontracting opportunities with potential general contractors.
February 2006
The Airport Authority awards Atlanta-based Archer Western Contractors the construction contract for the redevelopment of Terminal C. The contract amount is for $257.6 million.
April 2006
Major construction begins.
May 2006
Fitch Ratings, New York, assigns the Airport Authority an A+ for approximately $300 million in series 2006 variable rate revenue bonds.
The Airport Authority issues $300 million in General Airport Revenue Bonds to finance the Terminal C project.
December 2006
The Airport Authority board votes to expand the scope of the Terminal C redevelopment project to include the demolition and replacement of the south concourse. With the vote, the Airport Authority begins plans to replace Terminal C with a new terminal that will be nearly three times the size of the former airline hub.
Terminal 2: 2007
March 2007
The Airport Authority board approves an agreement with IBM Corporation to provide implementation services for the Airport Operations and Information Systems for the new terminal. The system will become the IT infrastructure from which the Airport Authority will manage the use of aircraft gates. The system will also include common use kiosks, common use self-service kiosks, a resource management system and multi-user flight information display system to create a shared use environment for the terminal.
April 2007
The Airport Authority awards a contract to FMC Technologies to provide and install 19 boarding bridges and 13 mounted baggage valet units for Terminal 2. The contract amount: $9.4 million.
May 2007
Moody’s Investors Service assigns an Aa3 rating to the Airport Authority’s sale of approximately $153 million of General Airport Revenue Bonds. Fitch Ratings assigns an AA- rating to the bonds, while upgrading the Authority’s outstanding airport debt to AA- from A+.
September 2007
Airport Authority staff announces 18 of the 43 shops and restaurants to be featured in the new terminal. Restaurants include local fare Carolina Ale House and 42nd Street Oyster Bar. Shops include Chapel Hill-based A Southern Season and RDU-based 2nd ed Booksellers, a used bookstore. Other restaurants and shops include Starbucks, Jose Cuervo Tequileria, California Pizza Kitchen ASAP, PGA Tour Shop, Brooks Brothers and more.
Concepts will be provided by Host International, JQ Enterprises, Borders, Inc, The Book Cellar and The Paradies Shops.
October 2007
The Airport Authority awards a contract to Arconas Corporation to provide public seating for the new terminal. The agreement is later expanded to ensure fifteen percent of the seats in the boarding areas will include a power source for travelers needing to charge and power mobile phones, computers and other electronic devices. Value of the contract: $2.5 million.
November 2007
The Airport Authority approves a five year/$4.9 million agreement with TBI Airport Management to provide resource management services in the new terminal. The company will be responsible for controlling aircraft movement on the terminal ramp and managing terminal gates, baggage claim carousels and ticket counter positions.
The Airport Authority approves seven restaurant concepts from Creative Host Services. In the new terminal, the company will manage the following restaurants: Panopolis, Jason’s Deli, McDonald’s Moe’s Southwest Grill, Camden Food Company, Café Ritaza and Buffalo Wild Wings Grill & Bar.
December 2007
The Airport Authority board approves the concepts proposed by Airport Management Services for news and retail shops in Terminal 2. The concepts approved include Life is Good/Kids Works, Godiva Chocolatier, Anders Natural Soaps, Shaw News, AeroMart and Hudson News.
Airport Authority staff introduces the concept from EJE Retail, which will offer duty free and duty paid items. International passengers may purchase all items in the concession without paying tax or the additional cost of import duties. Duty paid merchandise includes products in the fragrance, confections, cosmetics, leather goods, jewelry, electronics, promotion, children’s and impulse categories. The Airport Authority board also approves the concept for an electronics provider in Terminal 2. The store will be operated by ILJ Raleigh.
Terminal 2: 2008
January 2008
Airport Director John Brantley announces that the new terminal will be named Terminal 2 upon its opening.
March 2008
The Airport Authority board approves a resolution to rename Terminal A. When Terminal 2 opens, the airport’s oldest terminal will be renamed Terminal 1.
The Airport Authority board approves an agreement with Business Traveler Services Inc to provide a business services and automated retail concession in Terminal 2. The product selection will include Apple iPods and accessories and cosmetics.
May 2008
The Airport Authority board approves an agreement with FMC Technologies to operate and maintain the Terminal 2 baggage handling system, including inbound baggage claim devices in Terminal 1 and the Authority-owned passenger boarding bridges in Terminals 1 and 2. The cost of the 3-year contract: $5.3 million.
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