Note: This story was updated on March 4 to correct the speed of the internet at the airport's business center.
In its biggest expansion in more than three decades, the Chattanooga Airport is opening a new wing to its passenger concourse this week, adding two more boarding gates along with a new restaurant, gift shop and business center.
Delta Airlines, the biggest among the four airlines offering commercial flights at Lovell Field, will begin commercial flights Wednesday morning from newly built gates 7 and 8.
On Saturday night, more than 400 elected and community leaders from Chattanooga, Cleveland and Dalton celebrated the completion of the airport's $28 million terminal expansion during a ribbon-cutting in the new concourse area.
"Growth is necessary for us to remain competitive, and the expansion is an important milestone for the airport and our region," Jim Hall, chair of the airport board, said in an interview Saturday. "Transportation has always been key to Chattanooga's growth, and we are eager to continue to expand air service in our region and will prioritize flying from our home airport."
(READ MORE: Chattanooga seeks more airline routes)
The expansion project adds 26,000 square feet to the terminal and upgrades another 36,000 square feet of existing concourse. It includes two new gates and an additional passenger loading bridge, expanded security checkpoint, increased restrooms and concessions, and a business center with 10 gigabit Wi-Fi provided by EPB. It even features a restroom for service animals, complete with a fire hydrant.
Airport CEO April Cameron said Chattanooga's airport "is the front door to the community" for those flying into the region and the larger and renovated passenger concourse should provide a better passenger experience as well as offering more service options for future growth.
"The Chattanooga Airport is more than a transportation hub," Cameron said during the opening of the new concourse Saturday night. "It is where our region takes flight, where businesses arrive to see if their ideas take off in Chattanooga and where our entrepreneurs spread their wings. With today's grand opening, we are doubling down on our position as an economic driver of our region."
Competing for traffic
A two-hour drive from the world's busiest airport in Atlanta and a couple of hours drive to discount airline offerings by Southwest Airlines in Nashville, Chattanooga's airport has suffered a "leakage" of air travelers to other cities from travelers seeking more direct flights or cheaper fares.
A study by Volaire Aviation Consulting released last month estimated 39% of the possible passenger traffic in the tri-state region flies out of Chattanooga Airport, down from an estimated 45% of the market before the pandemic in 2019. Fifty-eight percent of Hamilton County residents fly out of Lovell Field, but with more route times and the availability of more discount airlines in nearby markets like Atlanta and Nashville, many travelers opt to fly from those airports.
Cameron said the airport authority is working to woo more airlines to offer more flights in and out of Chattanooga, noting the capacity factor on existing routes is running at an 88% rate and some top destinations like New York City and South Florida don't have direct flights from Chattanooga but have strong demand for such service. The expansion adds more gates to accommodate more airlines and flights in the future, Hall said.
"Chattanooga is still a much more convenient and easily accessible airport, and if you consider the time it takes to drive to these other airports, we remain a very attractive airport for many air travelers," he said.
This spring, Allegiant Air is starting direct flights between Chattanooga and Las Vegas, and seasonal nonstop flights between Chattanooga and Miami will restart in June on American Airlines. Hall said he expects more flights to be added at Chattanooga Airport as the region and air traffic continue to grow.
Last year, Chattanooga Airport boardings were up nearly 13% over the previous year, but passenger boardings last year were still below the pre-pandemic level in 2019.
The concourse expansion was recommended in the airport's master plan adopted in 2019, and the project was launched in June 2022, Cameron said. The project was designed by architects DH&W and engineers Allen & Hoshall and was built by J&J Contractors of Chattanooga. It was completed three months earlier than originally scheduled, Cameron said.
The concourse addition was built on a wing that parallels the $25 million parking deck added at the airport three years ago and is designed to potentially accommodate an additional expansion along the airport boarding area in the future.
(READ MORE: Airport gets federal grant to recruit more airlines)
Nearly two-thirds of the funding for the Chattanooga Airport expansion came from federal grant money through the Federal Aviation Administration. Cameron said about $17.5 million of the project was funded by federal grant money, $7.6 million was collected through the airport's passenger facility fee and more than $3 million came from general airport funds derived from overall operations and landing fees.
No local city or county taxes are used to fund the airport. The Chattanooga Metropolitan Airport Authority took control of Lovell Field from the city of Chattanooga in 1985, although the airport authority board is still appointed by the Chattanooga mayor and City Council.
Tommy DuPree, a regional manager for the FAA, praised Chattanooga's airport and its leadership for having the best relationship with the FAA of any of the 205 airports in his territory. DuPree has worked for the federal agency for more than 35 years and recalled the opening of the original passenger concourse in Chattanooga in 1992.
"This is a wonderful project for this airport and for the community," DuPree said during Saturday's celebration.
U.S. Rep. Chuck Fleischmann, R-Southeast Tennessee, a leader in the House Appropriations Committee that helps develop the federal budget, said he has witnessed the improvements at Chattanooga's airport regularly flying out of Lovell Field on his frequent flights between Tennessee's 3rd Congressional District and Washington.
"An airport is a representation of the economic vitality of a community, and this shows Chattanooga and this region are doing well," he said.
Fleischmann, who voted earlier this week with his congressional colleagues to approve another temporary spending measure to avoid a partial government shutdown Friday night, quipped that, "We kept the government open so this party could go on."
Economic benefits
Although Chattanooga is within a day's drive of more than half of the U.S. population, city and Chattanooga Area Chamber of Commerce officials said the municipality's airport is still key to maintaining and attracting business and tourism in the region.
"The growth of our airport plays a key role in bolstering economic development across our region," Chattanooga Mayor Tim Kelly said Saturday night. "In short, air service development is economic development. And an attractive airport also draws in visitors and new residents, contributing significantly to our community's vitality and appeal."
Adam Myers, director of economic development for the Chamber of Commerce, said that airport service is key to the recruitment and retention of businesses and workers and that the new concourse expansion "builds on the momentum we're seeing across our community."
More information about the new terminal in available on the web at bit.ly/ChattAirport.
Contact Dave Flessner at dflessner@timesfreepress.com or 423-757-6340.