Indianapolis concessions attract strong interest

Nicole Mezzasalma

Print Article E-Mail Article E-Mail Author

Airport officials say the demand is more than five times the number of retail and food and beverage concession spaces available

About 250 companies have sent letters of interest regarding 50 retail and food and beverage concessions at Indianapolis International airport’s new Midfield terminal, scheduled to open in late 2008. Airport officials reported that demand for the concessions is five times greater than the number of outlets available, according to the Indianapolis Business Journal.

The $1.1bn Midfield terminal will have 60,000sq ft (5,574sq m) of retail space, 25,000sq ft (2,322sq m) of which will be located at a circular civic plaza that will link the building’s two concourses in a design created to improve passenger flow. More than half (55%) of the retail concession space will be located airside in the new terminal.

Indianapolis Airport Authority director of business development Jeremiah Wise said the minimum guidelines for rent in the new concessions are 8% of total sales for food and beverage outlets, 12% for liquor stores, 15% for news and convenience shops and 8% for other stores. Although the airport did not identify any of the companies to submit letters of interest, the first deals are expected to be signed in the first quarter of 2008.

Passengers spent $32m at Indianapolis airport’s existing terminal in 2006. Spend per boarding passenger was $7.71 in the period, an increase of 7% compared to 2005.