Tampa awards 65 shops in $1.3bn retail overhaul

By Doug Newhouse |

Hillsborough County Aviation Authority Board (HCAAB) has approved and awarded 11 concessions comprising 65 new shops, restaurants, kiosks and bars at Tampa International Airport in Florida.

 

The entire Concessions Redevelopment Program is said to be worth approximately $1.3bn in gross sales over the next decade, with all contract awards directly tied into Tampa Airport’s ongoing $943m renovation and construction programme. The current master concession and duty free agreements expire on September 30, 2015.

 

From October of this year, the latest agreement will cover new duty free stores from World Duty Free in Terminals E and F (see terminal retail maps), plus all news and gift outlets, restaurants and bars, with all outlets set to begin trading in phases, beginning on the airside this July. HCAAB adds that it hopes to have the full programme ‘in full operation by the end of 2017’.

 

Airside areas F and E above handle the airport’s international traffic, although duty free sales are very small at this location (see chart below from Tampa management relating to the airport’s revenue split in 2012 – latest data available).

Source: Tampa International Airport (Hillsborough County Aviation Authority Board (HCAAB).

 

A top priority for the ‘Concessions Redevelopment Program’ was to introduce more local flavour and a sense of place to the airport and the highly dominant food and beverage portion of the total package will see more than 40% of these outlets dedicated to airside local concepts and brands – reflecting the very high domestic passenger profile.

 

Currently, Tampa offers non-stop service to 12 international and 62 domestic destinations, with total daily departures numbering around 212 according to the information supplied to bidders. The airport also handles approximately 45,800 passengers a day and around 16.7m a year.

 

Routes include daily flights to London (BA), non-stop services to Havana, Holguín, and Santa Clara, plus routes to Zürich and Panama. Currently, international flights work out of the Airside E and F terminals (American, British Airways, Cayman, Copa, Edelweiss, Sky King, US Airways & West Jet).

 

The airport’s top 10 destination markets are currently New York, Chicago, Philadelphia, Atlanta, Detroit, Baltimore, Washington DC, Boston, Indianapolis and Dallas/Fort Worth.

 

Tampa International Airport’s future Main Terminal retail plan.

 

Commenting on the concession process, Tampa International Airport CEO Joe Lopano said: “I’m extremely proud of the Tampa International Airport staff and Aviation Authority board members who worked so hard to bring this incredible programme to life. I have no doubt that the final results will be amazing and that all who visit Tampa International Airport from around the world will agree.”

 

As is normal at all US airports that wish to qualify for Federal Funding, Tampa has also placed considerable emphasis on its Airport Concessions Disadvantaged Business Enterprise (ACDBE) partnerships, with management creating more opportunities for minority and female owned businesses. Under the new programme, the airport’s ACDBE participation will be increasing from three companies to 15.

 

At the same time, it expects its annual gross sales for ACDBE businesses to rise from $12m to $50m. Airport management says that most of that revenue will stay in the region, as 12 of the 15 ACDBE partners are from the Orlando/Tampa/Sarasota area.

 

Tampa International Airport Airside A.

 

Meanwhile, airport management added that many business owners and concessionaires praised TPA’s selection process, which included several months of research and planning by the Airport’s Concessions and Procurement departments, widespread public outreach and thousands of hours of evaluation and scoring by Airport staff member selection committees.

 

“This was the most involved and most thorough RFP (request for proposal) we’ve ever responded to,” said Pat Murray, Executive Vice President for SSP America, which operates airport concessions all over the country and was awarded its contract with Hard Rock Café, Bella’s, Louis Pappas Fresh Greek and several other concepts. “I’m sure it was a gruelling process for the staff, and we’re really honoured to be a part of Tampa International Airport.”

 

Tampa International Airport Airside C’s new retail plan.

 

Raymond Kayal of retail concessionaire NewsLink of Tampa, LLC, spoke in support of the TPA staff’s ‘fairness and transparency’ during the selection process. His Florida-based firm will represent Victoria’s Secret at Airside E, Bay to Bay News at Airside F and The Shoppes at Bayshore in the Main Terminal, among several others.

 

Meanwhile, the airport has also listed those retail and F&B businesses that will be closing in July 2015 in Airside C, which include: Kiehl’s; Newsstand North; Sunglass Icon; Talie; Tech in a Sec; and Nathan’s/Sam Adams.

 

In the short term, it also added that those businesses that are now scheduled to open by March 2016 in the Main Terminal include P.F. Chang’s and the Hard Rock Café. (Airside A): CNBC, Bay Coffee & Tea Company, Auntie Anne’s, Ducky’s. (Airside C): NewsLink, Starbucks Coffee, Guy Harvey RumFish Grill, Time Zone. (Airside E): Tampa Bay Times newsstand, Four Green Fields, Starbucks Coffee. (Airside F): Swarovski.

 

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