Westfield eyes sales of $41m for new LAX T2
By Doug Newhouse |
Westfield Corporation has invested $78.3m on expanding and transforming Los Angeles International airport’s Terminal 2, which now comprises 76,000sq ft, with 15,000sq ft is occupied by new F&B and retail space, plus 16 operators – including DFS Group with two shop locations – described as ‘a major highlight of the new T2’.
The retail developer is now projecting a 34% rise in annual sales of $41m which it also predicts will help create a 76% increase in permanent terminal jobs.
Terminal 2 is also the last part of the latest multi-million dollar upgrade at LAX which has already included the Tom Bradley International Terminal as part of the huge $8.5bn modernisation programme at the airport.
This latest 20-month development by Westfield (the first in nearly 30 years) follows a record year at LAX which handled 74.9m passengers across all of its terminals (domestic and international) against a backdrop where the City of Los Angeles also reported record breaking visitor numbers of 45.5m visitors.
Commenting on the development, Keith Kaplan, Westfield’s Vice President at LAX said: “Los Angeles World Airports had a strong vision. They wanted more than a concessions refresh – they wanted to truly transform the entire customer journey at Terminal 2 from the moment you clear security.
“Thanks to our long-term partnership and collaboration with all the stakeholders, everybody wins – the city of Los Angeles, the airport, the airlines and the customers.”
According to Westfield, it has now designed and managed the common area improvements, while relocating and redesigning ‘an uninspiring, inefficient staircase’ to become the focal point of the terminal – while activating all of the new revenue-generating space.
Los Angeles World Airports CEO Deborah Flint said: “Fresh facilities with more seating, new services and expanded dining and shopping experiences for today’s travellers are part of our $332m investment in Terminal 2.
“We applaud Westfield’s partnership with LAWA, their investment in Terminal 2 at LAX, and their commitment to developing an experience that truly caters to the modern traveller.”
The terminal design – which has been on the drawing board for nearly two years – was inspired by ‘L.A. in Motion” which Westfield says ‘captures the energy and on-the-go attitude of Los Angeles’. Three distinct shopping and dining districts are highlighted by a grand staircase that offers customers a luxurious but efficient travel experience.
Westfield management said: “The new customer journey begins in the Commercial Hub, a retail and duty free shopping district. Customers then flow into the Dining Terrace, which has been infused with local flavour and a design that offers a bright, inviting experience.
“From there, customers enter The Strand, a dining and shopping district that features the grand staircase and a luxurious bar with shimmering chandeliers.”
The developer adds that the new dining and retail collection features seven Southern California brands,11 brands new to LAX and six brands that have never been in an airport before.
Food and beverage offerings include the SeaLegs Wine Bar; the SLAPFISH Modern Seafood Shack; Pick Up Stix; Fresh Brothers Pizza; Ciabatta Bar; BUILT (Custom Burgers); Barney’s Beanery; Starbucks (x2).
The retail mix comprises body-shaping innovations at SPANX; travel essentials at CNBC (x2 shops); Univision shops; eSavvy; InMotion Entertainment; DFS (x2 shops).
Westfield has now invested more than $184m across the entire airport and it currently projects this will result in a total of $464.8m in sales in the first four years, plus 490 construction and 2,650 permanent new employment positions.
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