TBIT: a huge step up for US retail

By Doug Newhouse |


The new $4.1bn Tom Bradley International Terminal at Los Angeles Airport sets a new standard for North American airport duty free and luxury retailing.

 

Of course, there is often a temptation to ‘go over the top’ when reporting any ‘dynamic major commercial changes’ to airport terminals in North America, since they do tend to be the exception rather than the rule, but the new Tom Bradley International Terminal (TBIT) at Los Angeles International Airport (LAX) is a big qualitative step up for US airports.

Of course, there was a lot of mutual backslapping at last week’s sneak preview, with outgoing LA Mayor Antonio Villaraigosa leading proceedings, as he boldly reminded press and airport partner attendees how he had driven the project, keeping it ‘on time’ and on budget and how he had ‘helped’ both the developer Westfield and LAX management make it all happen.

He said: “I set high goals. I am fairly demanding. I said this had to be finished or at least presentable by the time I’m gone. I knew if we didn’t put a deadline on it, the deadline would have just gone to the year after or the year after that. It’s just the way things happen, particularly in a town like this.” (The original deadline for opening was actually set at December 2012-Ed).

 

An aerial view looking down on the new terminal area.

 

Villaraigosa said he also pushed for an environment which would reflect the feel of the city: “I saw that when I walked into other airports, they had concessions and restaurants that were from their town,” Villaraiogsa said. “I believe in this town. This is my town. So I said, ‘I want restaurants and I want stores that look like L.A.’ And I got them. The L.A. flavour is here.”

But even though Villaraigosa may now be ‘semi-immortalised’ with the 150,000sq ft Great Hall now bearing his name, the commercial offer at LAX TBIT certainly belongs to a widely coordinated effort between the City of Los Angeles, Westfield and DFS Group, while the quality of the ambiance in the terminal with its attractive 360-degree views is only possible thanks to some tasteful, innovative architecture and design by Curtis W. Fentress.

 


NEW TERMINAL IS VERY IMPRESSIVE

This open-feel natural light-filled building has been delivered at a final cost of some $1.9bn, according to Los Angeles Board of Airport Commissioners President, Michael Lawson.   

Meanwhile, the commercial offer designed by Westfield will comprise 17 F&B restaurants and outlets when it finally opens – with more than twice the square footage and nearly three times the number of existing shopping options at LAX as we know them. The developer points to a retail collection featuring five local LA concepts, 27 that are new to LAX and nine that have never been seen in an airport before.

 

Michael Lawson, President, Los Angeles Board of Airport Commissioners.

 

Los Angeles World Airports (LAWA) modestly refers to the change programme at the New Tom Bradley International Terminal as ‘a renovation’, but it is effectively a lot more than that, representing a complete upgrade which includes new gate and concourse areas costing the city some $737m.

But in addition to the high quality and impressive F&B and Retail offerings and central concourse area, the new terminal features a state-of-the-art new in-line baggage screening system and several other interior improvements to enhance service and convenience. Its creation is also much more than a cursory hat tipping exercise to meet the important goals of sustainable design, construction and environmental energy efficiencies.

Lost somewhere in the public relations ‘avalanche’ of materials surrounding this new terminal launch is the fact that the new TBIT has already received the prestigious award of a US Green Building Council Silver LEED-EB (Leadership in Energy and Environmental Design – Existing Building) Certificate. This is the first to be awarded to any US airport… ever.

Positive relations between the Mayor and LAX have also delivered this project in what is a highly ‘political city’ where it is not always easy to get things done. This has been helped by the fact that LAWA’s Executive Director Gina Marie Lindsey was originally recruited by Villaraigosa (in 2007) to reinvigorate Los Angeles World Airports – which in addition to LAX also manages the airports of Ontario International and Van Nuys.

 

DFS Group’s new logo, the airport logo and the retailer’s new fascia typeface.

 

LAX HAS NO MONOPOLY ON ASIA…
While acknowledging that the new LAX terminal is a great and vital addition, Marie Lindsey also pointed out to the open day gathering that the aiport no longer has the monopoly it once had on serving destinations in Asia: “We are no longer a mandatory force-feed market. We are competing with every other city that has woken up and realized that these international flights are an absolute bread basket and backbone for their economy. We are about to deliver what the airlines and the passengers have come to expect from a world-class international travel experience.”

Marie Lindsey – who has long commanded wide respect from her peers in the airports’ industry – has also made it well known that she would like to continue in her post under Los Angeles Mayor-elect Eric Garcetti (who takes over next month), although he has been mildly critical (by LA standards) of some of LAWA’s other plans. But he will also be acutely aware that this new terminal is vital to the Los Angeles economy as North America’s gateway airport to Asia, along with its nine Airbus A380 double decker-compatible gates.

In fact, it is pretty hard not to be impressed with this new 18-gate terminal. Besides the building itself, which can process 4,500 passengers an hour – up from 2,800 in 2011 – the whole terminal interior has a heartbeat of its own and this really comes to life with its new integrated media system that literally projects lively, but seemingly soothing digital video images of aircraft landing and taking off, plus surfers and other colourful depictions onto screens positioned all around the building.

 

Philippe Schaus, Chairman and CEO, DFS Group.

 

The retail offer is also very impressive and particularly DFS Group’s 10 retail spaces over approximately 25,000sq m of area. Nearly all of these outlets were fully merchandised last week in time for the open day – complete with the retailer’s new logo/shop front look. DFS Chairman and Ceo Philippe Schaus described these openings as ‘a pivotal moment for DFS Group, and in particular for our North American operations,’ where the retailer is investing more than $50m.

Schaus added: “After more than half a century of leading the trends in travel retail, we are now enriching our commitment to creating luxury experiences for our customers – world travellers – with a sharpened and distinct local flavour. We are proud to make our first major demonstration of this evolultion here in LA, the site of our first airport operation on the American mainland.”

The DFS offer is substantial and it points to ‘several firsts’ in terms of brand offerings across all categories to US airport retail, including Bottega Veneta, Chloé and Hublot, while multiple beauty brands will also debut at what DFS describes as ‘the largest airport beauty floor in the country’. In beauty, these brands include SK-II; Jurlique; Benefit; Clarisonic; and Smashbox, while Chopard, Zenith and Vertu are new in watches and jewellery. The fashion sector also features standalone boutiques for Hermès, Gucci and Burberry and a presence for Salvatore Ferragamo.

 

Polly Nelson, Managing Director, North America, DFS.

 

DFS: 10-YEAR CONTRACT – $50M INVESTMENT
The retailer says it will also be launching three liquor exclusives for the opening, featuring 130 limited bottles of the Johnnie Walker Blue Sandblasted Pack; the Rémy Martin Louis Rare Cask by Rémy Martin and the Gran Patrón Piedra.

A new ‘LA-themed’ tasting bar will also be created close to the spirits and wine floor where bartenders will apparently be ‘always on hand’ to offer travellers samples of cocktails and other drinks associated with LA. DFS also points out that another ‘first’ in North America will see the establishment of a Platinum Services Club (PSC) concierge service within its airport operation.

Commenting, Polly Nelson, Managing Director, North America, DFS said: “After 31 years at LAX and winning the bid just last year to renew our contract for another ten, Los Angeles was the most appropriate city for us to begin our journey of transforming the airport retail experience for world travellers in North America.

“We are currently in the process of investing more than $50 million in capital improvements to our North American airport retail concessions and boutiques and we look forward to revealing very soon other innovative ways in which our airport store network will evolve.”

While the DFS retail offer is certainly the most impressive, Westfield has also recruited a retail collection which it says reflects both international style and LA flair. Amongst others, this includes boutiques for Bulgari, Hugo Boss, Armani, Michael Kors, Victoria’s Secret and others as part of its ‘Boutique District’ which is designed to give a small taste of some of the luxury offerings to be found at Rodeo Drive in Beverley Hills.

 

(Top image: From left to right: Curtis W. Fentress, Architect; Philippe Schaus, DFS Group; Antonio Villaraigosa, LA Mayor; and Gina Marie Lindsey, Los Angeles World Airports).

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