The CEO of a private aviation company that operates the South Terminal at Austin-Bergstrom International Airport (AUS) expressed criticism on Thursday toward the Austin City Council's vote to consider employing eminent domain to acquire the terminal, Austin CBS affiliate KEYE reported.
According to the station, LoneStar Airport Holdings head Jeff Pearse didn't see eye to eye with city leaders on the move.
“The proposed taking of LoneStar’s business interest will be risky, time-consuming and expensive for the city,” Pearse, whose company has leased and ran the South Terminal since 2016, said, KEYE reported.
Pearse fears that the measure could bring forth the demise of the ultra-low-cost carrier service from AUS, Austin ABC affiliate KVUE reported.
"Options for price sensitive travelers will disappear in our market," he said, according to the station. "The airport’s pursuit of eminent domain ignores the 40-year lease obligation to LoneStar and will result in years of expensive, time-consuming litigation, delaying expansion plans even further and sending a signal to every business in Austin that making major investments alongside the city is a dangerous bet. This isn’t eminent domain. It is the taking of a business."
KEYE reported that airport officials want to construct a new midfield concourse that will feature at least ten new gates and two new taxiways.
According to the station, the idea of a new, larger AUS has elicited mixed emotions among travelers, with some wondering whether or not an endeavor is going to be expensive.
The airport released a statement in response to the resolution, per KEYE.
"The Department of Aviation continues to progress with airport improvement projects to deliver an improved passenger experience for all AUS customers and increase capacity for more flights through the Airport Expansion and Development Program," city aviation officials said in the statement. "A vital component of the program is the development of the new midfield concourse, which necessitates the future closure of the South Terminal. The Department of Aviation will continue to work with all business stakeholders and tenants throughout the duration of this program and looks forward to delivering an improved passenger experience to all AUS customers."
While AUS has seen passenger volume rebound since the start of the COVID-19 pandemic, it has grappled with long lines that seemingly stretch to outside of its two terminals, including the South Terminal itself.
Citing a KVUE report, Austin Journal reported in April that airport director Jacqueline Yaft sought federal assistance to address the issue.
Last month, the publication reported, the airport advised summer travelers to arrive early.