Naples Airport expects $650K from American Airlines deal

Commercial flights will officially return to Naples Airport after the Naples Airport Authority approved an operating agreement with American Airlines at its Oct. 15 board meeting. American Airlines last served Naples Airport in 2001.

Under the agreement, American Airlines will launch twice-daily nonstop flights between Naples and Charlotte Douglas International Airport in North Carolina, starting Dec. 2. The Charlotte connection will give Naples travelers access to more than 180 cities through American Airlines’ network.

Naples Airport Deputy Executive Director Justin Lobb said American Airlines will use CRJ-700 regional jets, which fall within the airport’s 75,000-pound aircraft weight limit.

Terminal renovations on track

The airline will operate from the airport’s North Road Terminal, which opened in 1981 and is undergoing renovations expected to reach substantial completion by the end of October. November will be dedicated to equipment installation, furnishing and operational preparations.

The renovated terminal will feature a 75-seat passenger waiting area, restrooms, an airline service counter, baggage claim and a Transportation Security Administration screening area.

Lobb credited airport staff, external partners, contractor Curran Young Construction and architect SchenkelShultz for keeping renovations on track. The airport is coordinating with TSA as it prepares to restore federal security screening for commercial passenger service, with support from TSA teams at Southwest Florida International Airport in Fort Myers and in Tampa.

“TSA and security — there’s almost a daily coordination with them at this point as we proceed through the process of refederalization,” Lobb said. “Working closely with both local and regional TSA between RSW and Tampa. They’ve been fantastic partners.”

Although American is the only airline scheduled to operate from the terminal initially, the space could accommodate another carrier in the future, Lobb said.

Projected revenue

The airport estimates the agreement will generate about $650,000 in annual revenue, with additional income expected from parking fees and rental car concessions.

Lobb said the estimated cost per passenger is nearly $30, which is high compared with industry standards because of the cost of operating the service and the relatively low passenger volume. The per-passenger cost could decrease if additional flights are added in the future.

The agreement has an initial one-year term, followed by annual renewals for up to five years. Either party can terminate the agreement after the first year with 180 days’ notice. It also includes a provision requiring reimbursement of the airport’s capital investment to accommodate commercial service, with the reimbursement amount decreasing over time.

American Airlines has agreed to schedule all flights in compliance with the airport’s voluntary curfew, which runs from 10 p.m. to 7 a.m. daily.

“The approval of the operating agreement with American makes everything official,” said Chris Rozansky, executive director of the Naples Airport Authority. “Naples Airport welcomed its last commercial flight in 2017, and American’s decision to return will give residents of Naples and Collier County a convenient option for business and leisure travel.”