Grand Rapids, MI – The Grand Rapids’ airport has received $8 million to build eight new passenger boarding gates – the first step in a major upgrade designed to meet increased demand. The new gates will increase the airport’s capacity by 50 percent, turning Michigan’s second-busiest airport into one of the biggest small-hub airports in the U.S.
U.S. Secretary of Transportation Pete Buttigieg announced the award, saying: “It’s going to make traveling better. It will allow Grand Rapids to accommodate that increasing passenger growth and support the economic opportunity that’s emerging across West Michigan.”
Airport officials say the makeover is needed to keep pace with growing demand, fueled in part by the area’s growing economy. Economic analysts and local leaders note the outsized role the airport will play in the region’s economic momentum. The Right Place Inc., a regional economic development group, reported in its 2024 Economic Outlook that the Grand Rapids is now “thriving,” surpassing pre-pandemic economic levels.
In its annual survey of local businesses, the group found that about 60 percent of Greater Grand Rapids’ companies plan to expand, and 50 percent plan to hire more people in the next year. The airport’s expansion was highlighted as a key driver of this regional growth.
The $8 million grant was made possible by the Bipartisan Infrastructure Law, part of President Joe Biden’s economic recovery program. The new passenger gates are the first step in a major airport expansion that will include a new car rental center, moving the air traffic control tower to make way for larger planes and redesigning the baggage and check-in areas.
Airport officials estimate the entire project will cost about $300 million – paid for with federal and state grants, municipal bonds, and user fees. No local tax dollars will be used.
In total, the expansion will add 155,000 square feet of space to help accommodate the increase in the number of flights, passengers and airlines using the airport.American Airlines expanded its service last summer and Sun Country Airlines will begin offering low-cost flights to leisure passengers in June.
Traditionally, the federal government does not award money to modernize and expand airport terminals, so this grant program was very competitive. The FAA received applications seeking more than $14 billion worth of requests. The Ford International Airport is one of only 90 airports selected in the first year that funds were available.
Grand Rapids is not the only Michigan airport getting an upgrade – Detroit Metropolitan Wayne County and Flint Bishop airports are also receiving funds for upgrades through the same program, according to Gov. Gretchen Whitmer.
“Michigan’s airports are critical to the state’s economy and support $22 billion in economic development across the state,” Whitmer said in a statement announcing the awards.
KEY FACTS:
- The Grand Rapids Regional Airport will be receiving $8 million to build 8 new passenger gates, expanding capacity by 50%
- The expansion will create 125 new construction jobs.
- The 2024 Economic Outlook survey of regional businesses found 60 percent of Greater Grand Rapids’ companies plan to expand, and 50 percent plan to hire more people in the next year, citing airport expansion as a key driver of regional growth.