Delta’s New York-JFK expansion just got significantly scaled back
The pandemic has upended the entire airline industry, and it just claimed its latest victim.
Delta's expansion at New York-JFK, which was first announced just days before the coronavirus came stateside, won't happen as originally planned.
On Thursday, the Port Authority of New York and New Jersey, which oversees the major airports in the tri-state area around New York City, approved a resolution to scale back Delta's Terminal 4 expansion.
The resolution breaks the planned expansion into two phases, one which is slated to begin in the third quarter of this year, and another which could be undertaken in the next few years, depending on the outcome of the pandemic and other factors.
The first phase of work is "60% smaller in investments," Derek Utter, the chief development officer for the Port Authority, said in Thursday's public board meeting.
The plan announced in February 2020 included 16 new narrowbody gates to be added to Concourse A in Terminal 4. Now, the current proposal includes just two new narrowbody gates and eight regional jet gates added to the end of Concourse A.
Delta's regional jet gates currently located at the end of Concourse B will be converted to narrowbody gates in the first phase of the updated plan.
Other upgrades include $100 million in renovations of the existing check-in areas in Terminal 4, as well as a modified arrivals level curb to aid congestion. The previous plan included a new and expanded terminal entrance, as well as $400 million in passenger-facing terminal improvements, such as expanded seating areas, concessions and restrooms.
The details of the exact terminal upgrades included in the first phase are still being worked out. Rick Cotton, executive director of the Port Authority, told TPG that the terminal upgrades are "25% of what we originally wanted... much of that is still being designed by Delta and JFKIAT [the terminal operator]," he said.
Notably, the original plan called for a new Delta Sky Club at JFK, though it's unclear whether one will be built under the reduced project scope.
Altogether, the new plan calls for a $1.5 billion investment, compared to $3.8 billion in the original proposal. The project will be funded by bonds issued by the terminal operator, JFK International Air Terminal LLC.
The Port Authority predicts that the project should be completed in roughly two years. Groundbreaking is slated for the third quarter of this year, with the new gates opening at the end of 2022. The remainder of the work should be complete in 2023.
As the project begins, flyers may experience disruptions when traveling through JFK and Terminal 4. Cotton told TPG that traffic plans are being developed to minimize any disruptions. "Construction inevitably has impacts on airport operations, but hopefully passengers will recognize the inconvenience — which we will be seeking to minimize — will be worth the new airport facilities," he said.
Related: LaGuardia’s new terminal is a major upgrade — see for yourself
By expanding Terminal 4, Delta will consolidate all of its JFK operations there, a move that's been contemplated for over ten years, according to Utter.
Before the pandemic, the Atlanta-based carrier split flights from both Terminal 2 and Terminal 4. In April 2020, Delta shuttered Terminal 2 due to the pandemic-related reduction in air traffic. The Port Authority plans to demolish Terminal 2 to make room for an expanded Terminal 1 at some point in 2022, according to Cotton.
The remainder of the Terminal 4 upgrades will be considered in a second phase of work, including ten new narrowbody gates, $300 million in additional passenger-facing terminal renovations and roadway improvements.
Thursday's announcement didn't discuss any of the other planned improvements for JFK, which New York Gov. Andrew Cuomo first unveiled in January 2017.
Despite the pandemic, Delta is charging ahead with airport infrastructure projects elsewhere. The carrier is working on new terminals in Los Angeles (LAX) and New York LaGuardia (LGA), among others. That work is getting accelerated due to the demand downturn and drop in air traffic related to the pandemic.
In recent months, Delta, along with local authorities, inaugurated a brand-new terminal in Salt Lake City, one of its “core” hubs. The second phase of the new SLC airport could wrap up to two years early, also thanks to an accelerated timeline due to the pandemic.
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Why We Chose It
There’s a lot to love about the Amex Gold. It’s a fan favorite thanks to its fantastic bonus-earning rates at restaurants worldwide and at U.S. supermarkets. If you’re hitting the skies soon, you’ll also earn bonus Membership Rewards points on travel. Paired with up to $120 in Uber Cash annually (for U.S. Uber rides or Uber Eats orders, card must be added to Uber app and you can redeem with any Amex card), up to $120 in annual dining statement credits to be used with eligible partners, an up to $84 Dunkin’ credit each year at U.S. Dunkin Donuts and an up to $100 Resy credit annually, there’s no reason that foodies shouldn’t add the Amex Gold to their wallet. These benefits alone are worth more than $400, which offsets the $325 annual fee on the Amex Gold card. Enrollment is required for select benefits. (Partner offer)Pros
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- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $6,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
- Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
- $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
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- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.
Rewards Rate
| 4X | Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 4X | Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 3X | Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com. |
| 2X | Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com. |
| 1X | Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases. |
Intro Offer
You may be eligible for as high as 100,000 Membership Rewards® Points after spending $6,000 in eligible purchases on your new Card in your first 6 months of Membership. Welcome offers vary and you may not be eligible for an offer.As High As 100,000 points. Find Out Your Offer.Annual Fee
$325Recommended Credit
Credit ranges are a variation of FICO® Score 8, one of many types of credit scores lenders may use when considering your credit card application.Excellent to Good
Why We Chose It
There’s a lot to love about the Amex Gold. It’s a fan favorite thanks to its fantastic bonus-earning rates at restaurants worldwide and at U.S. supermarkets. If you’re hitting the skies soon, you’ll also earn bonus Membership Rewards points on travel. Paired with up to $120 in Uber Cash annually (for U.S. Uber rides or Uber Eats orders, card must be added to Uber app and you can redeem with any Amex card), up to $120 in annual dining statement credits to be used with eligible partners, an up to $84 Dunkin’ credit each year at U.S. Dunkin Donuts and an up to $100 Resy credit annually, there’s no reason that foodies shouldn’t add the Amex Gold to their wallet. These benefits alone are worth more than $400, which offsets the $325 annual fee on the Amex Gold card. Enrollment is required for select benefits. (Partner offer)Pros
- 4 points per dollar spent on dining at restaurants worldwide and U.S. supermarkets (on the first $50,000 in purchases per calendar year; then 1 point per dollar spent thereafter and $25,000 in purchases per calendar year; then 1 point per dollar spent thereafter, respectively)
- 3 points per dollar spent on flights booked directly with the airline or with amextravel.com
- Packed with credits foodies will enjoy
- Solid welcome bonus
Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $6,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
- Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
- $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
- $120 Dining Credit: Satisfy your cravings, sweet or savory, with the $120 Dining Credit. Earn up to $10 in statement credits monthly when you pay with the American Express® Gold Card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, and Five Guys. Enrollment required.
- Explore over 1,000 upscale hotels worldwide with The Hotel Collection and receive a $100 credit towards eligible charges* with every booking of two nights or more through AmexTravel.com. *Eligible charges vary by property.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.