The terminals are the Smith and Davey terminals, currently occupied by the dominant Northwest Airlines, and Berry International Terminal. When Northwest vacates Davey at the end of 2001, airport administrators are considering plans to either take out half of the straight, finger-type concourses tomake it easier on taxiing planes, or follow a new idea and demolish Smith and Davey and build hub-style concourses.

Wayne County administrators, who run the airport, believe it might cost at least $250 million to complete the renovation plan. The new bond issue, or a few dollars of added costs for every passenger, will fund the improvements.

All the airlines at Detroit Metro must agree to whatever plan is accepted. The existing terminal complex, which includes the Davey, Smith, and Berry terminals, was built between the 1950s and 1970s. Since then, the number of passengers who travel through Metro has increased by more than 500%.

In related news, state Sen. Burton Leland (D-Detroit) and state Sen. Bob Emerson (D-Flint) say Michigan Republicans are trying to arrange a state takeover of the airport, currently run by the county. Republican committees have held investigations into alleged corruption in airport contracts.

"A state takeover would create additional uncertainty which would cause the bonding agency to raise interest rates to the tune of an additional $40 million for taxpayers," Emerson says.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM Digital Member, you’ll receive:

  • Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
  • Educational webcasts, white papers, and ebooks from industry thought leaders
  • Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.