“Terminal Plus” Marks the Start of a New Era at Budapest Airport

Budapest Airport has kicked off a groundbreaking development program with a ceremonial laying of the foundation stone. The “Terminal Plus” project is intended not only to expand capacity in the coming years, but also to modernize the entire business model of Hungary’s most important air traffic hub. The investment volume amounts to one billion euros.

In a background discussion, Máté Lóga, State Secretary for Economic Development, made it clear that a conscious decision had been made not to reopen the old Terminal 1 for passenger traffic, reports Világgazdaság. The reason is strategic in nature: “Reopening Terminal 1 would have created the risk of a dual pricing system – a pure low-cost terminal versus a premium terminal,” he explained. This would lead to operational tensions and poorer commercial efficiency.

Instead, Budapest is focusing on maximizing efficiency at the existing T2A and T2B locations and on the modular new building.

The “Terminal Plus” project is not a single building, but a modern building complex that is designed to grow modularly with passenger traffic. In the future, security checks and baggage drop-off will be bundled in the central main terminal. An additional gate is expected to significantly increase capacity for aircraft and passengers (often referred to internally as “T3”). An underground train station is planned in the area of the current “Holiday” parking lot, which will take passengers directly to the new main terminal.

The construction period is estimated at four to seven years, with airport operations continuing without significant restrictions throughout the entire phase.

One notable aspect of the project is its financing.

Despite strategic control by the state, the billion-euro project will be financed entirely by the airport operator Budapest Airport (BUD), with 70 to 80 percent coming from loans and the rest from equity.

The state secretary emphasized that the airport’s credit rating is currently even better than that of the Hungarian state, that ensures excellent conditions for raising capital. Despite the investments, the company will continue to pay dividends to the state.

The new operating model relies on a combination of state supervision and private-sector efficiency. While the state sets the strategic guidelines, the private operator is responsible for operational excellence.

The aim is to absorb the moderate but steady growth of 5 to 10 percent per month while increasing service quality.

A particular focus is on easing congestion during peak times (off-peak management) to ensure a smooth experience for travelers.

With the “Terminal Plus” project, Budapest is positioning itself as one of the most modern and efficient airports in Central Eastern Europe. The combination of modular construction, private financing, and strategic foresight makes the project a showcase for Hungarian infrastructure development.

Via Világgazdaság, Featured image: MTI/Szigetváry Zsolt

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