The International Airport enters a new era, increasing speed and opening “wings” for expansions and large investments, after its successful listing on the Stock Exchange. After all, this is the largest listing of a company on the Stock Exchange in the last 18 years.

Its entry is a milestone, with the strongest investment interest creating new data for the Greek economy and the capital market, as well as putting forward the investment plan to increase its capacity to 50 million passengers per year in 2046.

Historical record in 2023 – Record arrivals and January 2024

Its IPO comes at an extraordinary time, with tourism setting a new record for receipts in 2023, while the airport itself also set a new all-time record by exceeding 28 million passengers.

The year 2023 for Athens International Airport closed with a historical record for passenger traffic, surpassing the barrier of 28 million passengers for the first time, while 2024 entered with the right hand, with January closing with a new record of arrivals and breaking the barrier of one million of arrivals from abroad. In particular, increased by 12.8% compared to the corresponding month of 2023, in January 2024 the arrivals from abroad at Athens International Airport “Eleftherios Venizelos” exceeded 1 million passengers.

According to the statistics it reached 1,116,359 arrivals compared to 989,806 in January 2023. The total passenger traffic of Athens Airport during January 2024 amounted to 1.6 million, increased by 10.7% compared to the levels of January 2023, with passengers reaching 1,602,499 compared to 1,447,547 last year in the same month. Domestic traffic increased by 6.2% to 486,140 passengers.

Master Plan- Investments in three phases

The record performance in terms of passenger traffic puts into practice its investment plan, which will be in three distinct phases from this year until 2050, as can be seen from the Prospectus accompanying the listing of AIA shares on the Stock Exchange of of Athens.

In the Master Plan as presented by the accompanying material of the introduction of the AIA, it appears that these three phases of expansion will reach the airport up to 50 million passengers.

The first two phases concern the expansion of the existing terminal and aircraft parking spaces by the middle of the next decade and will cost €1.35 billion (in 2022 prices).

The third phase will be the decisive step for the airport to get a second terminal where the long-term parking lot is now. Its cost has not yet been specified and according to AIA estimates it will be completed by 2045 giving the airport the ability to serve up to 50 million passengers per year.

The first phase of expansion

The first phase of the expansion of the airport’s infrastructure (33MAR) is not just around the corner but in progress as the maximum capacity of the airport has been exceeded (typically 26 million passengers and 28 million passengers served in 2023). The works will start either at the end of 2024 or at the beginning of 2025 and are expected to be completed in 2028. The aim of this first phase is to cover passenger traffic of up to 33 million passengers per year. The cost of the first expansion, which concerns the existing terminal as well as remote aircraft parking spaces and multi-storey parking, according to the AIA’s estimates, is 650 million euros. By 2025, 25% of the investment will have been repaid, another 30% in 2026, an additional 25% in 2027 and the remaining 20% ​​in 2028.

Specifically, the first phase of the AIA infrastructure expansions includes 4 different actions:

1. The extension of the main terminal building by approximately 81,000 square meters, which will mainly consist of new passenger bellows and bus boarding halls, extension of the check-in area including a new terminal facade, a new baggage sorting hall which accompanied by an extension of the reception area as well as new spaces for commercial shops and office spaces.

2. The development of a new remote parking runway of 32 aircraft with taxiways, two new aircraft service bridges (ramp service).

3. A new VIP terminal.

4. Extension of the road network in the terminal area, as well as construction of a new multi-storey parking lot.

The first phase of the expansion had been on track since 2018 but was “frozen” in 2020 due to the covid-19 pandemic. However, the rapid recovery of AIA traffic, especially in 2022 and 2023 brought back to the fore the need for the first major expansion of the airport’s infrastructure.

In fact, the decisive month was April 2023, as passenger traffic reached 95% of the airport’s capacity, once again highlighting the activation of expansions.

The second phase of expansion

The second phase at “Eleftherios Venizelos” for the expansion of the infrastructure will start next year when the airport will register 31.35 million passengers. If the current trend in traffic development is maintained then this limit can be covered by 2027.

With the second phase of the expansion, Athens airport will be able to serve up to 40 million passengers per year.

According to the Prospectus forecasts, the cost of this investment exceeds 700 million euros (in 2022 prices). The goal is for the projects to be completed by the middle of the next decade, but it is very likely that if the development of AIA continues positively, the investment will come earlier. In this second phase of capacity increase we will have a new extension of the existing terminal with new passenger service areas (such as boarding halls, check in), catering and commercial outlets, the construction of the new aircraft parking runway with the corresponding taxiways, equipment areas ground support, and a new aircraft bridge over the highway.

With the completion of the two extensions, the “Eleftherios Venizelos” terminal will be one of the largest in Europe (as a single terminal) and will have reached the peak of its capabilities.

The third phase with the new terminal

The third phase at “Eleftherios Venizelos” Airport for the expansion of the infrastructure (50MAR) will result in the creation of a new terminal opposite the existing one.

As noted in the Prospectus, in order to be activated, the airport must reach 36 million passengers in passenger traffic, and it appears that the number will rise to 38 million within two years.

With the new terminal, Athens airport will be able to serve up to 50 million passengers annually.

The timeline for this new infrastructure has been estimated to be completed by 2045 and no costing is currently available. It includes the development of a second terminal in what is now the long-term parking area and the further development of the aircraft parking runway, new taxiways, a new aircraft bridge over the motorway, new access roads and the completion of the new multi-storey car park.

Finally, regarding the financing for the expansion of the infrastructure, “Eleftherios Venizelos” Airport notes that the planned investments within the framework of the Master Plan are expected to be financed by additional debt from the banks with competitive interest rates, and will constitute “Predetermined Debt”.