Construction has begun this December 10 on San Antonio International Airport’s largest project to date- the $1.4 billion Terminal C expansion. 

The new terminal, a massive 832,000-square-foot facility featuring 17 gates, is poised to nearly double the size of the existing Terminals A and B. 

This ambitious development plans to address the airport's growing passenger traffic and is a cornerstone of its 20-year strategic growth plan.

The Terminal C project is part of a broader $2.5 billion expansion strategy that the San Antonio City Council approved in November 2021. This comprehensive plan is designed to meet the region’s expected rise in air travel demand over the next two decades, ensuring the airport can accommodate modern aviation needs and provide a more hassle-free travel experience.

To bring this vision to life, the city has enlisted Hensel Phelps, a Colorado-based construction firm with extensive experience in large-scale infrastructure projects. Hensel Phelps will oversee not only the construction of Terminal C but also several other critical improvements. 

These include a multi-story ground transportation center with additional parking, elevated roadway expansions, a new customs inspection area, improved airplane parking facilities, and upgrades to the airport’s central utility plant and related utilities.

The project’s design is a collaborative effort between Dallas-based architecture firm Corgan and San Antonio’s own Lake Flato, combining expertise to create a terminal that reflects both functionality and regional aesthetic.

One of the defining features of this project is the construction-manager-at-risk (CMAR) model, a method that limits costs while maintaining high standards. Under this approach, Hensel Phelps must keep construction expenses within a $1 billion cap, working closely with architects to balance design ambitions with budget constraints.

The city has also placed an emphasis on inclusivity and community involvement. City Manager Erik Walsh noted that about 85% of the work will be bid out, providing opportunities for local and disadvantaged business enterprises (DBEs). This focus on equitable participation makes sure that the economic benefits of the project extend well beyond the airport itself.

The ambitious Terminal C expansion is being funded through a mix of sources, including Federal Aviation Administration (FAA) grants, allocations from the Infrastructure Investment and Jobs Act, airport revenue and fees, and bonds issued by the airport. 

Construction work will unfold in phases, with Terminal C expected to welcome its first passengers in the second quarter of 2028. In the meantime, interim projects are already in motion to address immediate capacity needs. These include adding five gates to the existing terminals and modernizing the outbound baggage handling systems in Terminals A and B, a project that’s scheduled for completion by November 2025.

The additional gates, expanded customs facilities, and modernized infrastructure are expected to improve the overall passenger experience. Travelers will benefit from shorter wait times, more flight options, and improved amenities, while airlines will enjoy better logistical support and operational flexibility.

As construction begins, the project’s impact will ripple through the community. Local businesses and workers will gain new opportunities, while San Antonio itself will move closer to becoming an important player in the nation’s aviation industry.