Over the last year, O’Hare International Airport unexpectedly came to dominate U.S. passenger growth as United Airlines and American Airlines shifted more flights to the Midwestern hub.
That apparent good news for O’Hare has unexpectedly thrown a wrench in the city’s plan to construct new terminals over the next several years.
With O’Hare terminal capacity at the brink, the city says it cannot afford to close Terminal 2 to build a massive Global Terminal by 2033. Now city planners want to scrap the current construction schedule for terminal expansion set to cost most than $8 billion.
In a bond statement published last week, the city says it is negotiating with airlines about changing the sequencing of which terminals are built first.
The city and airlines agreed in 2024 to build one satellite terminal first, then build the global terminal, and then build the second satellite terminal only if there was enough money left.
The city now says that schedule is not possible. Instead, it wants to build both satellite terminals by 2029, and then build the Global Terminal from 2029 to 2033, according to details in the bond statement.
“The City’s analysis subsequently determined construction of the [Global Terminal] would need to be completed in incremental phases to mitigate gate capacity impacts… . As such, the City is continuing to engage with stakeholders and evaluate the most advantageous phasing…” the city wrote.
A new plan needs to be agreed upon by the airlines and the city.
The Chicago Department of Aviation, in a statement, said it is “is advancing a development framework to guide the current phase of construction and minimize operational impacts. This framework will continue to be refined through active collaboration with airline partners. Future adjustments to project sequencing and timing will reflect our shared commitment to a smooth, efficient, and forward-looking modernization of O’Hare.”
United Airlines declined to comment. American airlines did not immediately respond to a request for comment.
Joe Schwieterman, director of DePaul University’s Chaddick Institute for Metropolitan Development, said the previous construction timeline has serious problems.
He plans to publish a report Wednesday explaining the capacity issues the city must address in a new construction plan. The city and airlines must look again project’s sequences, since building the project in phases is so costly, he said.
“The city needs to present an analysis to convince the airlines there’s a better way. The difficulty is what prevented the existing plan. It was deemed too costly. And let’s hope that’s still not the case,” he said.
One potential problem with the city’s revised plan — building the two satellite terminals first before the Global Terminal — is that if there’s an economic recession or air travel crisis, the city could find itself in heavy debt, he said.