Better by Design: Unlocking Value in Airport Landside Master Planning
Beyond terminals and runways lies an important tool for airport value creation – the landside.
COX, in collaboration with The Mercurius Group, has released a White Paper that shines a spotlight on this often-underestimated space. Better by Design: Unlocking Value in Airport Landside Master Planning explores how airports can harness their non-aviation land to generate sustainable revenue streams.
The insights stem from a COVID-era realisation: airports cannot rely solely on revenues tied directly to air travel. When global travel ground to a halt, airports faced a stark truth – diversification is non-negotiable.
“Landside commercial development has become a key component of airport strategy, particularly for revenue diversification,” says COX Director, John Ferendinos.
COX Director, John Ferendinos
Land not required for aviation purposes can be developed for a range of uses, but how those developments are planned and executed has a direct impact on the value they generate. That’s why combining commercial strategy with architectural design is so important.
The White Paper distils lessons learned from COX and The Mercurius Group’s work together across Asia Pacific airports, including current projects at Fiji’s Nadi and Nausori airports. It examines key value drivers such as:
- Capturing adjacent land uses on-airport
- Precincts and placemaking
- Location context (including aerotropolis integration)
- Infrastructure requirements and topographical constraints
- Commercial models that underpin viable, sustainable portfolios
“The development model for airport landside commercial portfolios is evolving,” explained Managing Director of the Mercurius Group, Ivo Favotto. “Ground leases are starting to give way to commercial partnerships and airports taking on development risks, as markets increasingly recognise the value of airport property developments.”
The White Paper’s findings recently took to the stage at the Australian Airports Association (AAA) Retail & Commercial Forum, forming the basis of a presentation and panel discussion featuring John. He was joined by:
- Nicole Prochilo, Head of Retail Design & Delivery, Sydney Airport
- Tracey Groves, Executive General Manager Property, Newcastle Airport
- Aisake Cabemaiwai, GM Commercial, Fiji Airports
AAA CEO Simon Westaway reinforced the urgency of the topic: “Diversification of revenue streams is a key strategic objective for many airports. This White Paper will help airports of all sizes develop strategies to maximise value from their property assets.”
COX Head of Research, Dr Jacqueline Baker
For the second consecutive year, COX and The Mercurius Group have joined forces on research-driven explorations demonstrating how landside master planning and design can unlock new revenue opportunities and strengthen the commercial performance of airports.