North Central Austin Edition | December 2025

Transportation

BY BEN THOMPSON

Backed by city and state incentives, Southwest Airlines will expand its presence at Austin-Berg- strom International Airport, an initiative local ocials hope will bring thousands of new jobs and millions of dollars in economic impact to the area. “This is all about being where the business is. And that business is in Austin, and that business is in Texas,” said Bob Jordan, president, CEO and vice chair of Southwest’s board. The big picture City ocials joined Jordan and Gov. Greg Abbott at ABIA Dec. 12 to detail the millions of dollars in incentives oered by Austin and Texas, and expected benets from the airline project. The event came a day after City Council unanimously approved a $5.5 million, ve-year economic devel- opment framework, and as Abbott announced a Southwest Airlines to expand at ABIA

$14 million state grant for the expansion. In the coming years, Southwest will relocate a command center and establish a new crew base at the airport that’s expected to bring 2,000 new jobs to ABIA by mid-2027. That facility will open in March with about 335 pilots and 650 ight attendants. Southwest’s growing footprint also ties into the city’s ongoing expansion of ABIA, including the development of a second terminal where the airline could lease up to 18 new gates. Airport CEO Ghizlane Badawi said the project sets up Southwest as the “anchor tenant” of ABIA’s future Concourse B. The airline will triple its local workforce while improving air service reliability and options in Austin, Jordan said, growing from 130 to as many as 220 daily ights. Zooming in The project is expected to generate nearly $20 million in local annual tax revenue, plus thou- sands more indirect jobs and hundreds of millions of dollars in total economic impact and earnings.

Gov. Greg Abbott and city ocials joined Southwest CEO Bob Jordan for an announcement about the airline’s expansion plans in Austin.

BEN THOMPSONCOMMUNITY IMPACT

Southwest’s economic development deal with Austin, supported by the city’s general fund, also calls for the airline to provide community benets. Abbott said Southwest’s expansion bolsters Texas’ status as a top location for job creation and economic development.

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