Dallas Love Field eyes bonds for $2.54 billion expansion program

An expansion program for Dallas Love Field would cost an estimated $2.54 billion and largely be financed with general airport revenue bonds (GARBs), according to an update presented Monday to a city council committee.

Included among the 14 planned projects is a $695.7 million main passenger facility and a $304.8 million concourse at the airport where Southwest Airlines (LUV) accounts for about 98% of passenger volume and where the number of gates is restricted to the current 20.

The expansion aims to allow the facility to accommodate 24 million passengers, up from the current 18 million, by making its layout more efficient, Patrick Carreno, Dallas' aviation director, told the transportation and infrastructure committee.

"We run a very efficient airport, probably the most efficient in the country, and that's the way that we're going to get those passenger numbers even though we can't build gates," he said, adding, the projects were included in Southwest's (LUV) use and lease agreement.

The airport's master plan has been "essentially approved" by the Federal Aviation Administration, while final environmental approvals are expected this fall, according to Carreno.

"We're going to be looking at how we refine this, but we're hoping to be back in front of the city council by no later than January with the design package recommendations," he said. "We will start enabling work and some (demolition) probably by the end of 2027 and be in full construction in 2028," Carreno said.

In addition to GARBS, which could carry maturities of 20 or 30 years, other funding sources include airport capital funds, passenger facilities charges, and grants.

In the meantime, a refinancing is being considered for Love Field's outstanding bonds, according to Carreno, who said the city's treasury division, controller's office, and outside consultants are putting together a financing strategy.

About $255 million of refunding bonds were last sold for the airport in 2021 through the Love Field Airport Modernization Corp. The airport had $434.8 million of GARBs outstanding as of Sept. 30, according to its fiscal 2025 financial audit.