Airport terminal for Turkey

The European Bank for Reconstruction & Development (EBRD) is backing a new domestic airport terminal in Izmir, Turkey’s third largest city.

The new terminal will be built alongside the existing international terminal by TAV Ege, a fully-owned subsidiary of TAV Airports which won the lease to operate the entire airport until the end of 2032.

The €145 million financing package will consist of an A-loan (up to €70 million from the Bank’s own account) and a B-loan (up to €75 million syndicated to commercial banks, UniCredit and Siemens Bank). The rest of an overall €250 million debt facility to finance the project is being provided by Denizbank (€65 million) and the Black Sea Trade & Development Bank (€40 million).

Izmir has a population of 3.3 million. The new domestic terminal will have a total area of 185,000m², with eight passenger boarding bridges. It will be connected to the International Terminal by a bridge system.

Sue Barrett, the EBRD’s director for transport, said, “Izmir Airport’s domestic terminal, incorporating the latest technology in its design, will excel in the level of service it provides, and become a key reference point in the country for energy efficiency in the built environment. Supporting this investment is very much in line with the Bank’s aim to promote sustainable transport across the region.”

TAV Airports is one of the world’s largest airport concession companies with operations at 12 airports in six countries, including the Istanbul’s Ataturk airport. The company, together with its subsidiaries, provided services to approximately 451 thousand flights and 53 million passengers in 2011.

Mike Davey, EBRD’s director for Turkey, said, “The EBRD strategy for Turkey – where the government has initiated substantial investment programmes for investment in the transport sector – gives high priority to supporting private sector participation in infrastructure development.

“We will continue to support other landmark projects that will allow Turkey to meet fast-growing demand for travel, be it by land, by water or by air.”