San Francisco International Airport (SFO) is moving forward with plans to build a private luxury terminal exclusively for passengers willing to pay a premium. The terminal will offer private security lines, valet service from terminal to tarmac, and dedicated Customs and Border Protection (CBP) lines for international travel. It will serve commercial flights, not business or corporate jets.
Project Details and Timeline
SFO is seeking bids from developers to design, build, and operate the 75,000-square-foot terminal, located across the runway from all current public terminals. Proposals will be accepted from late September to early October, with a contract award expected by early December. The airport hopes to open the terminal in late 2028.
Airport spokesperson Doug Yakel cited a “high level of demand” for premium travel experiences, noting the popularity of existing credit card and premium lounges. “Somebody that uses this product really wouldn’t see the other passengers they’re traveling with until they’re taken up the stairs of the jet bridge and onto the aircraft,” Yakel said.
Market Context and Demand
The push for luxury amenities comes amid a surge in spending on premium travel experiences. A report by Bain & Company and Altagamma found that spending on “pay-to-play” luxury experiences is rising. Airlines have revamped lounges and onboard services with chef-designed menus and expanded premium seating.
San Francisco’s AI-driven wealth boom is fueling demand for luxury services. The local housing market is heating up, with homes selling at the fastest pace in five years and the median single-family home price reaching $2.2 million. Yakel noted that SFO felt the timing was right to enter the luxury travel market, citing similar developments at other airports worldwide.
Pricing and Membership Model
The cost for using the private terminal will be determined by the winning bidder and will be offered on a membership or per-use basis. Yakel said traffic at public terminals is unlikely to change as a result.
Private terminals have gained popularity globally. London Heathrow and Paris-Charles de Gaulle have long operated luxury terminals, and São Paulo/Guarulhos recently opened Latin America’s first private terminal. In the US, Los Angeles, Dallas Fort Worth, Miami, and Atlanta airports offer private terminals through PS (formerly The Private Suite), owned by security firm Gavin de Becker and Associates. PS has expressed interest in opening a private terminal at every major US airport by 2030. Access to PS terminals costs $1,295 for a one-time experience or up to $4,850 for an annual membership. Heathrow’s private terminal costs thousands of pounds per person.
Impact and Future Outlook
If SFO’s plan succeeds, it will join a growing list of airports catering to affluent travelers seeking to avoid crowds. The project underscores a broader trend in the airline industry toward premiumization, as carriers and airports compete for high-spending passengers.
