b'60 BHM CARGONew Air Cargo Facility Boosts Revenue,Reputation at Birmingham-Shuttlesworth IntlBY KEN WYSOCKYA $31 million facility completedThe $31 million project was funded this summer at Birmingham- entirely with airport revenue. The two primary Shuttlesworth International (BHM)expenses were construction of a one-story, is helping the Alabama airport accommodatemetal-clad building for about $15 million and fast-growing demand for cargo support andapproximately $14 million to expand and position it for even more cargo-related growth. improve a 10-acre apron on the southeast Kuehne + Nagel (K+N), an internationalquadrant of the airfield that was added about FACTS&FIGURESshipping and logistics company, is leasing20 years ago for a cargo facility that never the building from the Birmingham Airportwas built.Project: New Air Cargo FacilityAuthority, initially for five years. The companyWe didnt need any state or federal Location: Birmingham-Shuttlesworth Intl Airport, AL wanted a more convenient location forfunding because when Ron Matthieu, chief Approx. Cost: $31 million ($15 million for transporting imported car parts destined forexecutive officer of the airport authority, building; $14 million to expand & improve existinga sprawling Mercedes-Benz manufacturingcame on board, we restructured all or our 10-acre apron; $2 million for design & construction- plant in Tuscaloosa, AL. debt, which saved about $30 million in admin costs)Funding: Airport revenue BHM fit the billinterest payments, Lima explains.Size: 53,000 sq. ft.; 1 story tallbecause its only aboutThe airport, which handled slightly more Tenant: Kuehne + Nagel 60 miles from the plant, athan 3 million passengers in 2023, also much shorter drive thanrecently cut expenses by rebidding custodial Consultant/Project Manager: trucking in cargo thatservices on a national level, which freed up CHA Consulting Inc. previously was flown intomore revenue for the project. In addition, General Contractor: Stone Building Co. Hartsfield-Jackson AtlantaMARCELO LIMA it boosted revenue by renegotiating airline Construction: June 2023-June 2024 International Airport,landing and terminal rent fees and reworking Lease Term: 5 years explains Marcelo Lima, the airport authoritysfee agreements with rental car agencies, Key Benefits: Revenue from facility & apron leases;vice president of Planning and Development. Lima shares.higher volume of landing fees; enhanced reputation asCHA Consulting Inc. designed the cargo center53,000-square-foot facility and managed theDomino EffectFollow-up Projects: Additional cargo facilitiesproject, after also developing the master planThe impetus for building a new cargo facility on 20 acres south of new facility, eventual taxiwaythat defined BHMs cargo infrastructure needs.stemmed from the need to relocate a taxiway relocationNovember | December 2024AirportImprovement.com'