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The Airport as a City

Berlage Instituut24-04-2008

Drs. Pieter van der Horst MSc

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Content

• Airportcity– History

– What makes an Airportcity

– Examples of international Airportcities

– What’s next (+ examples)

• Amsterdam Airport Schiphol– Airport City

– Aerotropolis

– Airport corridor

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Globalization

• Companies re-organize en re-orientate in the world;

• Specialization of companies, of regions;

• Reorganization: insourcing, outsourcing, co-sourcing, …

• Drivers for the economy– Globalization– Speed– Agility– Connectivity(John Kasarda, based on Friedman)

History

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Globalization and transport / History

• Globalization 1.0

1492-1800

EU

• Globalization 2.0

1800-2000

EU, US

• Globalization 3.0

2000-

EU, US?, Asia,

• Sea / Ship

– Seaport

• River, canal / Ship

– River port

• Railway / Train (Telephone)

– CBD, railway suburb

• Road / Car

– Urban Sprawl, Edge City

• Air / Plane

– AirportCity

• Cable, Wireless

Thomas Friedman

History

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Globalization 3.0

Airport + City

Airports central place in the Network Society

Airports tend to leave the city

But the city follows the airport

And the airport becomes a city

History

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3. AirportCity (1990’s – now)Business model of the Airport, aviation – non-aviation

Positioning the airport firmly in the society

2. Mainport (1980’s – now)Economic impact of the airport on the region

1. Airport (1920’s – now)From national infrastructure to hub in a global alliance

AirportCity: The next step

History

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Mainport

• From infrastructure tohub / Mainport

• The Netherlands is historically a country of trade

• 2 Mainports– Rotterdam Seaport

– Amsterdam Airport

History

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Mainport� Airportcity

Airportcity

MainportMulti ModalityHighway, Railway,

AirportReal EstateHotels, Offices

Governance

FacilitiesShops, restaurants

Cargo

Airportcity

Airport size

Hub

Non Aviation Revenues

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Passenger consumer

Airportcity

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Offices

Airportcity

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Global trade – trends air cargo

• Volume– Globalization of the economy– “Air cargo will grow twice as fast as the GDP worldwide”

• Quality– Shorter lead time / more reliability in deliveries

– At lower prices– Increasing importance of integrators (express)

• Organization– Consolidation forwarders– Value added services – Security, customs

Airportcity

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Schiphol: regional cooperationSchiphol Area Development Company / SADC

Airportcity

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AirportcityExamples

Dubai Jebel Ali Airport City

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Dubai World Central / Logistics City

AirportcityExamples

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Frankfurt

AirportcityExamples

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Hong Kong

• Cargo Hub

• Airport + Seaport

AirportcityExamples

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Dusseldorf, Lyon, ..

AirportcityExamples

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What’s next?

• Aerotropolis

• Greater Aerotropolis

• Airport Corridor

What’s next?

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AirportCity: The next step

New challenges for airportcompanies:

• An Inconvenient Truth

• Public license to operate the airport

• New aspirations of consumers

• The Experience Economy

• Redefining companies and innovation of products

• Competition between Global City Regions

What’s next?

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Consumers / The progress of economic value / Experience Economy

Extract Commodities

Make Goods

Stage Experiences

Deliver Services

Differentiation

Pricing

Customer Needs

Guide Transformations

AuthenticityCo - creation

What’s next?

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Key to successFrom Airportcity to Aerotropolis and Airport Corridor

BusinessCommunity

LocalAuthorities

AreaDevelopment

Government

Aviation industry

Hubdevelopment Airport

Attractive businessInfrastructure

• Governance• Urban Regimes

What’s next?

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AerotropolisAccessibility, Accessibility, Accessibility (John Kasarda)

Info-Communications Technology

(ICT) C

orridor

Business Park

Air Cargo

Aerolanes

Aerolanes

Aerola

nesAerolanes

Ter

min

al/

Sho

ppin

g A

rcad

es

Term

inal/S

hopping Arcades

Per

isha

bles

Aer

otra

inA

erot

rain

Bonded Warehouse

District

Industrial Park

Research/Technology

Park

Ret

ail/

Who

lesa

leM

erch

andi

seM

arts

Hotel and Entertainment

District

Business Park

IndustrialPark

DistributionCenter

Logistics Parkand

Free Trade Zone

Office Corridor

Residential

Business O

ffices

Flow-Thruand

E-FulfillmentFacilitiesH

otelB

usin

ess

Offi

ces

Hot

el

Exp

ress

Cou

riers

Residential

Conference C

enter

ExhibitionComplex

What’s next?

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Dallas Fort Worth Metroplex

ODHub

Ga

Ga(OD)

mil

Ga

Ga

Ind

Ind

GA

Stemmons / NE Corridor

What’s next?

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Dallas Ft. Worth International (DFW)Las Colinas

What’s next?

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Cargo / Fort WorthAllianceTexas: Industrial Airport developed by Hillwood (Ross Perrot)

What’s next?

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Greater Aerotropolis

What’s next?

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Example of Greater Aerotropolis

What’s next?

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City

Airport Corridor

Airport City

Airport + City / Airport as a CityGlobal City Region

Urbanindustrial

Edge City

Aerotropolis

What’s next?

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Airport CorridorFrom City to Global City Region

What’s next?

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Airport Corridor

Hong Kong

What’s next?

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Amsterdam Airport Schiphol

Schiphol

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1967 - present

Amsterdam Airport Schiphol

Schiphol

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• 105 intercontinental scheduled destinations

• 144 European scheduled destinations

• Direct flights to 28 North American cities

• Every week 42 direct flights to New York

• Daily 51 flights to London and 16 flights to Paris

Amsterdam Airport SchipholDynamic International hub

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Amsterdam Airport Schiphol

26,4

32,8

32,9

33,9

35,2

47,8

52,1

53,9

59,9

67,9

Paris ORY

Barcelona

Rome FCO

Munich

London LGW

Amsterdam

Madrid

Frankfurt

Paris CDG

London LHR

Amsterdam Airport Schiphol 2007• 47.8 million passengers

• 1,527 mln. tonnes cargo

• 436,000 ATM’s

• O/D passengers 59%

• Transfer passengers 41%

International network 2007• 267 destinations• 102 scheduled airlines

• 15 all cargo airlines

• SkyTeam hub

Passengers (Europe, 2007)(x mln.)

322

471

490

719

762

860

1314

1610

2053

2074

Madrid

Milan MXP

Liege

Cologne

Brussels

Luxembourg

London LHR

Amsterdam

Paris CDG

Frankfurt

Cargo (Europe, 2007)X 1.000 ton)

Schiphol

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Non Aviation39%

Aviation

61%

Business Model2006 Financial Breakdown

Non-Aviation: Less than 40% of turnover but more than three quarters of operating result

Net Turnover Operating Result Investments

+1.7%311316

20052006

EUR million

+9.4%9481,037

20052006

EUR million

-3.0%268260

20052006

EUR million

Aviation

23%

Non Aviation

77%

Aviation

67%

Non Aviation

33%

Schiphol

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Mainport Amsterdam Airport Schiphol

Airport landingstrip

Highway

Railway

Multimodality

Schiphol

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New Long Term Options?

• 4th NS Runwayextra capacity

• New Terminal

• Optimalisation of Schiphol Centre

• Parallelle Kaagbaanreliability and capacity

Schiphol

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Schiphol CentrumKantoren-as, Gateway

Schiphol

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AirportCity / Real Estate

Schiphol Centre

• Theme: ”Meet the World”Exchange between peopleand cultures

• Existing:– Schiphol Plaza– World Trade center– Sheraton and Hilton Hotels

• New– New Hilton + SchipholForum

– Holland Trade Lounge– Hotel OSIB

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Schiphol South East, Cargo World

34 stands

Fase 22,25 mln. ton

Fase 1750.000 ton

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Cargo WorldMartinair, Exel, Yusen, EGL, ..

Schiphol

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Schiphol Golf18 holes golf course and hotel

Schiphol

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Schiphol Elzenhof

• Theme: ”Be Connected”

– Physically: to the terminal and to Amsterdam by transport services

– Socially: creating a community

• Office development

(200.000 m2)

Schiphol

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• Improved Parking product

• Services for passengers and cars

• Urban experience, mixed environment: turning a parking into a city

Transfer City

Schiphol

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Schiphol East,Aerospace Exchange

• Concentration of aviation: Maintenance, R&D, Management, training and education

• Theme: ”Aerospace Exchange”

– Exchange of knowledge, services, people within a cluster of companies and institutions

• Projects

– Martinair HQ

– General Aviation Terminal +

– Airport College?

Schiphol

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Aerotropolis Schiphol

Golfcourt

SecondTerminal?

Elzenhof, Hotel, Services, Offices

Aerspace Exchange, offices, Hotel warehouse

Anthony Fokker, Offices

Schiphol Rijk, offices

Schiphol SouthEast, Cargo

Schiphol South, Cargo

Schiphol Centre, Offices, Hotels

Schiphol

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Schiphol - Airport corridor

Cargo World

Schiphol Complementary developmentof airport and city

- Schiphol and Amsterdam Zuidas- Logistics in the A4-corridor

Schiphol

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Questions?