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San Diego airport lands $30.3M federal grant for new terminal construction

San Diego airport lands $30.3M federal grant for new terminal construction

Built World San Diego, CA local

FAA funds the first phase of a 44,000-square-foot terminal in the airport's broader rebuild

September 10th, 2026: FAA awards $30.3M for new terminal construction

Overview

Updated 1 hour ago

San Diego International Airport is getting $30.3 million from the Federal Aviation Administration (FAA) to begin building a new 44,000-square-foot terminal. The grant covers the first 7,000 square feet of construction.

The money is one slice of a much larger project. The airport has been rebuilding its Terminal 1 since 2023, a multi-billion-dollar effort scheduled to finish in early 2028. San Diego International runs on a single runway, so new terminal space is the main lever it has to serve more passengers.

Why it matters

The funding keeps San Diego's airport expansion on track for 2028, adding capacity to one of America's busiest single-runway airports.

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Key Indicators

$30.3M
Federal grant for terminal construction
FAA Airport Improvement Program funds obligated September 10, 2026.
44,000 sq ft
Planned new terminal size
Total footprint of the new terminal; this grant funds phase one of 7,000 sq ft.
Early 2028
Projected completion date
All Terminal 1 construction is scheduled to finish by early 2028.

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People Involved

Organizations Involved

Timeline

January 1967 March 2028

6 events Latest: September 10th, 2026 · 2 weeks ago
Tap a bar to jump to that date
  1. Terminal 1 completion targeted

    Upcoming Milestone

    All Terminal 1 construction is scheduled to finish by early 2028.

  2. FAA awards $30.3M for new terminal construction

    Latest Funding

    The Federal Aviation Administration obligates $30.3 million for phase one of a 44,000-square-foot terminal at San Diego International.

  3. First phase of new Terminal 1 opens

    Facility Opening

    The airport opens the first phase of the new terminal building on schedule for summer 2025.

  4. First phase of new parking plaza opens

    Facility Opening

    Airport opens the first phase of the Terminal 1 parking plaza, adding 2,834 parking spots.

  5. Terminal 1 replacement begins

    Construction Start

    The Airport Authority starts the multi-year rebuild of its main passenger terminal, the airport's largest capital project.

  6. Original Terminal 1 opens

    Facility Opening

    San Diego International's Terminal 1 opens, serving as the airport's primary passenger building for more than 55 years.

Scenarios

1

San Diego airport completes terminal expansion on schedule in 2028

Likely Resolves by Q1 2028

Discussed by: San Diego County Regional Airport Authority project plans

The airport finishes the new Terminal 1 and related improvements by early 2028 as planned. FAA grants like this one fund construction in phases. This outcome assumes no major supply chain, labor, or budget shortfalls emerge in the final two years.

2

Construction delays push San Diego terminal completion past 2028

Possible Resolves by Q2 2028

Discussed by: San Diego Union-Tribune construction reporting

Supply chain disruptions, labor shortages, or a funding gap push completion into late 2028 or 2029. Large airport projects routinely slip by months. The Airport Authority would announce a revised timeline before the current target passes.

3

Additional federal grants fund further terminal expansion phases

Likely Resolves by End of 2027

Discussed by: USASpending.gov federal award records

The FAA continues to obligate funds for successive phases of terminal construction through the Airport Improvement Program. Each construction phase requires a new grant award, providing a steady federal funding stream through project completion.

Historical Context

2 moments from history that rhyme with this story — and how they unfolded.

2010–2013

San Diego Terminal 2 expansion (2010–2013)

The airport expanded Terminal 2 with a new 400,000-square-foot, 10-gate facility built in phases. The project was funded through a mix of airport revenue and FAA grants.

Then

Added significant passenger capacity and modern amenities within three years.

Now

Established the airport's pattern of phased, federally supported terminal expansion that the current T1 rebuild follows.

Why this matters now

This is the same airport's most recent major terminal project, showing how SAN sequences large construction and layers federal and local funding.

2021–2023

Kansas City International new terminal (2021–2023)

Kansas City replaced its 1972-era single terminal with a new $1.5 billion facility, funded through airport revenue and federal grants. The project wrapped on a defined schedule.

Then

Opened in February 2023, transforming the passenger experience at KCI.

Now

Demonstrated that a US airport can replace an outdated terminal on schedule when funding is secured in advance.

Why this matters now

Kansas City's terminal replacement is a comparable example of a multi-year airport rebuild with defined completion milestones, similar to San Diego's T1 project.

Sources

(3)

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