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Southwest Signs First Airport Lounge Lease in Honolulu

The move targets higher-value loyalty revenue by enabling premium credit-card benefits the CEO has said require lounge access.

Overview

  • Hawaii officials approved Southwest’s lease for roughly 12,241 square feet in Honolulu International Airport’s Terminal 2 to build a branded lounge.
  • The agreement runs five years at $156.14 per square foot annually, equating to about $1.91 million per year, with a minimum $20 million buildout commitment.
  • The space is in Building 342, converting former Garden Conference Center areas identified in public documents, and sits near existing carrier lounges.
  • Southwest has not formally announced the project and has released no details on who can access the lounge, what it will offer, or when it will open.
  • CEO Bob Jordan has tied lounges to a strategy of higher-priced co-brand credit cards, and observers expect other airports such as BWI, DAL, DEN, LAS, PHX, and SAN could follow.