Ontario Airport Commission Seals New Concession Agreement; Retail Shops to Undergo Major Remodel
The eight-year concession lease agreement with Hudson Group and HG ONT Retailers JV includes a capital investment of at least $2.4 million by the concessionaire to rebrand and remodel its retail operations, in addition to rent payments calculated as a percentage of gross sales.
With the new concepts and rent payment structure, OIAA anticipates rent payments to increase by as much as 70 percent over the term of the new agreement. In the first year after the retail improvements are completed, the concessionaire expects to generate an additional $500,000 in rent to the airport authority.
“Since the Ontario International Airport Authority assumed control of our airport last year, the Commission and staff have worked tirelessly to improve the customer experience at the airport, and an important aspect of that experience is the retail offerings available to our passengers,” said OIAA Commission President and Ontario Mayor Pro-tem President Alan D. Wapner. “With new domestic and international air service, more ground transportation options and the coming remodel of airport concessions, our airport is now a gateway befitting the Southern California region.”
Following the remodel, the retail concessions will include brands popular with business travelers such as Hudson Group’s flagship brands Hudson, Tech on the Go, and Ink by Hudson, as well as Daily News, Ontario Provisions, and Cali Market.