The Future of Airport Terminals: Sustainability, Technology, and Passenger Experience in 2026

The airport sector seeks longevity, optimization over novelty

In 2026, airport construction shifts from iconic mega-terminals to modernization efforts emphasizing operational resilience, efficiency, and passenger experience, driven by funding stability and evolving demands.

Global air travel has rebounded, but the airport construction boom taking shape in 2026 looks different from past cycles. Rather than racing to build the next iconic mega-terminal, owners are prioritizing modernization, operational resilience, and measurable performance gains. Funding pressures, evolving passenger expectations, and new delivery models are reshaping how and where dollars are spent. Here’s where airport terminal construction is headed next.

The global airport construction market is projected to be about $1.25 trillion in 2026—a $40 billion increase from 2025. Firms like Arora Engineers attribute terminal work to be approximately 30% to 40% of this spend, while WSP sees the remaining 40% going towards terminal expansion and 20% to renovations and upgrades.

Many firms are seeing a shift in spending from “expansion-first” to “optimization-first.”

“Over the next 12 to 24 months, airport terminal investment will be driven less by headline-grabbing, single-phase new terminals and more by targeted modernization, reconfiguration, and system upgrades that unlock capacity, extend asset life, and improve operational resilience,” says Julie Wienberg, Managing Principal, Aviation Practice Leader, Perkins&Will.

The State of Airport Construction Spending

Swinerton VP and National Director of Aviation, Carrie Shaeffer, sees construction spending in 2026 being driven by rising passenger volumes, the need for greater efficiency, and increasing expectations around the passenger experience.

This is especially true for mid-sized and regional airports, as multiple firms note especially strong activity at these airports. Large airports still lead in construction activity, however, with terminal projects accounting for the majority of spending, cites Mark Crosby, Vice President, Aviation, McCarthy Building Companies.

“On average, the top 10 airports in the U.S. are each investing about $1 billion annually over the next five to 10 years,” says Crosby.

Some of these increased airport efficiency initiatives include modernizing baggage handling systems, improving passenger flow, and upgrading parking.

Looking into 2026 as the Airport Terminal Program (ATP) ends, funding will shift toward smaller-scale improvements through traditional sources. This includes the Airport Improvement Program, Airport Infrastructure Grant Program, Airport Funding Reallocation, and Passenger Facility Charges—according to Indhira Figuereo Blaney, Senior Vice President and National Aviation Market Leader, WSP.

Overall, it appears that construction in 2026 will be focused on modernization rather than expansion. According to Dodge Construction Network data, about 75% of terminal projects slated to begin this year involve alterations or renovations, while 15% are additions and just 10% are entirely new terminal builds.