A luxury car rental facility, VIP parking, improved parking lots and parking fees could be in store for Naples Airport.
Naples Airport Authority on Sept. 19 heard options for additional revenue sources, including developing nonaeronautical property into land for storage, office, retail and industrial uses, and finding uses for underutilized parking lots in the North Road Terminal area. Those included fees for airport parking, allowing car rental agencies to bid for the best spaces and leasing unused spaces to businesses, could garner $150,000 to $350,000 annually.
“We’re getting 10% from concession revenues from the rental car companies. Can we yield more?” asked Santiago Fernandez, of Orlando-based ZHA Inc., which assessed existing car rental agencies and parking lot options. “And the parking facilities … bring absolutely zero in revenue.”
ZHA surveyed travelers who use the North Road Terminal, not those who use the General Aviation terminal, where people fly in. They found 57% of travelers leave their cars at the airport, often for several weeks, while 45% leave cars there to rent a car and 75% say they use airport parking because it’s free. More than half the leisure travelers, 53.7%, are willing to pay for increased parking security and 34% would pay for a valet. ZHA suggested charging $7.50 to provide secure parking facilities, which would bring in $684 daily at 25% occupancy and $1,368 at 50% occupancy. ZHA found that fee is lower than the cheapest airport parking fees nationwide. Eppley Airfield in Omaha, Nebraska, charges $9.
Car rental operations, which bring in $1.47 million in revenues, could be consolidated under one facility in the North Road Terminal area, parking spaces could be realigned and the airport could charge rental agencies additional fees for usage.
ZHA surveyed current car rental agencies—Avis, Hertz, Dollar, Thrifty, National, Alamo and Go Rentals—and found they’re willing to pay higher rent, possibly 12% to 15%, for a location with higher exposure. They pay for counter space, fuel, chemicals and water, but could be charged $10 per square foot to use the car wash space and other areas. Because this is Naples, Fernandez said, high-end luxury car rental providers may be interested in being here.
“That will add up to what it costs for you to fix up this facility and generate revenue to have dollars in the future to upkeep and maintain that facility,” he said.
The survey also showed 73% of airport users are leisure, not business, travelers, so they’re more frugal. “The business customer doesn’t care. His client is paying for his bill in most cases,” Fernandez said of being willing to pay $22 daily for parking, versus $10 for leisure travelers.
Naples-based real estate consultant Carroll & Carroll, which assessed nonaeronautical land possibilities, suggested marketing materials to determine interest in the properties, exploring nonallowable uses through zoning changes, potential public-private partnership opportunities and asking the city and county if they’re interested in developing parcels.
If there’s demand, 7.8 acres in the southern quadrant could yield $169,012 to $646,865 yearly for industrial use, depending on size, while a storage facility could bring in $338,024 to $1.55 million.
Airport Executive Director Chris Rozansky noted some aircraft operators block out at least 20 rooms per night in hotels closer to downtown, and during peak season, flight crews have traveled more than an hour to find room rates that comply with their company policy. The airport would benefit from a hotel, he said, because operators may choose to fly during the airport’s 10 p.m. to 7 a.m. curfew if there’s no place to stay.
Josh Sicard, of Carroll & Carroll, said a hotel could fit in the southern quadrant, but would require a certain operator due to the low exposure.
In the end, NAA commissioners agreed to focus on parking lots for now until they know whether the 733-acre airport will be relocating to one of four sites within unincorporated Collier County.
But County Commissioner Dan Kowal spoke at the meeting to tell the NAA that commissioners have no interest in moving the airport or discussing it with the NAA—and that’s not likely to change because three commissioners are being reelected to four-year terms this year. “If you don’t have the land,” Kowal said, “you don’t have somewhere to put it.”
Although several Naples City Council members have leaned toward believing it shouldn’t be relocated, Council agreed to hold a joint meeting with the NAA on Oct. 14 to discuss it.
