Low-cost airline Allegiant Aviation is retreating from an airport in Texas that has seen rapid growth over the past decade.
The Las Vegas-based ultra-low-cost airline will end aircraft and crew operations at Austin-Bergstrom International Airport (AUS) effective January 7, a spokesman confirmed Monday. 2025.
Allegiant will still serve the airport, which it said will remain an important part of its network. However, the airline will no longer base crew and aircraft in Austin, citing “circumstances beyond our control.”
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Expected closure of South station
The problem, Allegiant told TPG, is that gate space is limited amid ongoing renovation plans in Austin.
Allegiant is headquartered in Austin’s South Terminal, a small satellite concourse a short drive from the airport’s main terminal.
Amid Austin’s rapid growth in recent years, the airport planned to close the South Terminal to allow for the construction of a midfield concourse and new taxiways across the airport. That is expected to happen no later than 2026.
As part of the closure of the smaller terminal, which opened in 2017, Allegiant will have to relocate to the airport’s main terminal – where it To be intend to do; The airline plans to continue serving the airport with flights.
However, that move comes with a warning, the airline told TPG on Monday.
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“Unfortunately, the port space we were provided will not allow us to maintain our base at AUS,” an Allegiant spokesperson said in a statement.
Austin has been Allegiant’s base since 2021, when the airline announced plans to invest $75 million there, with plans to hire at least 89 employees and order three Airbus A320 aircraft.
So far it’s unclear what, if any, Allegiant routes might be affected after it ceases operations at its Austin facility in January 2025.
This month, the carrier’s Austin route map includes 18 nonstop destinations across the country, according to the map below from aviation analytics firm Cirium.
Austin airport officials responded
In a statement Monday, the Austin Department of Aviation acknowledged Allegiant’s decision and reiterated that the move to end its base in the city was correct. Are not meaning it is leaving the market.
“We remain committed to supporting their nonstop flights from AUS and appreciate the important value they bring to Central Texas travelers,” an airport spokesperson told TPG.
The city said there has not been a date set for the permanent closure of the South Terminal facility.
Despite rapid growth in recent years, Austin has experienced some recent hiccups. Virgin Atlantic announced last fall it will stop flying nonstop in Austin to London’s Heathrow Airport (LHR), citing headwinds in the tech industry.
American Airlines also scale back its services out of the airport, although Delta Air Lines has largely been Jump in to fill the gap.
According to data released by the airport this month, from January to April, passenger traffic at the airport decreased slightly compared to the same period last year, with a decrease of about 0.25%.
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