Big Changes Ahead for Ben Gurion’s VIP Lounges

The Israel Airports Authority (IAA) is set to revolutionize the VIP lounge experience at Ben Gurion Airport, launching a tender to operate five exclusive lounges in Terminal 3. Two separate operators will manage these premium spaces for the first time in the airport’s history, marking a significant shift from the previous single-operator model.

This change comes as the current contract period with Dan Hotels and the QAS company draws close. The new agreement will span six years, with an option for a three-year extension, and is expected to enhance competition and service quality in Ben Gurion’s VIP lounges.

A Competitive Approach

The tender divides the operation of the five lounges into two distinct areas, allowing bidders to select their preferred space. “Our goal is to increase competition and offer greater operational flexibility,” explained the IAA. The bidder offering the highest financial proposal will receive priority in choosing their location.

The VIP lounges cater to first-class and business-class passengers, loyalty program members, and travelers willing to pay for premium access. With annual turnover exceeding NIS 60 million, this is a lucrative opportunity for operators in the hospitality and aviation sectors.

A Rapidly Growing Market

The global airport lounge market is booming, with revenues projected to double from $4.21 billion in 2024 to $9.44 billion by 2029. Even at Ben Gurion Airport, lounge revenues exceeded NIS 60 million in 2023, showcasing the strong demand for these services.

The tender is open to various competitors, including hotel chains, airlines, and experienced service providers. Winning bidders must deliver top-notch services such as fresh refreshments, business meeting spaces, and office amenities. Up to 50% of the lounge area may also be reserved exclusively for specific airlines.

Ben Gurion’s VIP Lounges. Opening in 2025

The new and improved Ben Gurion’s VIP lounges are expected to open in May 2025, promising travelers a refreshed and competitive experience. With this move, the IAA aims to set new standards in comfort, convenience, and luxury for passengers flying through Israel’s busiest airport.

For the original news article, visit The Jerusalem Post.

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