Red Deer Regional Airport is celebrating its 25th anniversary in style.
A $3.5-million terminal expansion project was officially opened on Thursday and construction on a new access road to the north is well underway.
The expansion includes a 10,000-square-foot addition with space for security, baggage pick-up area, future customs area and space to handle the 189 passengers from a full 737-800.
The terminal upgrade is the second phase of the airport’s ambitious plan to create a transportation hub with passenger service and to turn 200 acres of airside land into a centre for aviation-related industries from manufacturing and maintenance to cargo and flight training.
First phase work included widening the runway to allow for 737-sized passenger jets to land. An apron and taxiway were also refurbished.
The airport got a $30 million boost from the provincial government in its April 2023 budget.
Meanwhile, work on a new access road remains on track. The $18-million project will extend Airport Drive to Township Road 374 and then link to C&E Trail. It is expected to be completed by early 2026.
Red Deer Regional Airport Authority chair Iaian Park said the projects create new opportunities. The terminal improves the chance of landing an ultra-light-cost air carrier linking central Alberta with communities nation-wide or a sun destination charter airline.
The new access road opens the door to more investment opportunities.
"We'll have the ability to draw in people that we might not otherwise get. It opens it up to courier aviation industries and things like that," he said, adding it could provide opportunities to create partnerships in other area businesses.
"I think there is a ton of economic opportunity. It's exciting for Red Deer and, frankly, for central Alberta as a whole."
The ultra-low-cost air carrier business is intensely competitive, with only one airline still in business. The demise of Lynx Air in March left only Flair Airlines in the market in Canada.
Park said that airlines have expressed interest in Red Deer in the past, but at the time the airport could not offer the necessary facilities. He believes the airport and its low fees remains an attractive lure.
The airport was built during the Second World War to train military aviators. However, 25 years ago Red Deer and District Chamber of Commerce, City of Red Deer and Red Deer County bought it from the federal government.
Long-time airport tenant and Hillman Air owner Gary Hillman said the latest investments are a step forward and a sign of progress.
"It opens up new opportunities. Any airline that may be looking at a place to base can check off this square on their requirements because we now have a terminal building that's equal to any service coming in," said Hillman.
"They've done a good job. It's well laid out and it's an attractive-looking building and it's appropriate for the size of airport."
The second access will also go over well. "I can tell you, I've been here 50 years and we've been asking for that for a long time."
City of Red Deer Coun. Lawrence Lee was among a number of councillors and the mayor who turned out for the opening ceremony, which included Transportation and Economic Corridors Minister Devin Dreeshen and Health Minister Adriana LaGrange, as well as Red Deer County and other community representatives.
Lee said the airport will provide opportunity to attract businesses beyond aviation.
"We are one of the few airports in the country that still has airside commercial space to lease, rent and invest in," he said. "I think this is a great investment.
"It's one of those initiatives where we may not know the full impact of it today, but we'll realize that with the next generation of the region's residents."