By Monica Fabbio | Austin Real Estate Specialist and Local Austin Real Estate Expert August 26, 2026
As a trusted Austin realtor, I keep a close eye on the infrastructure projects shaping our city, and few are bigger right now than the ongoing transformation of Austin-Bergstrom International Airport (AUS). Whether you're relocating to Austin, flying out for business, or simply curious about how the airport's growth might affect nearby neighborhoods, here's a clear rundown of what's happening at AUS in 2026.
Austin-Bergstrom opened its main terminal back in 1999, designed to handle around 11 million passengers a year. Austin's population has nearly doubled since then, and the airport has become one of the fastest-growing mid-sized airports in the country. Passenger traffic topped 21 million annually well ahead of projections, prompting the city to fast-track a multibillion-dollar, multi-year modernization effort known as "Journey With AUS."
In February 2026, AUS completed a 75,000-square-foot West Infill expansion at the Barbara Jordan Terminal. The four-level addition includes a new TSA checkpoint that opened February 23, along with infrastructure upgrades aimed at improving security, passenger flow, and overall comfort. This project also expanded TSA Checkpoint 3 from two screening lanes to six, and added a new outbound baggage handling system capable of processing 4,000 bags per hour.
One of the biggest headlines of the year: AUS finalized decade-long lease agreements with its five largest carriers — Southwest, Delta, United, American, and Alaska — clearing the way for 32 new gates, nearly doubling the airport's current capacity of 34. Southwest, the airport's largest tenant, plans to grow from 10 gates to as many as 18–20 and will anchor the future Concourse B. Delta will become the new anchor tenant of the main terminal, occupying 15 gates, opening a new lounge, and investing $250 million into its portion of the terminal.
Twenty-six of the 32 new gates won't open until the early 2030s, when Concourse B is completed. The new concourse will connect to the Barbara Jordan Terminal via an underground walkway and is currently in the design phase. The FAA awarded AUS a record $90 million grant for fiscal year 2026 to support Concourse B construction, adding to more than $105 million the agency has already committed to the airport's terminal expansion program.
Several supporting projects are also progressing in 2026:
The City of Austin's Aviation Department projects a 97 percent increase in AUS net income for fiscal year 2026 compared to the previous year, reflecting both rising passenger volume and the airport's expanding commercial footprint.
For anyone flying in or out of Austin this year, expect ongoing construction, but most of it is designed to happen behind the scenes to minimize disruption. The near-term payoff includes shorter TSA lines, a smoother check-in process, and improved baggage handling. Longer term, travelers can look forward to significantly more gate capacity and new concourse amenities.
This is a question I hear often as an Austin real estate specialist, and the honest answer is: it depends heavily on which side of the flight paths you're on.
AUS operates around the clock with no curfew, and cargo, charter, and late-night flights are part of normal operations. As gate capacity roughly doubles over the next several years, flight frequency will increase, and that has real implications for specific neighborhoods rather than the city as a whole.
Based on current flight-tracking and noise-mapping data, the areas most exposed to aircraft noise sit under the approach and departure corridors southeast of downtown, including South Austin near Riverside, Onion Creek, and Del Valle. Neighborhoods well outside those flight paths, including downtown, Hyde Park, West Austin, South Lamar, and Mueller, see comparatively little aircraft noise despite being close to the airport in driving distance.
For buyers, that distinction matters more than raw proximity to AUS. Two homes an equal distance from the airport can have very different day-to-day noise exposure depending on whether they sit under an active runway corridor. For sellers in the affected corridor, being upfront about flight patterns, and pointing to any noise mitigation measures already in place, tends to build more trust with buyers than hoping the subject doesn't come up. Texas also requires certain airport-proximity disclosures in real estate transactions, so this isn't just a comfort issue, it's part of doing the deal correctly.
On the other side of the ledger, the airport's growth is also a long-term value driver. More gates, more direct routes, and a modernized terminal make Austin a more connected city, and connectivity is consistently one of the factors that supports demand and pricing over time, even in neighborhoods that experience some noise impact. It's a tradeoff, not a simple negative, and it's one I walk buyers and sellers through property by property rather than with a blanket answer.
Airport capacity isn't just about vacation travel. It's a factor companies weigh when deciding whether to relocate or expand into a city, and Austin has been one of the most active corporate relocation markets in the country in recent years.
Austin attracted more than 80 corporate headquarters relocations between 2018 and 2024, and it continues to rank among the top destination cities for corporate relocations nationally in 2026, alongside markets like Raleigh-Durham, Denver, and Miami. Tesla's decision to build Gigafactory Texas on a site near AUS, and later relocate its corporate headquarters to Austin, remains the most visible example, but it's part of a broader pattern that includes major employers across tech, semiconductors, and finance.
Direct flight access plays into these decisions. AUS currently offers nonstop service to most major U.S. business hubs, along with a growing list of international routes, and executives and relocating employees routinely factor that connectivity into where they choose to live and headquarter their teams. As Concourse B and the airport's other capacity upgrades come online, that list of direct routes is expected to keep growing, which reinforces Austin's position as an easy city to fly in and out of for business.
For the local housing market, corporate relocations translate into steady demand from relocating employees, many of whom are comparing Austin to other metro areas and weighing commute times, school districts, and airport access as part of their decision. If you're a company relocating staff to Austin, or an employee weighing a move here, understanding which neighborhoods offer both strong airport access and manageable commutes to major employment centers like the Domain, downtown, and South Austin's tech corridor is often the first real estate question worth answering.
Austin-Bergstrom's expansion is one of the largest public infrastructure projects currently underway in Central Texas. With 32 new gates, modernized concourses, and a multibillion-dollar investment behind it, AUS is being rebuilt to match the pace of Austin's growth. Construction will continue for years, but the long-term result should be a more capable, more comfortable airport for a city that shows no signs of slowing down.
Monica Fabbio is a local Austin real estate expert and Austin real estate specialist helping buyers and sellers navigate the greater Austin area, from downtown high-rises to Hill Country properties. Whether you're exploring listing agent services in Austin, searching for luxury real estate in Austin, or asking how to sell your home in Austin, Monica brings a data-driven, locally rooted approach to every transaction.
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