Dublin Airport operator DAA is “still interested” in buying 260 acres of land situated between runways at the airport, but only at a “realistic value”, according to chief executive Kenny Jacobs.
Speaking on Tuesday at the launch of a Dublin Airport economic impact study, Mr Jacobs said the authority had made a “sensible bid” on lands recently put up for sale by property owners including brothers Ulick and Des McEvaddy, based on a “realistic valuation”.
Commenting on recent reports that the DAA was no longer the highest bidder for the land, Mr Jacobs said that if the sellers had received a bid “three times” the value of the land, then “good luck to them”.
Mr Jacobs said the DAA’s €2 billion development plan for Dublin Airport was not dependent on the purchase of the land, and that the authority was not going to make a “crazy bid”.
“We’re staying where we’re at. If they want to come back and talk to us because other bids fall through, that may happen… time will tell,” he said.
“We’ve gone out to look at that land, and you’re literally right smack in the middle of two runways. If I was a sovereign wealth fund buying that land, I’d have picked up the phone to DAA by now, I’d have picked up the phone to AnnMarie [Farrelly] by now in Fingal [County Council] to say what can be done with this. That’s not happening yet, so let’s wait and see,” he added.
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The economic impact report launched on Tuesday and prepared by consultants InterVistas found that Dublin Airport contributes a total of €9.6 billion in gross value added (GVA) to the Irish economy, and supports 116,100 jobs in the Republic.
The report found that the airport is responsible for 19,900 direct jobs, with an additional 96,200 jobs created indirectly through the likes of firms supporting the airport, employee spending, and the facilitation of tourism and trade.
The report also highlighted the potential future economic contribution of Dublin Airport, as airport operators DAA plan to submit a planning application later this year to expand beyond its current terminal capacity of 32 million passengers per annum.
Mr Jacobs said there was a “clear opportunity” to grow Dublin Airport and provide more jobs and economic growth “if the planning and regulatory environment is able to keep pace”.
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Demand for travel from the airport is forecast to grow by about 3.7 per cent ever year between 2025 and 2030, with passenger numbers potentially reaching 39.6 million. Forecasts predict passenger numbers could reach 55 million by 2055.
The Intervistas report found that maintaining the current 32 million passenger capacity would lead to Ireland forgoing an additional 17,800 jobs and €1.5 billion in GVA by 2030, and the loss of 53,300 jobs and €4.4 billion in GVA by 2055.
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“This would have huge implications for Ireland’s tourism sector and business community, with trade and visitor numbers being constrained,” said Mr Jacobs.
He said that if Dublin Airport was not able to accommodate these opportunities for growth, “it will be other big city airports, the same airports that Dublin Airport currently competes with on a daily basis for air connectivity, that will benefit instead”.
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Speaking at the launch of the impact study on Tuesday, Minister of State at the Department of Transport Jack Chambers said that the Government supported the “sustainable development” of Dublin Airport as a hub airport, “competing with the UK and other European airports, with the necessary capacity to connect Ireland to key existing and emerging global markets”.
He said that the DAA’s Capital Investment Programme 2020+ would enhance passenger journeys at Dublin Airport as well as provide additional capacity for demand arising from population growth in the region and nationally.
