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Perth Airport’s Multi-Billion-Dollar Master Plan: What the ‘City’ Plans Actually Include

Perth Airport’s “city” plans are a long-range airport estate and infrastructure program, not a new municipality. Here are the proposed projects, target dates and current approval distinctions.

By Bettesworth Construction Team 4 min read
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Perth Airport’s “city” plans refer to a long-range redevelopment of its 2,105-hectare airport estate—not a separately approved city or municipality. The airport’s Master Plan 2026 proposes consolidating commercial passenger flights at Airport Central, alongside a new parallel runway, terminal expansions, parking, road works, a hotel and wider commercial development. The projects are at different stages of planning and approval, and the published dates are targets rather than guarantees.

What does “city at Perth Airport” mean?

The phrase is shorthand for the scale of Perth Airport’s proposed airport-wide development. The Master Plan describes a 2,105-hectare estate with more than 200 businesses, divided into five precincts; it does not establish a new municipality. The airport’s broader land-use ambitions include commercial, industrial, retail, aviation-support, logistics and freight opportunities across precincts beyond Airport Central. (Perth Airport Master Plan 2026; executive summary)

The aviation centrepiece is “One Airport”: bringing commercial passenger operations together at Airport Central. That is one part of the wider estate plan, not a description of every proposed development on airport land.

What is included in the development program?

Perth Airport’s investment program identifies these major projects:

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  • Two multi-storey car parks and improvements to the road network.
  • An expansion of Terminal 2.
  • A planned 237-room hotel, which the airport says is intended to be operated by Accor.
  • A new 3,000-metre runway parallel to the existing main runway, 03/21.
  • An expansion of Terminal 1 International.
  • A new domestic terminal for Qantas Group operations.

The runway and central terminal consolidation are connected in the airport’s plan: the new runway is intended to increase airfield capacity and support arrivals and departures on either side of the central passenger precinct. Construction works on the runway began in 2025, and the airport’s investment fact sheet gives 2028 as its expected operational year. (Perth Airport investment fact sheet)

What are the planned dates and current approval stages?

Master-plan dates are indicative milestones. They do not mean every project has final development approval or will open on schedule. Perth Airport’s Major Development Plans (MDPs) page distinguishes projects with approved plans from the new terminal, whose draft plan remained in preparation on the status page reviewed for this article. (Perth Airport Major Development Plans)

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Project Plan milestone Status on Perth Airport’s MDP page
Terminal 2 expansion Planned for 2026 in the preliminary plan Not stated on the cited MDP status information
Airport Central Hotel Completion planned for 2027 MDP approved 8 July 2025
Airport Central Airfield Upgrade Runway expected to be operational in 2028 MDP approved 18 February 2025
New Qantas domestic terminal and Terminal 1 International expansion Planned around 2031 Preliminary draft new-terminal MDP consultation closed 14 January 2026; airport said it was considering submissions and preparing the draft MDP

The approval status of the hotel and airfield upgrade does not establish that all elements of the terminal program have final approval. Perth Airport’s 9 June 2026 update named DXC Technology as Master Systems Integrator for the new terminal, with work covering design, integration, testing and commissioning of more than 70 information technology and operational systems. The airport said terminal facilities were scheduled to open in 2031; the appointment is a delivery update, not evidence that every approval is complete. (Perth Airport news and media releases)

The Western Australian Government’s 31 May 2024 announcement described a commercial agreement between Perth Airport and Qantas committing more than A$5 billion to a new Airport Central terminal, a parallel runway, two multi-storey car parks and an airport hotel. It said Qantas and Jetstar would move to the new terminal when it opened in 2031. That figure is the government’s announced agreement commitment, not a separately verified final cost for each project. (Government of Western Australia announcement)

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What growth does the airport forecast?

Perth Airport’s 2025 Master Plan materials compare FY24 baselines with FY46 projections. These are airport-published forecasts, not guaranteed outcomes or independently verified results. Passenger and employment forecasts give an indication of why the airport says it needs more capacity; they should not be read as certainty about future demand.

Measure FY24 baseline FY46 projection Qualification
Passengers 17.48 million 30.8 million annually Perth Airport forecast in its 2025 Master Plan materials
Aircraft movements 156,600 in the investment fact sheet; 160,800 in the executive summary 222,800 annually The two airport summaries give different FY24 baselines; the FY46 endpoint is the same in both
Domestic and international freight 138,000 tonnes 164,000–269,000 tonnes in the executive summary; “over 206,400 tonnes” in the investment fact sheet The plan materials present different forecast descriptions; the range reflects scenario variation, not one certain result
Aviation and non-aviation jobs supported in metropolitan Perth About 27,300 75,400 Airport-published estimate and forecast
Economic contribution A$6.6 billion to Western Australia’s Gross State Product A$17 billion to Perth metropolitan Gross Regional Product Different geographies and economic measures; not a like-for-like comparison

The airport also attributes A$2.8 billion in FY24 visitor spending with WA businesses, 29,730 jobs supported and A$4.9 billion contributed to Gross State Product to visitors passing through Perth Airport. Its FY46 tourism forecast is A$11.8 billion in Gross State Product, including A$8.7 billion in metropolitan Perth. These are airport-published estimates and projections, not outcomes that the construction program alone can guarantee. (Master Plan 2026 executive summary)

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What should construction and development watchers take from the plan?

The proposal combines airfield capacity, passenger-terminal consolidation and commercial estate development, but the projects should be tracked individually. For construction planning, the most useful distinction is between a master-plan milestone and an approved project plan: the airport has listed the hotel and airfield upgrade MDPs as approved, while the new-terminal draft MDP was still being prepared after consultation closed.

Perth Airport CEO Jason Waters called the program a “once in a generation construction program” in the airport’s 30 September 2025 announcement. That is the airport’s characterization; the practical test for readers is the status and delivery of each project, not the scale of the headline. (Perth Airport announcement, 30 September 2025)

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