Billionaire hotel owner makes unexpected move to manage Heathrow airport's expansion project
Competing Proposals for Heathrow's Third Runway
In an unprecedented move, the government has welcomed proposals from rival bidders, including The Arora Group, for managing Heathrow's long-awaited third runway expansion. This decision marks the first time Heathrow’s expansion has been opened to outside operators, with the hope that competition will yield more efficient and cost-effective solutions.
The Arora Group, led by billionaire hotel tycoon Surinder Arora, has teamed up with aviation project juggernauts Bechtel and design firm Scott Brownrigg to develop a proposal named 'Heathrow West'. This plan promises a cost-efficient solution for the controversial expansion, with a shorter 2,800m runway compared to the planned 3,500m runway by Heathrow Airport.
Heathrow Airport’s own management team, or Heathrow's top brass, is also planning to submit a proposal. Their plan features a full-length 3,500m third runway, which includes a £1 billion plan to reroute the M25 motorway through a tunnel beneath the southern end of the runway. This ensures the runway meets the international standard length, maximizing the airport’s traffic capacity and economic benefits.
The Arora Group's proposal would accommodate aircraft of all sizes, while some experts question whether the shorter runway can handle the largest planes. The shorter runway avoids the need to reroute the M25, reducing complexity and environmental disruption. The Arora Group's plan aims to keep construction costs and timelines more manageable, offering a less disruptive alternative to Heathrow’s own plan.
The Arora Group has expressed a commitment to delivering economic growth at the UK's only hub airport on-budget and on-time. Surinder Arora, the billionaire behind the Heathrow West proposal, has expressed satisfaction with the government's decision to invite proposals from all interested parties, rather than granting exclusivity to the current airport operator.
Arora's proposal includes a new, modernized Terminal 6 located to the west of the existing Terminal 5. The group has claimed that its proposal would still deliver benefits for airlines, passengers, and cargo. However, critics claim that the truncated runway would not deliver the same economic and operational benefits as the full-length runway.
Heathrow management is set to present its expansion plan on Thursday, marking the first phase of a potential corporate battle. The Arora Group will submit its proposal to manage Heathrow’s multibillion-pound third runway expansion, adding another point to the long-standing dispute between Arora’s hotel group and Heathrow’s management.
The government endorsed the Heathrow expansion in January as part of a series of infrastructure projects. The bidding process is expected to lead to a decision by the end of 2023, with the aim of starting construction in 2025.
- The Arora Group's proposal, in collaboration with Bechtel and Scott Brownrigg, aims to offer a cost-efficient solution for Heathrow's third runway expansion by presenting a shorter 2,800m runway compared to the planned 3,500m runway by Heathrow Airport.
- The Arora Group's plan to accommodate aircraft of all sizes is under scrutiny, as some experts question whether the shorter runway can handle the largest planes effectively.
- In the bid for Heathrow's third runway expansion, Surinder Arora, the billionaire behind the Heathrow West proposal, has expressed that his group's commitment to economic growth includes delivering the project on-budget and on-time within the UK's only hub airport.
