ConDig (21-Jul-17). The Port Authority of New York and New Jersey’s Board of Commissioners have given the green light to a lease agreement with Delta Air Lines Inc for its new $4 billion terminal at New York’s LaGuardia Airport.

The Port Authority confirmed that it has committed a fixed amount of no more than $600 million to the Delta project, with the airline providing $3.4 billion and assuming responsibility for any cost overruns.

The cash injection from the Port Authority will cover the cost of a new electrical substation, parking expansion, new roadways and additional supporting infrastructure.

The project, which forms part of the overall LaGuardia Airport revamp, is set to start later this summer after and is expected to be substantially completed by 2026.

It involves building a new facility, which will be located closer to the Grand Central Parkway, that features 37 flexibly sized gates that can accommodate Delta’s full fleet, four concourses connected by a centralized check-in lobby, security checkpoints and baggage claim areas.

Enhanced taxiways on the airfield will also improve plane maneuverability, which is expected to increase the efficiency of aircraft moving to and from runways in a bid to reduce delays.

“With the approval of Delta’s new lease at LaGuardia Airport, we are now looking forward to breaking ground on our historic state-of-the-art facility later this summer,” said Delta Airlines ceo Ed Bastian.

“This is an important step forward for our customers and employees at one of our most important hubs and builds on years of Delta’s investment in New York.”