YVR Airport & Sea Island Developments Discussion

[whatnext]

Tamara Vrooman, currently CEO of Vancity, will be taking over from Craig Richmond as CEO of YVR on July 1:

https://biv.com/article/2020/05/tamara-vrooman-be-president-and-ceo-vancouver-international-airport

[Waders]

Yes, construction has stopped for YVR expansion projects.

As additional terminal capacity is not needed today and for the foreseeable future, YVR has just suspended ongoing construction and implementation work of its $9.1 billion, 20-year expansion and improvement project.

The first components of this project include the suspension of the construction of the parkade expansion, new geoexchange and central utilities building, and the major Pier D expansion of the international terminal building.

The terminal building expansion — adding eight new gates and new retail, food, and amenities — was to reach completion in June 2020. That is no longer the case, with construction before the pandemic supporting 2,000 jobs on-site and another 2,000 jobs off-site.

Moreover, most recently, the airport improvement fee (AIF) collected from every passenger raised about $172 million annually for YVR to fund new construction and renovations. But for now, with highly unstable passenger traffic volumes, it can no longer count on the AIF to raise a majority of the funding required for airport improvements.

Source

[VancouverOfTheFuture]

i cant believe they even stopped const. with it being done in June. it must be like 98% complete at this point. why not just finish it? it really cant be that much of a cost savings, can it?

[Waders]

Originally Posted by VancouverOfTheFuture

i cant believe they even stopped const. with it being done in June. it must be like 98% complete at this point. why not just finish it? it really cant be that much of a cost savings, can it?

Just 3 more months of construction before completion. Photo of Pier D Terminal on March 2, 2020.


Source

[s211]

Originally Posted by VancouverOfTheFuture

i cant believe they even stopped const. with it being done in June. it must be like 98% complete at this point. why not just finish it? it really cant be that much of a cost savings, can it?

Cashflow management, I'd hazard.

[deasine]

Off memory, I understand that the decision to stop construction was for Health and Safety and not initially for cashflow. Whether or not now cashflow plays a role now is a different story.

[thenoflyzone]

Interesting, considering Quebec - and Montreal in particular - is the hardest hit region in the country ref. COVID, and yet most major projects at YUL are slowly resuming. REM, Runway 06L/24R reconstruction, and new P4 parking. The only project on hold is the departure ramp reconstruction and the extension of the multi-level car park.

To be fair though, REM isn't an ADM project per se.

So for YVR to discontinue a project that is over 90% complete is odd, to say the least. Aren't they also the first major airport to announce layoffs ? Considering the uptick in all the cargo traffic, it's not like they aren't getting any revenue. Moreso than YUL, anyways.

Has management taken pay cuts before announcing layoffs?

[libtard]

Originally Posted by thenoflyzone

Interesting, considering Quebec - and Montreal in particular - is the hardest hit region in the country ref. COVID, and yet most major projects at YUL are slowly resuming. REM, Runway 06L/24R reconstruction, and new P4 parking. The only project on hold is the departure ramp reconstruction and the extension of the multi-level car park.

To be fair though, REM isn't an ADM project per se.

So for YVR to discontinue a project that is over 90% complete is odd, to say the least. Aren't they also the first major airport to announce layoffs ? Considering the uptick in all the cargo traffic, it's not like they aren't getting any revenue. Moreso than YUL, anyways.

Has management taken pay cuts before announcing layoffs?

YVR thought the good times would never end

[nname]

Originally Posted by deasine

Off memory, I understand that the decision to stop construction was for Health and Safety and not initially for cashflow. Whether or not now cashflow plays a role now is a different story.

Probably the same reason why Canada Line underground station were all built with 50m platform, but some station only have 40m opened. To save in operating cost?

Layoff is also for reducing operating cost?

But then once the terminal expansion is really needed, it wouldn't take long to just finish it off and can be put in service almost immediately?

[trofirhen]

Originally Posted by libtard

YVR thought the good times would never end

Yes, true, and ending they are. That said, a parallel affliction awaits airports the world over. Although the impact will vary from airport to airport, nobody is escaping this unscathed.

[Marshal]

Originally Posted by moosejaw

Sure you can
Plenty of my projects are being out on hold
There’s always language in any contract that protects at least one or more parties. Usually the end user with a fair payout to the general contractor for costs incurred to put the project on hold

Yes. Typical and standard in the industry. There are always 'outs' balanced with compensations, penalties, etc.. In all proper contracts and contract law, there are accommodations for major disruptions beyond a party's control in which there is a legal/financial remedy, or the application of a judicial suspension, potentially even without compensation. Contracts must always benefit both parties. If conditions resulting from extra contractual events cause one party to lose its ability (without fault) to fulfill its responsibilities, or a party loses the possibility of providing fair compensation, the contract can be nullified.

Hopefully that's clear, because it can get incredibly muddier than that.

[Johnny Aussie]

Another busy night... Currently 17 intl heavies to/from YVR.

Another QR on its way. MU operating two flights today one to SHE (77W) and one to PVG (332). HU also operating two to PEK and PVG again (becoming quite common), CZ operating both ways to/from CAN. AC has five incl HKG, PVG, SYD and LHR. CI and NH also on their way back to their home bases... etc.
Throw in JL, CX, MF and BR all in the air now... YVR still seeing a lot of variety.

[Johnny Aussie]

And now we have 4 Cargojet 763s heading to NRT from YVR. Never seen that many at once on this route.

[zahav]

I am pretty sure YVR will want to complete Pier D, it is really close and so many items are already finished off site and waiting to be installed (ie. signage). Being cautious with or cancelling future plans makes sense, or even the parkade. But leaving the Pier D expansion like this seems odd. I work with PCL on lots of projects including this one, so will ask them what's the deal

[whatnext]

Just curious, is it true that China’s airlines are allowed to transport pax between China and Canada, yet Air Canada is not?

[Hourglass]

Originally Posted by whatnext

Just curious, is it true that China’s airlines are allowed to transport pax between China and Canada, yet Air Canada is not?

Where did you hear that whatnext? Reference Johnny’s post earlier. AC had a flight from PVG.

With mandatory quarantine on both sides, demand is going to be rough both ways. If AC doesn’t need to, they’re probably not going to be flying. No clue about the Chinese carriers. The situation is brutal for airlines. I was stuck in Singapore trying to get to Hong Kong in April, and SQ had 2 passenger flights scheduled. In a one month period.

[Johnny Aussie]

Originally Posted by Hourglass

Where did you hear that whatnext? Reference Johnny’s post earlier. AC had a flight from PVG.

With mandatory quarantine on both sides, demand is going to be rough both ways. If AC doesn’t need to, they’re probably not going to be flying. No clue about the Chinese carriers. The situation is brutal for airlines. I was stuck in Singapore trying to get to Hong Kong in April, and SQ had 2 passenger flights scheduled. In a one month period.

The only problem is most flights aren’t carrying passengers at the moment. It’s impossible to tell unless you go to booking engines and see which flights are accepting bookings. If a flight is sold out though it may not show up anyway. Most of AC’s transpacific flights are cargo only. Some HKG and ICN flights are carrying passengers though. Those with the normal flight numbers.
And despite what is being forecast for flight resumptions, most continue to be pushed out further. Some routes have already been pushed out for months but some are scheduled to commence earlier. However, the reality won’t be known until almost the week before flight. Example is what is “published” in Airlineroute.net... despite their attempt at publishing future schedules the reality is usually much different. Why I’m not posting these updates... so much uncertainty still.
Look what Westjet has been doing...

[Hourglass]

Originally Posted by Johnny Aussie

The only problem is most flights aren’t carrying passengers at the moment. It’s impossible to tell unless you go to booking engines and see which flights are accepting bookings. If a flight is sold out though it may not show up anyway. Most of AC’s transpacific flights are cargo only. Some HKG and ICN flights are carrying passengers though. Those with the normal flight numbers.
And despite what is being forecast for flight resumptions, most continue to be pushed out further. Some routes have already been pushed out for months but some are scheduled to commence earlier. However, the reality won’t be known until almost the week before flight. Example is what is “published” in Airlineroute.net... despite their attempt at publishing future schedules the reality is usually much different. Why I’m not posting these updates... so much uncertainty still.
Look what Westjet has been doing...

Yes, great point.

There seem to be some signs of life in forward planning as early as next month, but it will depend on how and when markets open back up. No one wants to fly and spend 14 days in quarantine and then fly back and spend another 14 days in isolation.

Isn’t there discussion going on about setting up a “safe” travel corridor between Australia & NZ right now?

[Johnny Aussie]

Originally Posted by Hourglass

Yes, great point.

There seem to be some signs of life in forward planning as early as next month, but it will depend on how and when markets open back up. No one wants to fly and spend 14 days in quarantine and then fly back and spend another 14 days in isolation.

Isn’t there discussion going on about setting up a “safe” travel corridor between Australia & NZ right now?

Yes there is. However, that would be months away. A lot of variables involved.

[nname]

Originally Posted by whatnext

Just curious, is it true that China’s airlines are allowed to transport pax between China and Canada, yet Air Canada is not?

True.

And the reason is that, China only allow any airline to operate 1x weekly flight for 1 route per country, out of all routes they operated back in March. Since Air Canada did not operate any route in March, they are not allowed for passenger flight at the moment.

Similarly, Beijing Capital airlines does not operate to Canada during March, so they have no passenger right at this moment.

However, there is no limit for cargo flight up to the frequency limit defined in the bilateral (was it something like 67x weekly?)

Originally Posted by Johnny Aussie

Another busy night... Currently 17 intl heavies to/from YVR.

Another QR on its way. MU operating two flights today one to SHE (77W) and one to PVG (332). HU also operating two to PEK and PVG again (becoming quite common), CZ operating both ways to/from CAN. AC has five incl HKG, PVG, SYD and LHR. CI and NH also on their way back to their home bases... etc.
Throw in JL, CX, MF and BR all in the air now... YVR still seeing a lot of variety.

That one is actually a repatriation flight.

MU7054 YVR-SHE

There will be quite a few repatriation flights all over the world back to China from now until at least the end of the month, mainly due to the scarcity of seats due to the imposed limit...