$32 Million into IAH Stores Expansion

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United Invests $32 Million into IAH Stores Expansion

30 January 2024

HOUSTON / IAH: United Airlines is planning to expand its Stores operation in Houston, which, when completed, will be the largest Stores facility at the airline. The deal was approved at a City Council meeting on January 11.

Herve Lavenant, United's Managing Director for Logistic Services, said that the new distribution center is integral to the airline's growth strategy. The deal includes a commitment of $32.6 million for property upgrades, $5.4 million for enhancements in personal property, and the creation of job opportunities in the surrounding area.

The plan would see United acquire a massive 500,000-square-foot, 41-acre facility that will handle warehousing and stores operations at Bush Intercontinental Airport and 100 new flights systemwide. According to Stores Committeeman Satchel Thorpe, the airline currently employs about 300 Storekeepers at IAH. The expansion will require an additional 150 employees, bringing the total number of Storekeepers at IAH to 400.

This center, which United is calling a “Global Distribution Hub,” will play a critical role in managing inventory and providing resources for pilots and terminal operations globally.

United has said wages at the facility will average $64,000 a year, which amounts to roughly $30 an hour.

The move comes as the airline is announcing plans to add 40 new domestic flights at IAH, including the resumption of nonstop service between Houston and Ontario and a new service to Fairbanks, Alaska. In total, United is planning to add more than 100 new flights to destinations in the United States and Canada. The Canadian routes will include cities like Calgary, Vancouver, and Halifax. The new routes will be added to various stations across the United network. Over the summer, United expects to have more US-Canada routes than any other US-based carrier.

In a press release, United Senior Vice President Patrick Quayle said that the idea was to streamline the travel process in a way that would allow passengers to stay on United flights and not make multiple connections with airline partners like Air Canada. Service to locations such as Tampa. Miami, Boston, and Charleston are also planned. United’s presence in the Canadian market has grown by 70% since Air Canada’s partnership expanded in 2022.

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