Qantas to invest AUD 100 million to enhance its domestic, international lounges

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Qantas lounges
The project features four brand new lounges, including a new flagship First Lounge at London’s Heathrow Airport, and an extensive upgrade programme of existing international and domestic lounges. Picture by Qantas.

(TAN): Qantas will significantly enhance its network of lounges in Australia and overseas. The AUD 100-million (USD 68.3 million) investment features four brand new lounges, including a new flagship First Lounge at London’s Heathrow Airport, and an extensive upgrade programme of existing international and domestic lounges, Qantas said in a news release.

These include:

  • New First Lounge at London’s Heathrow Airport
  • Re-opening of a refreshed Hong Kong International Lounge
  • Complete refurbishment and expansion of International Business Lounge in Sydney
  • Updated and expanded International Business Lounge in Melbourne
  • New Hobart Qantas Club
  • New Broome Regional Lounge with double the seats

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This is the single biggest investment in the Qantas lounge network in more than a decade and comes as the airline expands its domestic and international routes and starts to take delivery of next-generation aircraft. The AUD 100-million investment in Qantas lounges is phased over three years and is included in the group’s existing capital expenditure forecast.

The national carrier has an extensive lounge network, including 42 in Australia (12 of which are in regional destinations) and nine overseas.

Qantas Group CEO Alan Joyce said the faster-than-expected recovery in travel demand meant the airline could accelerate investment in its award-winning lounge network. “Being back in profit means we’re back to making long-term investments for our customers. That started with the major aircraft order we announced last year and now we’re building on that with a major investment in our lounges,” said Joyce. “Millions of people a year visit our lounges and they are typically our frequent flyers who travel with us the most, so anything we do to improve them is a way of saying thank you to our most loyal customers.

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“We have three new and upgraded lounge spaces due to open this year and the pipeline we’re announcing today will take us through to 2025. London is one of the most important destinations on our network and it’s the perfect location for a First Lounge, especially with our direct Project Sunrise flights on the way. Heathrow is one of the world’s busiest airports so we’re very pleased to be working with them to secure a great space in the terminal for an additional lounge,” Joyce said.

Subject to agreement with Heathrow Airport and UK regulators, the luxury London First Lounge is expected to feature direct access to boarding gates, sweeping views of the airfield, a focus on wellbeing features, and a great dining experience. The targeted opening date will align with the first Project Sunrise flights direct to Sydney.

The Qantas global lounge upgrade programme includes:

LONDON FIRST LOUNGE
Construction of a brand new flagship First Lounge at London’s Heathrow Airport to align with the launch of Project Sunrise direct flights between the UK and the east coast of Australia.  The First Lounge will operate alongside the current International Lounge, which will become a dedicated International Business Lounge. It is expected to open in late 2025.

HONG KONG INTERNATIONAL LOUNGE
Reopening of the Qantas Hong Kong International Lounge that was closed and vacated during the pandemic. The lounge is currently undergoing a refresh and the new and improved lounge will open in April 2023.

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MELBOURNE INTERNATIONAL BUSINESS LOUNGE
Proposed redevelopment of existing Qantas Business Class Lounge at Melbourne International Airport featuring an expanded footprint which will increase capacity by up to 30 per cent to accommodate future passenger growth. It will include a full internal refresh and a new signature food and beverage concept. Work will be carried out in stages from late 2023, targeting stage one opening in mid-2024.

SYDNEY INTERNATIONAL BUSINESS LOUNGE
Redevelopment of existing Business Class Lounge at Sydney International Airport (as previously announced but paused due to the pandemic) pending confirmation of Sydney Airport terminal upgrade plans. Proposal for a full redesign and rebuild from scratch that will increase capacity by 40% to more than 600 seats.  Work is estimated to commence early 2024 with completion of stage one estimated by early 2025.

HOBART QANTAS CLUB
Proposed relocation into a brand new Hobart Qantas Club with larger premises in line with the overall terminal redevelopment. Targeting a 50% increase in capacity from 96 to approximately 150 seats.

BROOME REGIONAL LOUNGE
Construction of a brand new regional lounge to open in 2024 that will double the capacity of existing lounge from 49 to approximately 100 seats.

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