Phoenix Sky Harbor International Airport has started work on a $326 million expansion of its Terminal 3 North 2 Concourse. The project will add six new gates, increasing the terminal’s capacity to 26 and relieving congestion at a facility that handles a quarter of the airport’s passenger traffic.

The 173,000-square-foot concourse will feature multiple levels, including passenger hold areas, public amenities, lounges, support services, and an outdoor terrace. A new elevated connector bridge will link the concourse to Terminal 3, with future provisions for a tunnel to Terminal 4. Passenger flow will be supported by elevators and moving walkways.

McCarthy Building Companies is leading construction, with HOK and DFDG Architecture serving as design partners. Demolition and site work began in April 2025, and the project is expected to be completed by 2027.

The expansion is part of the airport’s 20-year master plan and is designed to minimize disruption during construction. It will increase capacity for airlines and concessions, while creating jobs and supporting the region’s growing air traffic demand.