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Page 18B—

COLORADO REAL ESTATE JOURNAL

— June 17-June 30, 2015

B

y 2022, China will

have more than 630

million middle-class

citizens, spending $3.4 trillion

annually according to Dominic

Martin for The Diplomat. As

China opens its doors for out-

of-country travel by its citizens,

airlines are gearing up for

one of the greatest tourist

waves ever recorded. Bigger

airplanes, greater attention to

the “customer experience,” new

signage to direct international

passengers, and increased

language fluency from airline

personnel will be engaged in

the coming competition for new

flyers.

Each year, Denver

International Airport executes

a strategic marketing plan

focusing on particular airlines

that, in DIA’s estimation, are

a good fit to provide service.

When evaluating new service

from DIA, here are a few facts

and myths to consider:

1. China doesn’t fit into

Colorado’s current economic

strategy, despite the fact

that DIA also don’t have a

nonstop flight to Shanghai

or Beijing. Colorado is not

a major manufacturing state

and doesn’t have a seaport for

exports. While many Chinese

will soon enter the middle class,

economically, we are better off

pursuing them as tourists than

as investors.

2. Coloradans want

nonstop flights to Paris.

So does the Metro Denver

EDC. The problem remains

that developing business

relationships with French

companies has been a challenge

over the past 30 years. Our

inability to establish strong

business ties with France didn’t

stop concerns about the lack of

nonstop flight to Paris. So, when

Icelandair announced plans to

open a new flight from Denver,

our region saw opportunity.

Icelandair flies to Reykjavik

daily, but also connects to 18

European locations, including

Paris.

3. Hub-to-hub flights work

best for passengers and air

carriers alike. The Star Alliance,

of which United Airlines is

a member, helps member

airlines maximize schedules,

share revenue, and increase

efficiencies. DIA’s attraction

efforts pursue Star Alliance

members as the first choice

for new routes. DIA is a

great connecting hub for all

airlines, but particularly so for

nonstop international flights.

Forty percent of DIA traffic

is comprised of origin and

destination passengers.

4. DIA focuses its energy

on existing carriers: British

Airways’ success at DIA, along

with United, Lufthansa,

Icelandair, Air Canada,

Frontier, and Volaris. British

Airways, a member of the One

World Alliance, is particularly

important because the UK is

Colorado’s largest international

flight market. United is

crucial because its Tokyo flight

connects Colorado to Asia.

5. Lufthansa’s Frankfurt flight

is one of the airline’s most

profitable routes, with Colorado

passengers connecting across

Central Europe through this

important gateway. A nonstop

flight to Munich failed when oil

prices reached $140 a barrel a

decade ago, but DIA continues

its efforts to reinstate this flight.

But why does our region

still pursue new international

flights? Because we have

been doing it from the very

beginning of Denver City. In the

1800s, if a city didn’t have a port

– a river or an ocean – it was

destined to be a second-tier city.

The absence of a port gave

rise to the Denver Board

of Trade’s creation, raising

$300,000 to build a rail spur

to Cheyenne, Wyoming,

connecting the Front Range to

the Transcontinental Railroad,

and securing the region’s

economic future for over 150

years.

Since that auspicious

beginning, the Denver Metro

Chamber of Commerce and

its economic development

affiliates such as the Metro

Denver Economic Development

Corp. have pursued ports.

The minutes of one Chamber

board meeting in the early

1900s alluded to connecting

the Atlantic and Pacific oceans

through Denver with a rail link

to Galveston, Texas, at the Gulf

of Mexico. In the 20th century,

Phil Anschutz’s purchase of

the ATSF and Southern Pacific

railroads finally accomplished

this long-sought goal,

connecting the two oceans with

one continuous rail line.

In the 1930s, Denver Mayor

Ben Stapleton saw commercial

aviation as our port. Ridiculed

for his purchase of land from

his cousin at Rattlesnake Gulch,

Stapleton was exonerated in

the 1970s when Stapleton

International became one of the

10 busiest airports in the nation.

DIA originally was planned

as a connecting hub. Planners

estimated that 40 percent of

passengers would be origination

and destination (O&D) with

60 percent connecting through

DIA. But DIA’s impact on the

region’s economy turned that

projection, literally, 180 degrees.

Access to the entire nation, and

eventually the globe, grew the

Colorado economy dramatically

in the 1990s, resulting in

DIA becoming a 60 percent

O&D market and 40 percent

connecting passengers.

As we celebrate DIA’s 20th

anniversary, we realize that

while we take great pride in our

beloved airport, soon to connect

to downtown by rail, that we are

part of an ongoing narrative

of reaching to new markets by

creating our own ports. With

capacity for 12 runways (DIA

has six runways today), our

future as a great port appears

safe for another century, and

ready to receive a whole new

group of global tourists eager

to spend time in our beautiful

state. And, with Lockheed

Martin and United Launch

Alliance’s successful launch of

Orion last December, we seem

to be positioning ourselves

to play a significant role for

another port – Mars.

Why We Need International Nonstop Flights

MetroDenver EconomicDevelopmentCorp.

Tom Clark

CEO, Metro Denver Economic

Development Corporation