MONTEREY >> Hensel Phelps, a construction company headquartered in Greely, CO, has been selected to build the new replacement terminal at the Monterey Regional Airport, the airport district’s Board of Directors announced Monday.

The employee-owned Hensel Phelps was established in 1937, and says it plans, builds and manages a diverse range of domestic and international project types that encompass development, new construction and renovation and facilities management for a variety of project types, including aviation and transportation, among many others.

The hiring of the construction company to build the replacement passenger terminal, as part of the MRY Metamorphosis Safety Enhancement Program, is a milestone of the Monterey Peninsula Airport District which operates the Monterey Regional Airport.

“This step is the next in the lead-up to the beginning of construction of the new terminal building,” said Monterey Regional Airport Executive Director Mike La Pier. “We have already hired Otto Construction for the land-side improvements including the roundabout at Garden and Olmsted roads, as well as the circulation roads supporting the new terminal and the parking lots.”

La Pier said that work should begin soon, and added that the Board of Directors has also hired the joint venture firm of Granite Rock and Vanguard Construction to complete the new air-side infrastructure for the new building.

“Adding Hensel Phelps to the team for terminal construction completes the construction team,” he said.

Hensel Phelps will construct MRY’s approximately 62,000-square-foot replacement terminal building to include five passenger boarding bridges, according to the airport district board. This next phase of the MRY Metamorphosis, which includes multiple safety enhancement projects required by the Federal Aviation Administration, will continue to transform the airport.

The replacement passenger terminal was designed by the architectural firm HOK and incorporates passenger and public feedback received at visioning workshops held in 2023. The facility will be traveler-friendly, accessible for all and reflect the essence and diversity of the Monterey region, says the airport district. From the roadway to the boarding bridges, improved efficiencies will make the terminal easy to navigate, with ample room for seating, queuing and dining.

The Monterey Peninsula Airport District Board of Directors authorized La Pier to execute a contract for Hensel Phelps to deliver pre-construction services, including soliciting trade partners to obtain guaranteed maximum pricing.

“We are using a delivery method called Construction Manager as Constructor rather than the traditional design, bid, build method,” said La Pier. “Using this method allows us to bring all parties — contractor, architect and airport — together to review the design with an eye toward value engineering to help control costs. At the end of the value engineering process, the Constructor will provide us with a Guaranteed Maximum Price for the completion of the project.”

At a future airport district Board of Directors meeting, once all guaranteed maximum pricings have been completed, airport staff will deliver a contract amendment for the board to consider, which will include the total terminal construction project cost, currently estimated to be about $88 million.

Monterey Regional Airport Deputy Executive Director Chris Morello said the selection process was highly competitive with a total of four companies responding to the Request for Proposals and participating in the interviews.

Pre-construction services also include the opportunity for Hensel Phelps to review the HOK terminal design in detail and consider value engineering options to incorporate project savings, as well as determine a construction, procurement, and building delivery schedule.

HOK Group Inc. the design, architecture, engineering and urban planning firm out of St. Louis which was selected in 2022 by the Airport Board as the architect for the replacement terminal. The firm was founded in 1955 and has numerous award-winning airport designs under its belt.

La Pier said that both firms, HOK Group and Hensel Phelps, have worked together on previous terminal projects and are very familiar with one another.

“Both Hensel Phelps and HOK will be part of our team going forward and will work collaboratively as needed to address any questions during the value engineering and construction phase,” said La Pier.

The Monterey Regional Airport, Monterey County’s only commercial service airport, accommodates more than 600,000 passengers annually. It now provides nine nonstop markets with an average of 17 daily departures, including second daily nonstop flights added to three destinations — San Diego on Alaska Airlines, Dallas-Fort Worth on American Airlines, and Denver on United Airlines. The Monterey airport also offers seasonal nonstop service to Minneapolis-St. Paul on Sun Country Airlines and seasonal nonstop service to Burbank and Orange County on JSX.