An independent accounting firm has concluded that the cost of Denver International Airport’s Hotel and Transit Center was $579,424,814. That’s within the range estimated by the airport's risk assessment.
The Hotel and Transit Center includes the 519-room Westin Denver International Airport hotel, a 37,500-sq-ft conference center, an 82,000-sq-ft, open-air plaza and a train station that serves the Regional Transportation District's University of Colorado A Line commuter rail to downtown Denver.
In 2014, at the request of Denver Mayor Michael Hancock, DIA completed a comprehensive risk assessment on the project that concluded the final costs of the Hotel and Transit Center could be 5% to 10% over the contracted budget of $544 million that DIA had outlined in 2013.
The $579.4 million identified by the report is 6.49% above the contracted budget and therefore within the projected range of the risk assessment, according to DIA officials.
During the four-year construction program, Colorado saw a strong economic recovery that led to higher costs for materials and labor. Additionally, some unforeseen items and the need to meet RTD’s schedule contributed to the cost increases.
The airport says it currently has $3.8 million remaining in the program’s contingency budget for final closeout items that will be spread across the various program elements through the end of 2016.
“All of us at Denver International Airport are incredibly proud to have delivered a truly unique hotel and transit center that has elevated our place on the world map and created a stunning new front door to the Mile High City for tens of millions of passengers each year,” said airport CEO Kim Day in a statement.
“We worked diligently to control costs and ended up with a project well within the estimated range of our risk assessment. The capital investments we have made—without using taxpayer dollars—will only boost the airport’s economic importance to all of Colorado and help ensure Denver remains competitive in the evolving global aviation market,” she said.