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Royal Caribbean, Port of Galveston to Develop New $85 Million Cruise Terminal

Royal Caribbean Cruises Ltd. and the Port of Galveston have signed a Memorandum of Understanding to develop a new multi-million dollar cruise terminal at the nation's fourth-busiest cruise port.

According to Dallas News, the new terminal will cost around $85 million.

The new terminal— which will cover approximately 200,000 square feet on ten acres of land at Pier 10—is scheduled to open in fall 2021, the Port of Galveston announced in a Facebook post published Wednesday.

Improvements to the pier bulkhead and apron will be made to safely accommodate Royal Caribbean's largest vessels while a staging and loading area; bus and taxi staging areas and additional parking will be constructed.

The Port of Galveston said long-term lease negotiations could lead to a 60-year transaction comprised of a 20-year initial term and four 10-year options. Once complete, the new cruise terminal is expected to generate an additional one million passengers halfway through the term of the contract.

Royal Caribbean, Port of Galveston to Develop New $85 Million Cruise Terminal© Royal Caribbean International PHOTO: Royal Caribbean International's Oasis-class ships. (photo courtesy of Royal Caribbean International)

"This new cruise terminal to be built by Royal Caribbean allows the Port to continue investing in our infrastructure while growing our cruise business exponentially. This partnership will bring both larger class ships as well as more visitors to the City of Galveston and the region," said Port Director/CEO Rodger Rees in a statement. "This long-term lease agreement represents Royal Caribbean’s confidence in the Port of Galveston’s efficient cruise operations and the ability to attract passengers on its current and future sailings."

"Galveston is on course for being a global destination for cruising and we are thankful for partners like Royal Caribbean."

Royal Caribbean International President and CEO Michael Bayley said the company has brought more than 2.4 million passengers to Galveston in the last 15 years, "driving an economic impact of $65 million each year."

"The development of a new terminal is crucial to our continued growth and expansion of the brand in the region," Bayley said in a statement. "We look forward to continuing our outstanding relationship with the Port of Galveston and are excited about our plans for a state-of-the-art facility with a bold new design and technological advancements that will considerably enhance our guest experience."

Currently, two Royal Caribbean ships sail out of Galveston, including Liberty of the Seas and Vision of the Seas.

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