The Third Amendment will remove all space currently leased by United in Terminal 6 from the lease agreement with a corresponding reduction in the overall space occupied by United at LAX by 41,000 square feet to 48,543 square feet—depending upon construction variables and scheduling—with all remaining passenger operations being consolidated in Terminals 7 and 8. A corresponding reduction in lease revenue to LAWA of $6 million annually ($64 million vs. $58 million) will occur. However, since a portion of the Terminal 6 space is also occupied by American Airlines through a sublease with United, the lost revenue to LAWA from the changes to United Airlines’ lease will be recovered through a lease between LAWA (as the new Lessor) and American Airlines. All other provisions of the lease will remain unchanged. The proposed Amendment was approved by the Board of Airport Commissioners (Board) on November 3, 2016.

By modifying the United Airfines lease for Terminal 6 space, it will reduce the airline’s preferential use gates at LAX from 24 to 20 while retaining the terminal’s current lessee, American Airlines. Subsequent to the approval of the Third Amendment with United Airlines, a new lease with American Airlines for space in Terminal 6 will be negotiated and submitted to the Board for approval.
To align the airport’s leased spaces in a way that will best accommodate the planned airline relocations that are part of Delta Air Lines' move from Terminals 5 and 6 to Terminals 2 and 3, LAWA is removing United Airlines from the Terminal 6 lease while substituting the Department as Lessor to the remaining airlines, including American, Alaska Airlines, etc. Doing so will give LAWA more
flexibility to manage and adjust future lease spaces and tenant agreements.