© Southwest

Southwest Airlines is preparing to open its first airport lounges, marking another significant step in the transformation of one of America’s best-known low-cost carriers.

The airline plans to open its first four lounges at Austin-Bergstrom International Airport, Baltimore/Washington International Airport, Honolulu’s Daniel K. Inouye International Airport and Nashville International Airport. Construction is already under way, with the first guests expected to be welcomed from late 2027.

Further locations are expected to follow, eventually creating a network of at least 11 Southwest lounges.

On its own, an airline opening several lounges might not appear particularly remarkable. For Southwest, however, it represents something much bigger. Lounges, assigned seating, extra-legroom products and a new premium credit card all point towards an airline moving away from the simple, largely egalitarian model that once distinguished it from its rivals.

© Southwest

What will Southwest’s lounges offer?

Southwest says its lounges will reflect the destinations in which they are located, with locally inspired food, drinks and design.

The initial facilities are expected to range from approximately 13,000 to 30,000 square feet. The larger spaces could help Southwest avoid some of the overcrowding problems that have affected established airline and credit card lounges across the United States.

They are expected to offer chef-inspired food, signature bars and other premium amenities, positioning them closer to the lounges operated by major network airlines and credit card companies than to a basic domestic waiting area.

Southwest is developing the network in partnership with JPMorgan Chase. Access will initially be linked to a new premium Southwest Rapid Rewards credit card, due to launch in 2027. The airline is also considering other ways to enter, potentially including memberships and day passes, although the final arrangements have not yet been confirmed.

© Southwest

Why these four airports?

Southwest has not started with the obvious major premium markets of New York or Los Angeles. Instead, its first lounges will appear at airports where the airline already has a substantial presence and a strong base of loyal passengers.

Baltimore is one of Southwest’s most important airports and a major connecting point within its network. Nashville and Austin are both growing markets with significant leisure and business demand, while Honolulu gives the airline a lounge in one of its most distinctive destinations.

The choices suggest that Southwest is initially targeting its own frequent flyers rather than attempting to attract passengers at airports dominated by other airlines.

They also give the carrier an opportunity to test how passengers use the lounges before committing to more expensive locations at some of America’s largest airports.

© Southwest

Southwest is changing far beyond the airport lounge

For decades, Southwest built its reputation around simplicity. Passengers did not receive an assigned seat. Boarding position determined when they entered the aircraft, and travellers chose from whatever seats remained available.

That system became an important part of the airline’s identity, even if it divided opinion among passengers.

Southwest has now moved to assigned seating and introduced extra-legroom options, allowing it to charge more for particular parts of the cabin. Its expanding relationship with Chase will also give the airline another way to generate revenue through premium credit cards and travel benefits.

The introduction of lounges takes that strategy beyond the aircraft. Instead of offering broadly the same experience to everyone, Southwest is creating a more visible divide between passengers willing to pay for additional comfort and those buying its most basic product.

It is a model already used by the large US network carriers, where status, cabin, fare type and credit card membership can significantly change the airport experience.

Is Southwest still a low-cost airline?

Southwest can still be described as a low-cost carrier in terms of its operating model. It primarily operates one aircraft family, focuses heavily on domestic and short-haul flying and does not currently offer the traditional multi-cabin experience found on American Airlines, Delta Air Lines or United Airlines.

However, the passenger proposition is becoming harder to distinguish from that of its larger rivals.

A lounge network does not automatically turn Southwest into a full-service airline. Ryanair, easyJet and other low-cost carriers use airport lounges through third-party partnerships without changing their underlying business models. The difference is that Southwest is building its own branded facilities while simultaneously adding assigned seating, extra-legroom products and premium credit card benefits.

The airline is therefore not abandoning the low-cost model entirely. It is creating a more layered version of it, with a basic product at the bottom and an increasing number of paid upgrades above it.

© Southwest

Why airlines are chasing premium passengers

Southwest is not alone in looking towards higher-spending travellers.

Across the industry, airlines are adding more premium seats, expanding lounges and strengthening credit card partnerships. These products can generate valuable revenue while encouraging customers to remain loyal to one airline or rewards programme.

A premium credit card is particularly attractive because it can earn money from customers even when they are not flying. Linking lounge access to that card gives frequent travellers a reason to apply for it and continue spending on it.

The challenge for Southwest will be introducing these benefits without losing the simplicity and personality that made it different. If every useful feature becomes an upgrade or credit card perk, passengers may begin to compare the airline directly with competitors offering larger networks, international partnerships and established premium cabins.

The Flight Edit verdict

Southwest is still a low-cost airline, but it is no longer content to offer a purely low-cost experience. Its first lounges could be a welcome improvement for frequent travellers, particularly at airports where the carrier has a large presence. Yet they also confirm that the old Southwest, built around an unusually simple and shared passenger experience, is disappearing.

The real test will be whether the airline can attract premium customers without making its basic product feel increasingly stripped back.

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