Construction Officially Underway for Galveston’s 4th Cruise Terminal
Port, MSC Cruises Debut Cruise Terminal 16 Looks
Construction is underway at the Port of Galveston to convert an existing cargo warehouse into the port’s fourth cruise terminal. The $151 million cruise complex at Pier 16 will include a 165,000-square-foot terminal and a $55 million parking garage. The terminal will be home to MSC Seascape when it opens in November 2025.
Galveston Wharves celebrated the construction start on Aug. 20 at a ceremony with executives from MSC Cruises and the Cruise Lines International Association (“CLIA”), elected officials, community leaders and other port partners.
During the ceremony, Rodger Rees, Galveston Wharves port director and CEO, and Rick Sasso, MSC Cruises U.S. chairman, drew back a curtain to debut a large-scale rendering of the terminal complex with MSC Seascape docked alongside to applause from a crowd of more than 150.
“We have so much to celebrate today with this milestone and what it means to our community, cruise guests and port partners. This beautiful new terminal will generate jobs and economic growth for the region, an exciting new cruise choice for our market, and growth opportunities for our port partners," Rees said.
“We also want to take this opportunity to give a warm, Texas welcome to MSC Cruises, the world’s third largest cruise line. Having a cruise line of this stature homeporting in Galveston says a great deal about our position in the U.S. and global cruise markets.”
With the opening of the fourth terminal, Rees added that he expects the port to reach more than 2 million passengers a year beginning in 2026, which would be a new milestone in Galveston’s 24 years as a cruise home port.
During his comments, Sasso said, “The groundbreaking for Cruise Terminal 16 marks a significant milestone in MSC Cruises’ ongoing U.S. expansion. Adding Galveston as our fourth homeport will make it even easier for travelers from the central and western parts of the country to enjoy our distinctive mix of European style and American comfort.
“This state-of-the-art terminal will set the tone for a memorable cruise experience. We are thrilled to work closely with the Galveston Wharves to shape the future of cruising in Texas, delivering extraordinary vacations and unforgettable moments aboard the beautiful and modern MSC Seascape.”
Vic Pierson, Galveston Wharves Board of Trustees chairman, praised his fellow board members and previous board members.
“Making major capital projects like this cruise terminal a reality takes vision and courage. This terminal is possible thanks to my fellow board members and the previous board members who implemented the port’s bold 20-Year Strategic Master Plan.”
Jason Park, with the Cruise Lines International Association, commented, “We are thrilled about breaking ground on this new, state-of-the-art terminal, a direct result of the successful, ongoing collaboration between the Port of Galveston, policymakers, and the cruise industry. The addition of this new terminal will significantly enhance our collective ability to serve cruise guests and reinforces Galveston’s status as a premier cruise destination. We eagerly anticipate continuing our partnership with the port, which benefits both cruise travelers and Galveston residents.”
Park is the cruise line trade association’s senior vice president of Government Affairs and managing director of North America.
‘A Game-Changer for the Community’
U.S. Congressman Randy Weber told the crowd at the groundbreaking ceremony: “I’m thrilled about the groundbreaking of our fourth cruise terminal at the Port of Galveston. This kind of investment is a game-changer for our community, and it’s all thanks to Rodger Rees. His leadership is putting Galveston on the map as a top cruise destination and keeping our port bustling with activity. I will continue to fight for our ports in Congress to ensure they get the support they deserve.”
Building on Weber’s remarks, Galveston Mayor Craig Brown said, “The city of Galveston is so appreciative of the Wharves Board (of Trustees), Rodger Rees, and the port staff for their expert management and success of the Port of Galveston. This new cruise terminal is a shining example of enhancements to our port that benefit our residents and visitors alike.”
State leaders Senator Mayes Middleton and Rep. Terri Leo Wilson also commented on what this growth means to the region and the state.
Rep. Leo Wilson said, "The new cruise terminal at Pier 16 symbolizes not just the growth of our port, but the limitless potential of Galveston. As we embark on this exciting journey, we are investing in our community’s future, creating opportunities and welcoming the world to our shores."
Gina Spagnola, Galveston Regional Chamber of Commerce president and CEO, added, “The economic impact of homeporting extends far beyond the port. Local retailers, suppliers, hotels, restaurants, and entertainment venues all thrive on the continuous influx of cruise passengers and crew members. This growth is driving the expansion of small businesses, boosting our regional economy, and creating thousands of jobs.”
Regional Economic Benefits
The local impact of the port’s 2022 cruise activity included 3,500 jobs, $568 million in local business revenue, and $73.5 million in local purchases by passengers and crew. The fourth cruise terminal is forecast to generate an additional 925 jobs and $177 million in local business revenue annually.
The city of Galveston will benefit directly with passenger fees and sales tax revenues from cruise parking.
Rees added that, according to the port’s 2019 board-approved 20-Year Strategic Master Plan, the fourth cruise terminal was not anticipated to be needed until 2031.
“We’re able to begin this new project now due to cruise market demand and because Del Monte Fresh Produce Co., a long-standing cargo tenant, outgrew its facilities in Galveston. We are happy to see that Del Monte was able to relocate 30 miles to the south in Freeport, thus retaining its regional economic impact. We leveraged this opportunity based on the unprecedented popularity of the cruise industry and our optimal location in the central part of the United States,” Rees said.