New Galveston Cruise Terminal Projected to Generate $177M Economic Impact

The Port of Galveston is charting a bold course for economic expansion with the opening of its fourth cruise terminal this November. With projections of a $177 million financial boost, the island is gearing up for another banner year as a premier cruise hub in North America.

Joshua Hopkins

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Joshua Hopkins

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Apr 22, 2025

New Galveston Cruise Terminal Projected to Generate $177M Economic Impact

Galveston’s thriving cruise industry is on the verge of achieving another significant milestone this fall with the nearing completion of the island’s fourth passenger terminal—projected to generate an estimated $177 million in economic impact. Rodger Rees, CEO of the Port of Galveston, confirmed this week that the $156 million project at Pier 16 is set to open in November as scheduled.

The terminal, spanning 160,000 square feet, is a result of a public-private partnership with MSC Cruises and Norwegian Cruise Line. It will showcase contemporary passenger amenities, two specially designed boarding bridges, enhanced roadways, and more than 700 surface parking spaces. Rees announced that a parking garage with 1,600 spaces will be finished this month, made possible by expedited construction utilizing pre-cast concrete.

“Galveston is the sole cruise home port in Texas, catering to a significant portion of the central U.S.,” stated Rees. “Thanks to our prime location and robust partnerships with leading cruise lines, we have established ourselves as the fourth most popular cruise port in North America and the eighth busiest in the world.”

The project transforms two cargo buildings into a fully operational terminal equipped to accommodate mega-ships such as MSC’s Seascape and Norwegian’s Viva. This development comes on the heels of the recent expansions of Royal Caribbean’s Terminal 10 and Carnival’s Terminal 25, reinforcing Galveston’s position as an emerging center for international cruise travel.

In 2024, Galveston saw an impressive influx of 3.4 million cruise passengers through 380 sailings. Over one-third of travelers chose to prolong their visit to take in local attractions. According to Kimberly Danesi, CEO of the Galveston Park Board, the impact of tourism is significant and cannot be underestimated.

“With the opening of the last terminal, cruise traffic and spending more than doubled,” Danesi stated. “We anticipate a similar experience with Terminal 16—and we encourage passengers to discover all that Galveston has to offer before and after their journey.”

The new terminal, arriving just in time for the 2025 cruise season, signifies a significant advancement for Texas tourism and the growth of the Gulf Coast.

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