Leeds Bradford airport as won the green light for plans for an extension to the main terminal building.
Approval by Leeds City Council means that construction of the two/three storey extension could start next spring.
The development is Part of a plan which aims to see annual passenger numbers almost double from four million to seven million by 2030.
The terminal expansion is the biggest investment to date in the site by AMP Capital since it purchased the airport last in October.
The planning application was made on behalf of Leeds Bradford airport by Deloitte Real Estate.
The extension will provide improved arrivals, including larger immigration and baggage reclaim areas, improved departure gate facilities, additional retail and food and beverage outlets and additional seating.
Once the new building is completed by next winter, work will then start on re-modelling the existing terminal building to provide a new security central search area, enhanced check-in and a new retail and food and drink offerings.
The final phase will include the construction of a new pier, replacing the current passenger walkway with a two-storey structure, housing arrivals and ground level, and departures being processed at additional new boarding gates on the first floor.
Airport chief executive David Laws said: “This is fantastic news for the region’s passengers and the wider economy.
“With work scheduled to be complete in winter 2019-20 we are increasing peak-time capacity to deliver a first class passenger experience and create an airport Yorkshire can be proud of.
“This will allow us to attract a greater range of airlines and support route development, which in turn will deliver additional international destinations that our business and leisure passengers’ desire.”
Nolan Tucker, director at Deloitte Real Estate, planning consultant on the project, added: “This is the first in a series of future infrastructure projects which will improve access to the airport, helping to increase its capacity, deliver tangible return on investment and fuel future economic growth.”