PIA matches two owners to share one aircraft and pairs them to an aircraft manager. Owners fly their aircraft, on their schedule at half the cost of traditional private aviation options, said the company. “We have owners across the country interested in bringing on a co-owner to share their aircraft and split the cost,” said Mark Molloy, president, PIA. “The programme, PIA Managed Co-Ownership, allows non-owner candidates to skip the waiting process and get into a new or used aircraft immediately. Because our clients typically fly 100 hours per year, both owners can fly all their trips – at half the cost.”

Launched in 2016, PIA Managed Co-Ownership plan matches co-owner candidates in the same region and provides the legal framework that allows two owners to securely share one aircraft. The programme is said to appeal to users flying 50-150 hours per year who prefer ownership to membership. And it complies with the requirements of FAA and Inland Revenue Service (IRS). Clients can enter the programme as current owners looking to sell half their aircraft or non-owners seeking a 50% interest in an aircraft. The company offers co-ownership opportunities in every turbine category, from turboprop and light jets to mid, super mid, and heavy jets and works with major OEMs.

Simon Elliott, a Florida resident and experienced aircraft owner, did not consider co-ownership when he  ordered his 2023 Praetor 600 two years ago. But Elliott reconsidered when his adviser suggested the PIA  programme. “Initially I was reluctant, but their legal team and structure made me comfortable with the model and I liked the math,” said Elliot. “I could choose my pilots and manager, which was crucial to me, and the co-owner they introduced me to is a great fit. I now have the aircraft I ordered at half the original cost.”

Another jet owner who tried the PIA co-ownership programme is Bruce Bonafiglia, a former Challenger 350 owner based in New York, who now co-owns a new Challenger 3500. “The programme made sense based on our limited usage, and PIA introduced me to a wonderful co-owner,” said Bonafiglia. “I’ve owned several aircraft and appreciate the value-proposition of splitting the capital and operating costs.”

It took several years for PIA’s client base to reach scale, acknowledges Molloy. “But we now have matches flying coast-to-coast and vetted co-owner candidates ready to be matched in every region of the country.” he said.

Most PIA clients come from membership and jet-card programmes, he added. “They are ready to move beyond their current membership programme but aren’t flying enough to justify whole ownership. The economics of co-ownership just makes sense to them,” said Molloy.

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“Bradley International Airport and Hudson Valley Regional are among the best-managed airports in the United States, and serve the country’s top business aviation market. Sky Harbour is honoured to be joining the BDL and POU community and is committed to maximizing the long-term benefits of a Sky Harbour campus to Connecticut, Dutchess County, and the New York metro area,” said Tal Keinan, CEO, Sky Harbour.

The company said it has entered into two ground leases with the Connecticut Airport Authority, Duchess County (NY) to develop eight acres at the Bradley International Airport (BDL) and seven acres Hudson Valley Regional Airport (POU).

“These campuses will offer the … home base … to house New York and Connecticut area’s corporate and privately-owned business jets in private hangars, with line-services dedicated exclusively to based tenants,” according to a statement issued by the company.  

The two new developments in New York join the company’s campuses now operating at Houston’s Sugar Land Regional Airport (SGR), Nashville International Airport (BNA), and Miami Opa-Locka Executive Airport (OPF); campuses under construction at Denver Centennial Airport (APA), Phoenix Deer Valley Airport (DVT), Dallas Addison Airport (ADS), and Chicago Executive Airport (PWK).

Update on ongoing projects

Sharing the progress update on the ongoing projects, the company said it is planning to update its SH16C prototype – the hangar design used to construct Sky Harbour’s campuses.

The company said it will be fortifying certain structural elements of the prototype in order to enhance stability, safety, and standardization.

“As Sky Harbour’s Denver (APA) and Phoenix (DVT) campuses have already gone vertical, both will be retrofitted with additional Pre-Engineered Metal Building (PEMB) components in order to achieve the same structural effect. The cost of this retrofit is projected to be approximately $3.2m at DVT and $2m at APA. The additional work is expected to extend the completion date at DVT from March 2024 to June 2024, and at APA from June 2024 to August 2024. As vertical construction at Sky Harbour’s Dallas (ADS) campus has not yet begun, the company anticipates significantly lower budget impact at that campus, albeit a similar schedule delay,” said the company.

It further added that all subsequent campuses, including Chicago (PWK), Hudson Valley (POU), Bradley (BDL), Miami (OPF) phase 2, Phoenix (DVT) phase 2, and Denver (APA) phase 2, will be planned and constructed in accordance with the enhanced SH16C and (future) SH34 designs.

The company currently operates three campuses at Houston (SGR), Nashville (BNA) and Miami (OPF).

In its recent earnings call, the company said that it is fully funded for 12 development projects and intends to execute 50 projects in the coming years.

The company recently announced successful fund raise of almost $60m in a deal with Altai Capital and others. Sky Harbour is eyeing another $200m in debt for development of 2.4m square feet of hangars.

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Jet.Ai listed by merging with Oxbridge Acquisition Corp, a Special Purpose Acquisition Company (SPAC) becoming the second business jet services company listed in New York. A few blocks across Manhattan, Wheels Up and its advisers – investment bank Jefferies and law firm Kirkland & Ellis – were busy trying to secure the future of the first. Last Wednesday they announced a deal that brings in $500m of debt for 95% of the company.

Wheels Up’s listing in 2021 gave its large institutional investors a chance to free up their investments. Jet.AI’s gave its crowd funders a chance to do the same thing. “The driving force behind the SPAC deal was to bring liquidity to our 32,000 investors and to allow the company enhanced access to capital for growth,” says Winston.

Jet.Ai is more of a software company than a business jet operator. It has a fleet of four HondaJets and also has five Challenger 3500s on order. Winston says it uses these to inform its software business. It tries not to own the aircraft by selling fractional shares and they are all operated by Las Vegas operator Cirrus Aviation.

It definitely has some innovative technology. A few weeks ago, it soft-launched CharterGPT, which allows customers to book charter using artificial intelligence. It also has a new product to help operators off-set carbon emissions and one that automatically prices yields for diverting empty legs.

With Flight Club it wants to allow operators to sell shared flights. “The software sends the booking and files to the DOT [Department of Transportation] automatically and then you have to set up an escrow which we help with. Once you have done that you can sell by the seat,” says Winston. Jet.AI has already used this working with Cirrus Aviation and the Vegas Golden Knights ice hockey team. It is also planning to offer technology allowing small operators to create their own jet cards.

Unlike Wheels Up, Winston does not want to buy operators and consolidate business aviation. He wants to help the 2,350 Part 135 charter operators in the US use technology to become more efficient. Especially the 80% who have fewer than 10 aircraft. The listing is about raising money to fund this technology. The merger between Jet.AI and the SPAC was originally valued at $45m, but Jet.AI’s first week has been tough. It listed at $10 a share. They were trading at $4 before the market opened today.

Wheels Up also listed at $10. Despite its ticker symbol of UP, on Friday it was $1.45. This is up $0.45 after Delta Air Lines and a fund run by Certares and Knighthead agreed to lend $500m to Wheels Up. Wheels Up will issue new stock to the three giving them 95% of the company. The CK Opportunities Fund 1 will lend $400m, with Delta providing a $100m loan.

The investors hope that this $500m – and the $151m in cash it had at the end of June – will be enough to get it to 2024 when it hopes to be cash flow positive – and have a positive adjusted EBITDA.

The three investors are happy with these projections. Certares focuses on investing in travel and hospitality and Knighthead has a strong restructuring focus. Together they took car hire firm Hertz Global Holdings out of bankruptcy in 2021.

Delta and Ed Bastian, its highly regarded CEO, are committed to Wheels Up. They already owned 20% after merging Delta Private Jets with the company in 2020. Bastian believes that in the long-term Delta will have a big advantage in being able to sell private aviation to its customers. This is not a new theory for the airline. It launched Delta AirElite in 1984 and expanded this in 2010 when it acquired Seagrave Aviation from Jim Seagrave. (He is working on taking flyExclusive, his next company, public). Bastian believes Wheels Up is the best way for his airline to access business aviation.

“The partnership will create new opportunities for Wheels Up to drive strategic, operational and financial improvements for its customers in the months and years ahead,” said Bastian this week. “Delta’s unmatched expertise in premium travel, customer loyalty, corporate sales, operational reliability and aircraft maintenance, combined with Certares’ and Knighthead’s experience and global reach, are expected to speed Wheels Up on its path to profitability.”

Dan Janki, Delta’s CFO, has been appointed chair of Wheels Up.

Bastian is also a huge supporter of Kenny Dichter, Wheels Up’s founder, who stepped down as CEO in May but is still a strategic adviser to the company. “I would like to extend my sincere gratitude to Kenny Dichter, the visionary founder behind Wheels Up, for building the Wheels Up brand into a powerhouse in private aviation,” said Bastian this week. You could easily see Dichter coming back to Wheels Up with a more formal role – especially when growth becomes the focus again.

If Bastian’s bets are right: that Delta, Certares and Knighthead can get the company to profit by the end of next year and drive profits at his airline, you can expect to see other major carriers invest in business aviation. He will have secured his legacy as one of the greatest airline CEOs ever.

The bell for round two in Wheels Up’s stockmarket history has just rung.

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XO reports a 26% surge in mobile app downloads Q1 YOY — travellers can book an entire jet almost anywhere in the world, anytime, or a single seat on a shared flight, in seconds just by reaching for a mobile device.

In the last month, the XO mobile app reported a 34% surge in searches for flights to Aspen — from all over the world — highlighting a growing interest in Aspen as a year-round destination. In response to this increasing demand, XO is expanding how travelers can fly to and from Aspen.

Starting from June 15th and extending through Labor Day, XO is offering three round-trip shared flights per week between New York and Aspen on a Gulfstream G400. Each aircraft is outfitted with 14 captain’s chair seats — starting at $2,995. XO Members enjoy the benefits of priority access and earn up to 4% in loyalty credit with every flight.

Lynn Fischer, chief marketing officer at XO: “Our Members recognise XO for the value and superior end-to-end experience we provide. By combining unique data intelligence, technology-driven solutions, and distinctive 24/7 service, we can meet the needs of every private aviation flyer.”

As the private aviation industry continues to evolve, XO is constantly trying to enhance the travel experience and redefine what is possible for its clients.

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The new terminals will be based at Miami’s Opa-Locka Executive Airport (KOPF), Montana’s Bozeman Yellowstone International Airport (KBZN) and Arizona’s Scottsdale Airport (KSDL).

“More people than ever are electing to travel by private aircraft,” said Megan Wolf, chief experience officer, Flexjet. “This increase in traffic means the large general aviation FBOs in popular departure and arrival points are more hectic than in the past. Flexjet’s owners-only lounges offer comfort and amenities to ease the transition from the jet to your final destination.”

The Miami terminal is expected to be the first to open and will include amenities such as a bar and café, modern conference rooms and dedicated concierges. It will also serve as the seasonal hub for the firm’s South Florida helicopter service, which Flexjet says is an industry first. The helicopter division was launched to provide last-mile transport for owners of Flexjet aircraft travelling from airports to final destinations.

Eli Flint, president, Helicopter Division, Flexjet said: “Industrywide, there has been little integrated connection yet between fixed-wing operations and urban air mobility. A journey isn’t just from one airport to another, it should go beyond that to enable a passenger to access off-airport destinations, or even airports too small for jets.”

He added: “Flexjet’s innovative helicopter service will provide a complementary step that will save travellers time and add convenience.”

Once completed, the new terminals will bring the company’s tally of private terminals to eight across the US. The other five are located at: Naples Airport in Florida (KAPF), New Jersey’s Teterboro Airport (KTEB), Westchester County Airport in White Plains, New York (KHPN), Dallas Love Field, Texas (KDAL) (pictured) and Van Nuys Airport in Los Angeles, California (KVNY).

There has recently been an influx of capital to the industry, with Cogent Bank expanding into the jet financing industry with Business Aviation Vertical earlier this month. Kenn Ricci, the owner of Flexjet, spoke about how new business capital is reshaping business aviation at Corporate Jet Investor Miami 2022.

Ricci is speaking at Corporate Jet Investor London 2023.

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Williams Boos, 55, is alleged to have stolen more than $3m from a consulting firm, over $1m from an international art gallery and $63,000 from a television journalist between December 2017 and December 2020.

Manhattan District Attorney Alvin Bragg confirmed Boos is charged with two counts of Grand Larceny in the First Degree, one count of Grand Larceny in the Second Degree, two counts of Criminal Possession of a Forged Instrument in the Second Degree and 32 counts of Criminal Possession of a Forged Instrument in the Third Degree.

“Boos thought he could fly above the law, allegedly using his clients’ American Express cards without authorisation to siphon off millions for himself,” said Bragg. “But now, thanks to the hard work of my office, he’s landed in hot water. New Yorkers deserve to book air travel without worrying about falling victim to theft and criminal fraud.”

According to court documents and statements made on the record, Boos charged an international consulting firm, with a Manhattan office, millions of dollars for flights its employees did not take between December 2017 and May 2018. He had a business relationship with the firm and access to one of its American Express credit accounts to charge it for legitimate private charter flights. It is alleged by the DA, Boos took advantage of this relationship and charged the firm’s credit card more than $3m, without its knowledge, for flights never requested or taken.

The defendant also allegedly stole more than $1m from an art gallery, again with a Manhattan office, which he had provided private air travel services. Typically, the gallery paid Direct Airway (of which Boos is president) directly for its trips via wire transfers. But, in September 2019, unknown to the art gallery, Boos used its American Express account information to pay for the flights that he had booked for the art gallery — as well as for some of his other unrelated customers. 

The gallery noticed the unauthorised travel charges and contacted Boos, he claimed that the charges had been made in error and assured the gallery would receive refunds. Boos then sent 24 forged documents purporting to show refunds to the American Express account. 

Boos also reportedly stole more than $63,000 from a Manhattan-based television journalist in December 2020 for a roundtrip flight. Boos sent two forged contracts purportedly signed by the journalist to the aircraft provider he brokered for the flight. In those contracts, it is alleged, Boos provided the journalist’s American Express credit card information without their knowledge. 

Although the journalist paid Boos for the flights by wiring funds directly to Direct Airway, Boos did not send this money to the aircraft provider. The provider charged the journalist’s American Express credit card account instead, resulting in the journalist being billed twice for the same flights. When confronted, Boos blamed the charter flight provider and sent forged letters purportedly issued by it apologising for the error. He also sent the journalist’s PA forged documents purporting to show refunds to their American Express account in the amounts of the unauthorised charges.

The investigation into BOOS and his company, Direct Airway, began after American Express notified the Manhattan DA’s office about the suspicious activity.

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Sean McGeough, vice president and head of Airbus Corporate Jets North America, said: “The US business aviation sector is the biggest in the world, and it is growing, in the first six months of 2022, the number of business aviation departures in the US was 15.2% higher than during the same period in 2019.”

McGeough told Corporate Jet Investor (CJI): “Many flight departments and fractional ownership card holders I have spoken to have already exceeded their flight allocation for the year. You will continue to see year-over-year growth in private jet travel never seen before.”

McGeough attributed this increase in demand to the lifestyle changes arising from the global pandemic: “People want to meet face-to-face and thus there was a drastic increase in the number of passengers flying privately for the first time,” he told CJI, “Customers re-evaluated values brought by business aviation, such as privacy, sanitary benefits to avoid crowded airports [and] freedom of schedule.” Also the big reduction in scheduled commercial flights – particularly among regional carriers – had also boosted the number of new entrants for private jet aviation.

Heavy or long-range jets accounted for 37.5% of the US fleet, with light jets totalling 36.5%, midsize 20.5% and very light jets at 5.5%.

“Because of the huge size of the US and its importance on the global stage, over one-third of private jets registered in the country are categorised as heavy or ultra-long range, which is where we focus,” said McGeough.

The Airbus research also revealed the three states with the largest private jet fleets are Texas, Florida and California with 1,651, 1,619 and 1,431 private jets respectively. Heavy jets accounted for 33.9%, 44.2% and 50.6% of each state’s fleet.

Houston was named as the US city with the largest private jet fleet of 329 aircraft. That was followed by Dallas with 327 jets, Fort Lauderdale with 307, Van Nuys with 273 and Miami with 229 private jets.

Meanwhile, McGeough told CJI that most of the ultra-long range (ULR) aircraft are operated within the US or to South America or Europe, flying for only a small part of the 17 hours duration. “Data shows in 2019 that only 1.4% of all the ULR aircraft based in the US fly further than 5,500 nautical miles,” he said. “This is another reason why the ACJ Two Twenty has such a strong value proposition at 5,650 nm intercontinental range, whereas other aircraft have range capacities that are well underutilised.

US private jet market – at a glance

• 14,632 private jets in the US, about 62.5% of the world’s fleet
• 5% are categorised as heavy or long-range, 36.5% as light, 20.5% as midsize and 5.5% as very light jets
• Texas has the most with 1,651, followed by Florida (1,619), California (1,431), New York (487) and Georgia (439) 

Source: Airbus.

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As chief operations officer of the European Business Aviation Association (EBAA), Baltus was responding to plans from France’s minister delegate for Transport Clément Beaune to ban or restrict the use of private jets in France.

It would be easy to dismiss such plans as bitter fruit – the populist politics of envy. But that would be to dismiss genuine concerns about the use of private jets in Europe and North America. In May restrictions were proposed on private jet arrivals at East Hampton Airport, New York. There was even talk of banning larger private jets. Previously a ban, or punitive taxes, were suggested on private jet landings in Massachusetts.

Canada has gone a step further. The country is adding a 10% tax on the purchases of luxury aircraft, cars and boats from next month.

The motivation behind such suggestions is easy to discover. Take for example, Kylie Jenner’s much-criticised 17-minute, 40-mile flight in the Los Angeles area. Setting aside whether this was a repositioning flight (that would have taken place regardless of its celebrity passenger), such flights focus real concern about the environmental impact of private flights, in particular, and aviation in general.

Baltus’ letter to us opposing the proposed ban represents a master class in marshalling careful and well-considered arguments in favour of private jet aviation. “Bullying the smallest segment of the aviation sector representing 0.04% of the global CO2 emissions because it’s an easy target and the crowd demands a sacrifice won’t solve anything,” he wrote to us. “On the contrary, it will further deteriorate European economies and the lives of the citizens we serve and employ.”

France has a great aviation and technology heritage with great business aviation manufacturers like Dassault, Daher, Airbus and Airbus Helicopters, Baltus wrote. “These companies are developing the sustainable aviation of tomorrow through all types of technological improvements such as SAF, electric aircraft, etc.” Private aviation like the airlines have pledged to achieve carbon neutrality by 2050. Plus in Europe alone aviation generates €87bn ($86.98bn) of economic output in Europe and about 400,000 highly skilled jobs.

Such arguments have already won support from many respondents to CJI’s social media platforms. Charles Pace, director for Civil Aviation at Transport Malta vented the frustration of many respondents. Ian Petts, head of Yachting & Aviation at Equiom Group, spoke for many with the comment: “Great to see our industry mobilising against these vote-buying populist politicians who have not done their homework.”

Meanwhile, perhaps we can find inspiration in Woody Guthrie’s 1940 hit tune Worried Man Blues. “It takes a worried man to sing worried song,” crooned Guthrie.
“I’m worried now but I won’t be worried long.” That might just be true for private jet aviation – if the sector can find a united and compelling voice to answer its many, and increasingly, vocal critics.

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Gulfstream’s Manhattan Sales and Design Center serves one of the world’s busiest business-aviation regions. The space features dynamic digital tools and thousands of material samples that help launch the customisation and personalisation of every Gulfstream aircraft.

“At Gulfstream, we continuously strive to elevate the customer experience,” said Mark Burns, president, Gulfstream. “Establishing a customer-focused space in New York City, an international business hub, complements our significant worldwide footprint and better positions us to support our customers in Manhattan, whether they are based in the region or visiting from around the world.”

The Gulfstream Manhattan Sales and Design Center features a nearly 20-foot/6-meter power wall with digital design and aircraft cabin layout selection capabilities. Customers will also have access to real-time seat configurators paired with a physical seating display to see and feel seat architecture and comfort options. The facility also enables an external paint configurator, wireless streaming of Gulfstream-developed mobile applications and leading video conferencing technology.

The Manhattan Sales and Design Center is staffed by Gulfstream Sales executives and Gulfstream interior designers. Gulfstream also has sales and design centers in London, Savannah, Dallas and Long Beach, California.

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