Hangar Leases at Regional Airports
Thread Starter
Hangar Leases at Regional Airports
I'm interested to hear what terms of lease hangar owners have been signed to, or are in negotiation for, or are being offered upon renewal.
At our airport, hangar leases were originally for 20 yrs, with an option for another 20. Hangar 'owners' have recently been advised that the owner, (a City), has received legal opinion that this arrangement is 'unlawful' and that the owners will not necessarily offer any set term of lease upon renewal. There has been some comment that this might mean the hangar site being:
(1) offered for renewal by tender to any interested party, or,
(2) offered to the incumbent for a significantly shorter term, or,
(3) offered to the incumbent for a shorter term, and at a significantly higher lease rate per sq. metre than the original lease.
As more local governments begin to see their airport as an income source, and less as a public 'good', it seems we are going to be squeezed tighter to remain there.
Interested in what's happening elsewhere,
happy days,
At our airport, hangar leases were originally for 20 yrs, with an option for another 20. Hangar 'owners' have recently been advised that the owner, (a City), has received legal opinion that this arrangement is 'unlawful' and that the owners will not necessarily offer any set term of lease upon renewal. There has been some comment that this might mean the hangar site being:
(1) offered for renewal by tender to any interested party, or,
(2) offered to the incumbent for a significantly shorter term, or,
(3) offered to the incumbent for a shorter term, and at a significantly higher lease rate per sq. metre than the original lease.
As more local governments begin to see their airport as an income source, and less as a public 'good', it seems we are going to be squeezed tighter to remain there.
Interested in what's happening elsewhere,
happy days,
No info on rural leasing but it would have to be a wild card with Goulburn City putting up their whole airport for sale.
Join Date: Nov 2006
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There does seem to have been some changes of late (maybe state legislation???) about leasing from local govt. We've just had to tender for a new lease on the premises that our business has been in since about 1968. And what a total rooster up it was. We began the process in May last year and were told to expect that it would all be sorted out in 6 weeks. What a joke. It finally all came through in Nov.
We wanted a 20 + 20 lease, but had to settle on a 5 + 5 + 5.
By my experience local govt is the single greatest impediment to progress that I have ever encountered, and I've delt with more than one sh!tty (oops sorry - typo
) council in the past 20 years.
We wanted a 20 + 20 lease, but had to settle on a 5 + 5 + 5.
By my experience local govt is the single greatest impediment to progress that I have ever encountered, and I've delt with more than one sh!tty (oops sorry - typo
) council in the past 20 years.
"Hangar" leases, or hangar "SITE" leases?
There's a big difference.
We lease sites, but own the hangars. Sometimes, the council thinks they own the hangars!, and we need to keep correcting them.
There's a big difference.
We lease sites, but own the hangars. Sometimes, the council thinks they own the hangars!, and we need to keep correcting them.
