Aviation real estate generally refers to the physical assets located inside the fence around an airfield, where land is finite and inherently constrained. The category includes hangars, terminals, ramps, aircraft parking, and storage or office space, as well as fixed-base operations, or FBOs.
The category’s appeal lies in its combination of embedded scarcity, durable long-term demand, operational upside with the right team and, in the case of FBOs, a fragmented landscape dominated by noninstitutional ownership.
Aviation real estate sits at the intersection of real estate and infrastructure, as an asset class composed of physical real estate that generally generates rent and requires operational expertise, while also sharing many attractive infrastructure attributes, such as highly durable and predictable demand. It is a uniquely differentiated real estate asset class because of its ability to drive significant net operating income (NOI), growth and value through oper
