Just before Thanksgiving, President Obama signed the Small Airplane Revitalization Act into law. This means big changes for the FAA, which will be required to reform certification regulations by Dec. 31, 2015.
The required changes will affect Part 23 general aviation airplanes — that is, most light civil aircraft weighing less than 12,500 pounds. The new act means that Part 23 regulations, which are decades old, will need to be rewritten. There will also be additions to Part 21, which covers aircraft parts, among other things.
The new certification regulations are intended to benefit airplane safety and reduce certification costs. Under the law, the FAA needs to create consensus-based, design-specific standards. The new standards will not be based on existing aircraft weight and propulsion type method like the current regulations, but instead on aircraft and systems-specific parameters. These new standards should speed up adoption of new aircraft designs and lower costs overall.
Kansas Congressman Mike Pompeo, who authored the bill, is thrilled with the progress that has been made. “This is an enormous achievement for general aviation across the nation,” Pompeo said in a press release on his website. “By reforming and modernizing these regulations, this law unleashes small airplane manufacturers to do what they do best: Build airplanes and get them in the air.”
Pompeo is far from the only one who is excited to see the act put into law. “This law is a win for the government as well as general aviation airframers and suppliers,” Pete Bunce, president and CEO of the General Aviation Manufacturers Association (GAMA), said in the same press release. “But more importantly, for the general aviation pilots and passengers who will be able to benefit more rapidly from new safety-enhancing technologies.”
Insiders are sure that the law will benefit everyone, from manufacturers to pilots to passengers. Judging by the fact that the act passed both the Senate and the House unanimously this past fall, it looks like just about everyone is excited to see how the new certification regulations can streamline the aircraft business and improve safety and cost.
There are pros and cons to buying any new or used aircraft. There are obvious advantages to buying a new plane —the latest avionics and safety features, a warranty, and that new plane smell, to name a few. But those pros are offset by a couple of big downsides: the cost and long wait time.
To sidestep those shortcomings and take advantage of current market conditions, many potential buyers are considering pre-owned jets. However, fears of incomplete logs, unknown previous owners, potential repairs, aging components, and a lack of bells and whistles make some would-be buyers nervous. But all of these potential downsides can be avoided by working with an experienced jet broker.
A knowledgeable broker eliminates the risks involved with purchasing a pre-owned jet by providing you with access to jets that have a known history with complete logs, maintenance records, and information about the previous owners.
The time is right
And the timing couldn’t be better for talking with a broker about purchasing a pre-owned jet. Since the financial crisis of 2008, the value of previously owned business jets has been declining. Before that time, there was a large push to order new aircraft. Then the economy began to tighten and many of those lightly used aircraft went on the market, leading to a current surplus of undervalued pre-owned jets.
Now is the time to take advantage of this robust used jet market. Buyers today have an opportunity to purchase any variety of pre-owned jets at a great value, but it isn’t likely to stay this way for long.
More jet buyers are entering the market as commercial travel becomes increasingly cumbersome and international demand for private jet ownership grows. As the interest in used jets continues to rise, the supply of pre-owned aircraft will be stretched thin and costs will go up.
The reality is that potential private aircraft buyers are already recognizing the great value offered by previously owned planes. Many older model airplanes are undervalued, despite the fact that they still have long lives and offer great performance.
Unbeatable value, limitless potential
One large appeal to used aircraft is the customization factor. A used jet easily can be modernized and customized to fit the buyer’s needs and budget — either all at once or over time. Improvements range from relatively inexpensive after-market products to full overhauls.
Quick ways to personalize a secondhand aircraft include updating the paint, recovering seats and headrests, and installing a new windshield. And technology upgrades can convert a used plane into a high-tech aircraft that rivals new models. Adding features like a speech-recognition system, cutting-edge avionics, and LED lighting will modernize any aircraft.
A private jet is always a crowd pleaser no matter the size, age, or price tag. But for the value, a pre-owned jet is a great option. Talk to the brokers at L & L International today — their expertise can guide you to the right pre-owned jet at the right price.
Contact L & L International if you need assistance in purchasing or selling a private jet. You can reach our sales specialists today at sales@L-Lint.com, call us any time at 877-453-8276 (+1.305.754.3313), or visit us online.
If you’re already thinking about how to start the New Year, you’re not alone. On top of spending more time with family and friends, many of us are putting the following right at the top of our 2014 business resolution list:
- Reach out to new customers and expand our company’s reach
January is the perfect time to make these things happen, and a business jet can help you check all of these items off of your list:
- Save time and reduce stress. Commercial air travel is time consuming and frustrating. With your own jet, there’s no more arriving to the airport hours early just to strip down in security lines or deal with cancelled or delayed flights. Private air travel gets you in the air and on the way quickly, dependably, and without hassle.
- Grow your business. Flying commercially tethers you to a handful of locations and strict time schedules. With a corporate jet, the globe is your office. You can make business connections like never before and meet new customers in hard-to-reach places when your schedule permits. Having the ability to build relationships on a personal, face-to-face basis is priceless.
- Make travel time work double time. Corporate jets boast comfort and technology features that are far above what you’ll find in the commercial airline industry. Your jet can act as a second office to ensure that you stay productive en route — meaning you’ll boost productivity and still be home in time for the weekend.
Plus, a private jet can be the right investment if spending more time with family and friends is a top priority. A jet allows you to take control of your travel schedule, and because you can fly directly to your destination — even to multiple destinations a day — it means you’re better able to plan for time outside of work.
There are a number of investment options from sole ownership to fractional ownership to charters and more, and an experienced jet broker can help you identify the ideal jet and financial setup for your situation. The right jet can ensure your company’s success and make your New Year’s resolutions a reality in 2014 and beyond!
Looking for the perfect (and packable!) gift for your jet-setting friends and family? Check out these unusual, stylish, and useful stocking stuffers for the upcoming holiday season:
- Stay sharp for meetings around the globe with this travel shoe shine kit. It’s sophisticated and stylish and contains everything a traveler needs to keep their shoes polished and looking good.
- To stay cozy in cool aircraft cabins, give your traveler a cashmere throw. This premium cashmere throw is lightweight but delivers sumptuous all-over warmth, and you can find it in your friend’s favorite color.
- For the photographer on the go, try a real-time image editing camera from Olympus. With a 3-inch color LCD touchscreen, you can adjust color balance, brightness, and depth of field and immediately view your changes.
- The Frank Lloyd Wright floor globe is a great gift for architecture aficionados. This nifty floor globe was a concept intended for one of Wright’s Prairie Homes. It exhibits classic form-follows-function principles, strong horizontal lines, and simple geometric forms — all hallmarks of the Prairie School movement.
- Beautifully machined and constructed, we recommend these self-retaining cufflinks from HollenWolff. They’re ideal for the guy who normally doesn’t wear cufflinks. They’re turned from solid bars of steel and are brilliantly engineered with a push-button lock mechanism.
- You may think your pals would be less-than-thrilled to receive socks in their stockings, but these aren’t just any socks — they’re cashmere ribbed socks by Paul Stuart. These warm socks in playful designs make them an ideal stocking stuffer for the practical and stylish traveler.
Any one of these goodies would make a great last-minute gift purchase — or, you could consider getting all of them! That way you’d have an excuse to get something swanky for yourself to help you deliver all of your packages in style, like this Oak & Eddon bag by Libero Ferrero.
Happy shopping — and happy holidays!
Aside from telling the world your brand is successful and stylish, customizing your business jet may be just what you need to set yourself apart. Branding your jet is much like branding your website or your corporate office space, and it has the same effect: It sends a message. What message do you want to send?
“We’re stylish.” Perhaps your jet could use an exterior paint job to up your flashiness-factor upon arrival. Consider Prada: The fashion house is synonymous with the color black, so it’s no surprise that the company’s business jet — a Gulfstream G450 — is detailed with an all-over matte black.
“We’re detail-oriented.” When Donald Trump purchased Microsoft cofounder Paul Allen’s Boeing 757, he dropped another $100,000 to refurbish it to his gold standard of detail. According to a video tour by Amanda Miller, Trump’s assistant, the main cabin features all-leather sleeper seats adorned with the Trump family crest, 24-karat gold plated seat belts, and personal A/V systems. For business clients, showing your attention to detail can make a sale. If you want to come across as thoroughly meticulous, consider putting some capital into your jet’s interior fixtures.
“We take security seriously.” If your business takes you into dangerous areas or you’re flying someone high-profile, investing in tech-savvy gadgetry will set you apart. Look at Air Force One. While Air Force One is the call sign of any aircraft carrying the president of the United States, the actual Air Force One is one of two custom Boeing 747-200B series aircraft. Each plane has 4,000 square feet of floor space on three levels including a Presidential suite and quarters for the President’s senior advisors, Secret Service, and the press. Air Force One planes include secure communications systems, magnetic pulse-proof electronics, and the ability to refuel in-flight.
“We want total brand commitment.” Show the world your company is in it to win it! Splurging on an overhaul to make your jet’s interior, exterior, and hangar a flying reflection of your company will certainly make others stand up and take notice. Take Nike for example. Regardless of which Nike aircraft is in flight or on the ground, there’s no mistaking its owner. The company’s Gulfstream G550 is even painted to look like a sneaker, with the underside of the wings painted like the sole of the training shoes and the Nike ‘swoosh’ on the tail. And the customization doesn’t end there: The tail number (N1972N) contains the year that Nike was first incorporated. This jet, along with the company’s other branded aircraft, is housed in the customized Nike Air Hangar designed by TVA Architects, Inc.
When you’re ready to find the perfect jet to fit your message, talk with the expert jet brokers at L&L International. We’ll help you find a new jet or customize a pre-owned aircraft to fit your needs, your brand, and your message.
When most people think of flipping, houses come to mind. But lately the term has started to apply to aircraft. The demand for one aircraft in particular — the Gulfstream G650 — has caused a few sellers to part with this sought-after aircraft for profits between $5 and $10 million per flip.
The G650 is the must-have plane for billionaires, including Ralph Lauren and Oprah Winfrey, who have lined up to place their orders. Exactly why is this jet such a hot item? It’s Gulfstream’s flagship aircraft and it’s succeeded in creating a new category of ultra-long-range business jets. The G650 is capable of comfortably transporting up to 18 passengers, making it the king of the large cabin private jets with a range of well over 7,000 miles and a maximum speed of Mach 0.925.
It’s also very scarce — just around 30 jets have been delivered since its launch — despite the strong demand. In fact, current demand is so high that a buyer who hands over a $5+ million deposit and signs a contract today won’t see their G650 until the third quarter of 2017. Some people simply don’t want to wait this long, even if that means paying above market value for any G650 that comes up for sale.
One of the most recent examples of aircraft flipping was the sale of a 2013 Gulfstream G650 owned by Fabiana Flosi, the wife of Bernie Ecclestone, president and CEO of Formula One racing. She acquired the jet in July and sold it in September. The 2013 list price for a G650 is $64.5 million, but Ecclestone and Flosi paid less. They sold it to Vichai Srivaddhanaprabha, a Thai businessman and the owner of the UK’s Leicester City Football Club, for $72 million.
Although flipping aircraft was popular in the years leading up to the economic crash of 2008, it hasn’t been as common in recent years. Still, the recent Gulfstream sales have made some wonder if aircraft flipping is coming back in vogue. Most likely, the answer is no: G650s are rare, and Gulfstream has rules in place to discourage the practice. There are now anti-speculation clauses in its contracts that prevent placing orders for aircraft simply for the purpose of selling (or flipping) them. Gulfstream contracts state that if a customer who has ordered an aircraft attempts to sell it before delivery, the manufacturer has the right to withdraw warranties thereby reducing the aircraft’s value by millions. Of course, once an aircraft is delivered, the owner is welcome to do with it as they will.
Plus, the fact remains that the G650 is an incredible aircraft, and many who get their hands on one won’t be so quick to let it fly off into the sunset — no matter how much profit they stand to make!
As we get ready to celebrate Thanksgiving, we wanted to stop and reflect on a few things that make L&L and the private jet industry so great. We’re lucky to be an active part of such an exciting market, and we’re thankful for all the opportunities business jets bring to the table:
- Speed. Our time is valuable, and our clients’ time is really valuable. Bizjets make sure business deals aren’t put on hold for traffic jams, long security lines, or cancelled commercial flights.
- Family. Jet travel allows us to be more efficient at work and spend fewer nights away from home — and less time at work means more time with family and friends. Not to mention that, with private air travel, family and friends may be able to come along for the ride!
- Experience. Since 1995, we’ve had the opportunity to grow and work with the best and brightest in the industry. We’re thankful we get to continue sharing our expertise with our partners, friends, and associates around the globe.
- Flexibility. With more than 5,000 airports in the U.S., a private jet can take you anywhere. And whether your baggage includes liquids, oversized equipment, or something that barks or meows, it’s comforting to know that you can bring it on board without concern.
- Connectivity. Whether you’re taking off from Timbuktu or soaring high above the Rocky Mountains, new advances in on-board Wi-Fi and videoconferencing solutions mean never having to disconnect.
- History. The history of jet travel may be short compared to other forms of transportation, but it’s fascinating and chock-full of innovation! There are a number of industry leaders, trend-setters, and visionaries that have helped pave the way to a where aviation is today. We’re lucky to have so many resources and museums for researching and learning about them.
- Customization. Private jet travel means having things your way. From food to amenities, a jet is a luxurious second home or office in the sky and it can be customized to even the most discerning tastes.
- Innovation. Today’s jets are smarter, faster, and can go farther. Plus, have you seen some of the perks introduced in the latest bizjets? One word: sunroof.
- Clients. L&L works with some of the best owners, brokers, dealers, service providers, manufacturers, and jet aficionados in the world. Period.
Thanks for your business and support over the years. We hope you all have a happy Thanksgiving full of family, food, and of course — flight!
November is National Aviation History Month! Celebrate by treating yourself or an aviation-loving friend to a truly timeless gift: A Bremont Supermarine watch.
The Supermarine’s sleek-yet-rugged design offers everything you need to celebrate just how far aviation technology has come. Like all of Bremont’s luxurious timepieces, this watch is made for pilots and jetsetters alike. Its precise, rigorously tested chronometer is encased in an anti-magnetic Faraday cage, and a sapphire bezel makes reading the face possible even in low-light conditions. Depending on the model, the Supermarine is water resistant up to 6,150 feet. The price starts at $5,150.
Whether you’re scaling Everest, diving off the coast of Australia, or attending a board meeting, the Supermarine is the perfect companion.
Happy National Aviation History Month!
The biennial Dubai Airshow, a five-day event that attracts visitors from all over the world, wraps up today. It’s the fastest growing air show in the region — mirroring the growth of Dubai itself as a major hub of the aircraft industry — and has grown exponentially in the more than two decades since it began as the Arab Air Show in 1986.
Some of the world’s largest and most influential aircraft manufacturers spent the week showing off their latest and greatest products:
The Dubai Airshow was held at Dubai’s $32 billion new Al-Maktoum International Airport. The airport will be the world’s largest when it is completed in 2027, but it already boasts a lot of space: More than 130 jets were on display at this years’ show and over 1,000 exhibitors, 60,000 attendees, and 1,500 members of the media were able to comfortably peruse the planes.
Beating expectations
This must-attend event focuses on connecting buyers and sellers, and this years’ show facilitated an unprecedented number of deals. In 2007, over $155 billion worth of deals were executed at the airshow, and this year has already blown those numbers out of the water — on the first day alone, there were $192.3 billion in commercial jet transactions.
Three Persian Gulf carriers — Emirates, Etihad, and Qatar Airlines — were responsible for a large part of the deals. Together, the three organizations placed orders for 393 commercial jets. Emirates alone added 150 of Boeing’s new 777X jumbo jet and 50 Airbus A380s to its already substantial fleet.
Boeing is particularly pleased with the interest it received in the new 777X — the latest iteration in its ever-popular 777 series. In an interview with CNN, Boeing Chairman and CEO Jim McNeary says, “With around $100 billion worth of orders, this makes it the largest aviation product launch. We look forward to … continuing to support Dubai’s expansion into a global aviation hub.”
This outstanding show proves why Dubai is quickly becoming a key region for the aviation market.
When people hear talk of aircraft safety, their first thoughts are often of in-flight practices. Little thought goes to a business jet once it has landed and been parked. However, this ground time puts the parked jet at risk for often-overlooked but increasingly common dangers:
- Theft, vandalism, and damage to the aircraft or the sensitive tools and equipment on board.
- Theft of and/or tampering with aviation fuel.
- Becoming the unknowing transporter of illegal or dangerous materials and substances that are clandestinely loaded as cargo.
These dangers are considerable at minor airfields where security can be rudimentary. However, even at larger airports, private aircraft aren’t always parked in range of security cameras.
To address these dangers, Blue Green Technology developed VIGIPLANE™. This security system for parked aircraft provides constant, real-time surveillance while operating autonomously from the aircraft systems. The system is aware of routine activity and notifies the pilot directly if there is a security threat.
VIGIPLANE™ uses high-performance and low-power detectors, day and night HD cameras, cellular and satellite modules, as well as a flashing alarm light to detect intrusion. It takes pictures and videos that are transmitted almost in real-time to the safety staff of the aircraft. The system does not require certification and it’s cost-effective, small enough for pilots to carry, and installs on the front landing gear of the aircraft in less than two minutes. Once it’s locked, VIGIPLANE™ cannot be released or removed by anyone other than authorized personnel, and it can immobilize the aircraft through a special nose wheel chock should a theft attempt take place.
Heads of state, medical air services, and business travelers who fly into dangerous areas look to VIGIPLANE™ for ground security. If you fall into one of these categories, this technology may be a necessity for your business. But it’s also for anyone looking for 24/7 surveillance of their aircraft — so you’re protected no matter what.
Contact L & L International if you need assistance in purchasing or selling a private jet. You can reach our sales specialists today at sales@L-Lint.com, call us any time at 877-453-8276 (+1.305.754.3313), or visit us online.
