Demand for used business jets is rising in North America despite recent turmoil in the financial markets, according to a leading trader in new and pre-owned aircraft. North-Carolina-based Jetcraft Corporation says that both public companies and individuals are buying. “Business jet purchasers are generally acquiring aircraft based on anticipated lift requirements 6-18 months from today,” says Jahid Fazal-Karim, co-owner of Jetcraft. “This trend illustrates continued confidence as the globalisation of business continues.” Strong demand from Asia, eastern Europe, the Middle East and South America has helped stabilise prices for long-range and large business aircraft, adds Chad Anderson, president of Jetcraft. At the same time, some older aircraft such as the Bombardier Challenger 604, the Gulfstream GIV and the Dassault Falcon 900B are potential bargains – and recent market upsets have not significantly choked off access to financing, Jetcraft says. The US aircraft trader’s view is borne out by the delivery, announced this week, of three 12-passenger Bombardier Challenger 605 business aircraft to Switzerland-based VistaJet. The private jet company says it is seeing “unprecedented demand”, particularly in emerging economies such as Brazil, Russia, India, Nigeria and China, and has a $2bn backlog of orders for mid-size to larger aircraft for its single-manufacturer fleet. Over the next four years, 10 Global 6000s and the same number of Global 8000 long-range aircraft will help double VistaJet’s fleet size from the current 30 aircraft. The view of the market is echoed by UK-based JetBrokers Europe, which had its best month for sales aircraft so far in July. “August has also been better than expected,” says Tim Barber, managing director. “The past few weeks will have unnerved people, but the market is pretty much unchanged.” He agrees there are bargains to be had, but adds there also may be more room for prices to fall. On some aircraft, he says, “there may be 30-40 available, but probably only two real buyers at any one time”.
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