HOUSTON, Texas (May 2, 2013) — As the economy in the U.S. and other parts of the world struggles to recover, the relatively new, small jet sector of the pre-owned business aircraft market place is getting some lift: interest among private individuals in small pre-owned business jets that are plus or minus 15 years of age, in reliable “no excuses” condition and that are priced around $1.3 million to $3 million has increased in the early months of 2013.
Buyers of these small jets tend to be executives and business owners whose operations are expanding and/or those who have previously experienced the benefits and conveniences of private jet travel. Some of these buyers have also previously owned a business jet personally or through a prior corporate relationship.
Such are the observations of Janine Iannarelli, founder and president of Par Avion Ltd. Iannarelli, who has more than 25 years of business aviation experience, has remained steadfast through many economic recessions that have adversely affected sales of business jets. A long-time member of the National Business Aviation Association and the European Business Aviation Association, Iannarelli established Par Avion in Houston in 1997. Par Avion is an international business aircraft marketing firm that specializes in the sale of pre-owned business jets with an emphasis on large cabin, intercontinental range aircraft.
“While pre-owned business aircraft sales remained spotty in the first quarter of 2013, I have been addressing a growing interest in the small jet sector of the market. Inventory for an airplane with all the proverbial whistles and bells, in a turnkey condition is tight. While about 10 to 12 percent of a particular make or model of airplane may be for sale, in reality there are but a few that offer all the options, have reasonable total time and cosmetically are attractive. The most popular pre-owned models of small jets right now as I see it are Lear 31As and (Cessna) CJ2s,” Iannarelli commented. “From my perspective, what is prompting this demand is the fact that these are relatively young airplanes that fall into an acceptable price point for this consumer”.
“U.S. buyers have recently been more willing to turn their attention overseas due to the fact that supply for exactly these types of planes has dried up domestically. Of course, pursuing a foreign registered aircraft entails a bit more of an investment before ultimately getting the airplane into service, but price points are such that this is a feasible option,” Iannarelli added.
Par Avion has built a reputation for being a leading purveyor of pre-owned Dassault Falcon Jets. The Par Avion team also has extensive experience with buying and selling the Bombardier, Citation, Embraer, Gulfstream and Hawker business jet product lines. Inventory currently available through Par Avion is listed at www.paravionltd.com/aircraft-for-sale.
“Small jets are the backbone of the business aviation industry and are typically the means by which a growing business initiates its experience with private jet travel. My team and I are finding that the small jets in our inventory are turning at a relatively faster pace than in previous years (three to six months rather than six months to a year). At present, we have both a CJ2 and Lear 31A under contract, but expect to fill the void with a CJ3 and another Lear 31A,” Iannarelli added. “Also, it needs to be noted that there is still a lot of value among existing inventory for select, slightly older pre-owned business jets. For buyers seeking a slightly larger ‘classic’ business jet, there are ample opportunities in the Citation 650 market for example.”
Many low time, well equipped Citation 650s produced from 1983 until 2000 are selling for more than half the price they were selling for just a few years ago, Iannarelli said.
“For example, Par Avion is offering a completely renewed 1985 Citation 650 with state of the art avionics for more or less what the avionics and interior refurbishment cost the current owner,” Iannarelli explained.
More about Iannarelli and Par Avion Ltd.
Iannarelli is a blogger with www.AVbuyer.com who is also frequently quoted in news and feature stories related to business aviation. Exclusive representation, acquisition on demand and the oversight of an aircraft sales transaction are the key services that Par Avion offers. For further information, please visit www.paravionltd.com or contact Iannarelli at 713-681-0075 or jki@paravionltd.com.
