NATA Releases White Paper on Addressing Leasehold Issues in Response to COVID-19

The National Air Transportation Association (NATA) has released a white paper titled Recommended Practices for Airport Sponsors and Commercial Aviation Businesses in Addressing Leasehold Issues in Response to COVID-19. In the wake of the COVID-19 public health emergency, airports and commercial aeronautical businesses, along with the entire global aviation industry, are confronted with operational revenue challenges, issues with employee job retention, and financial uncertainty at a level the industry has never experienced. Worldwide, COVID-19 has resulted in international and domestic commercial air carrier and private general aviation travel restrictions that have caused significant financial harm to airports, the industry’s 3,661 FBOs, MROs, and other essential aeronautical service providers.

NATA recognizes that a majority of airport sponsors are public agencies that have both the challenge to maintain self-sustaining operations, as well as complex revenue streams intended to preserve the valuable services and jobs that the airport and aviation industry provides to their communities.

The Association encourages efforts to establish or continue fostering collaborative approaches and solutions between airport sponsors and their commercial aeronautical tenants in addressing these challenges, including initiating open discussions regarding rent and other fee relief options during the coronavirus pandemic. To that end, NATA’s white paper is intended as a guide for both airports and commercial aeronautical businesses (including airlines) to use when considering financial and operational accommodations.

NATA would like to thank the following for their contributions: Peter Kirsch, Attorney, Kaplan Kirsch Rockwell; Curt Castagna, President & CEO, Aeroplex Group Partners; and Jeff A. Kohlman, Managing Principal, Aviation Management Consulting Group (AMCG).