New Haven
BJSA was retained by the Tweed-New Haven Airport Authority to review an unsolicited proposal from a private operator to lease airport property and develop a new terminal facility. BJSA reviewed the initial business plan, developed a financial model to evaluate the proposal, and assisted with negotiations to develop a counter proposal to meet the needs of key stakeholders. BJSA coordinated with local officials and the proposer to firstly develop a term sheet and a 3-party agreement to allow initial construction projects to commence to accommodate a new entrant airline. BJSA assisted with negotiating final transaction documents and FAA and stakeholder approvals.
Services:
- Proposal evaluation
- Transaction assistance
- Lease negotiations
Gulf Shores
In August 2021, BJSA was retained by the City of Gulf Shores Airport Authority to assist with a Statement of Interest for a private commercial terminal development. The Authority believes there is a market for air service with over 6 million visitors to the region annually.
BJSA conducted a market study for the Authority evaluating air service, fares, and trends and nearby airports and included this report as part of an RFQ process. BJSA provided the Authority with examples of recent terminal construction projects in the U.S. including size, cost, and types of facilities along with sketches of possible layouts for Gulf Shores. BJSA assisted with the evaluation of RFQ responses, reference checks, and selection of the preferred respondent. BJSA then led negotiations with TBi/Vinci to finalize an agreement to construct interim terminal facilities to meet air service demand, and to advance plans for a new permanent terminal.
Services:
- Market study and project viability
- SOI/RFQ and selection
San Juan
BJSA consultants were previously part of the team of technical advisors to the Puerto Rico government during its efforts to lease Luis Muñoz Marín International Airport in San Juan. Throughout the transaction process, the BJSA consultants provided a wide range of services to both the Puerto Rico Ports Authority, and the Puerto Rico Public-Private-Partnership (P3) Authority.
Team members were key contributors to the industry information document; including preparing detailed projections of aviation activity; developing an airport inventory of included properties; developing summaries of key agreements and contracts included in the lease; preparing historical financial statements for the Airport, and analyzing future capital needs and potential funding sources.
Team members worked closely with the P3 Authority during the drafting of the RFQ and RFP documents, ensuring world class operators would be attracted to this investment, while protecting the interests of the PR Port Authority and the Commonwealth of Puerto Rico. As part of the airport transaction, an entirely new agreement had to be negotiated with the airlines. As this agreement could be used as a precedent for any subsequent AIPP transactions, key terms were negotiated with not just local and regional airline representatives, but by senior airline management and corporate real estate personnel.
Once a preferred bidder was selected, team members worked closely with the P3 Authority’s legal team on the language to be contained in the Lease Agreement, including the development of detailed Operating Standards that would govern the new Airport operator. Team members assisted with the negotiation of a Transition Agreement that would cover an interim period while staff and Airport operations were assumed by the winning bidder.
Team members met with FAA representatives regularly throughout the process to both provide updates on proceedings as well as receive feedback and guidance to ensure a successful conclusion was reached with Aerostar Airport Holdings.
BJSA was recently retained to provide advisory services to Aerostar regarding the long-term lease, PFC applications and amendments, and utilization of the terminal.
Services:
- Transaction assistance
- Long-term lease evaluation
- PFCs