Nevadan light jet brokerage Aerocor has announced record setting numbers for 2020 as the firm completed 58 transactions, 31 of which occurred during the fourth quarter. The company attributes much of the success to the increase in demand for private aircraft resulting from the COVID-19 global pandemic, coupled with the firm's increased footprint in the light jet aircraft space.
“The pace of transactions stalled during the onset of the pandemic as many quarantined and monitored the stock market,” notes company co-founder Gavin Woodman. “By mid year, however, financial markets had rebounded and demand for private air travel increased. Additionally, two macro economic factors contributed to a year end squeeze. Several tax incentives were set to expire at the conclusion of 2020, providing motivation to complete a sale before its expiration, and an administration change in the White House led to fears of future tax code changes, further motivating buyers and sellers to complete transactions before the year's end.”
A review of Amstat data reveals the magnitude of Q4 transaction volume. A total of 991 jet transactions occurred during the last quarter of 2020, which dwarfs the previous record of 676 transactions set in the fourth quarter for 2018. “We predicted a spike in transaction volume during this period, though the scale of the increase was well beyond what most had anticipated,” adds Woodman. “For now, inventory levels remain low and demand is stable, making this a great time to sell.”
Aerocor celebrated a number of milestones in 2020, including completing 27 Eclipse 500 initial type ratings, which shattered its previous record of 21 type ratings set the year prior and making Aerocor the largest provider of initial Eclipse type ratings in the world. The company says that it plans to announce a number of new products and services in the coming months.