Leading Edge Aviation and Remond Municipal Airport Announce Multi-Million Dollar Long Term Partnership
The City-owned Redmond Municipal Airport (RDM) and Leading Edge Jet Center, LLC (LEJC) announced today the forging of a long-term business relationship; whereby Leading Edge will continue to provide fixed-base operations at RDM for up to 30 years in exchange for a minimum $6 million investment.
“I am thrilled we have reached a long-term agreement with Leading Edge Jet Center. Over the past decade we have made significant investments in our airport such as the construction of a new terminal, passenger amenities, runway reconstruction, and a fuel farm. Now we are on the cusp of adding a premier general aviation facility to the list,” states Mayor George Endicott. “This would not be possible without partnering with a company like Leading Edge, their reputation for excellence will lead to continued growth and revenue at the airport.”
Leading Edge has been operating general aviation (GA) services on a short-term agreement with RDM since summer 2015. The new 30-year operating agreement increases LEJC’s north-side footprint by 52 percent to 287,650-square-feet and commits them to a $5 million investment within three years, including the construction of a 24,000-square-foot executive airplane hangar; a new 6,000-square-foot fixed based operator office building; and a $100,000 investment in the existing World War II Hangar (leased by Leading Edge). An additional $1M investment of “qualified capital Improvements” after year five gives them the right to five additional years in their operating agreement through June 30, 2050. The annual lease payments under this new agreement begin at $129,000 – an increase from their current $49,000 annual payment.
“In 2015, we chose to establish a presence at the Redmond Airport because we knew there was enormous potential for growth by supporting, GA, corporate aviation and the airlines as we do with all of our business segments. RDM is the front door to economic development for this region and we wanted to be part of it. The City’s support and commitment to healthy growth confirms that this agreement is truly a step toward a great future for Redmond.” said Brad Fraley President and CEO Leading Edge Aviation.
In 2018 LEJC pumped more than 4.5 million gallons of Jet and Aviation fuel. The Airport collects $0.07 cents on every gallon pumped, generating $315,000 annually for future infrastructure funding. LEJC was also instrumental in bringing the Hillsboro Aero aviation academy to Redmond.
“Airports must seek continuous investment to maintain market share and remain competitive,” states Airport Director Zachary Bass. “It’s very significant to have strong fixed base operator. This service provider is a keystone for any airport.”
RDM has experienced a 75 percent increase in commercial passenger traffic since 2013. Airlines have added 3 additional direct destinations and increased seating capacity to all other destinations offered. Within the past two years, aircraft landings and takeoffs has increase by 47 percent from 45,000 to 95,000. The increase in corporate aviation and private jet traffic at RDM since LEJC came aboard in 2015 is noticeable. These investments will accelerate that trend.
