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New Orleans Lakefront Airport: Post Katrina
On February 10, 1934 New Orleans Lakefront Airport came into existence and was nicknamed “the Air Hub of the Americas.” The airport was built next to the Industrial Canal, on a man-made peninsula jutting into Lake Pontchartrain. To make land available for this elaborate project, the Orleans Levee Board used a 10,000 foot retaining wall into the lake and used over six million cubic yards of fill to raise the airport above the water. 18R is the main runway, with a length of 6,895 it is routinely used by Boeing 737’s, C-130’s, and on occassion C-17’s and C-5’s. It is located eight miles east of New Orleans International. New Orleans Lakefront Airport remains the busiest General Aviation airport in Louisiana, even post Katrina.
The airport suffered damage of elephantine proportions due to an immense 18 to 20 ft. storm surge during Hurricane Katrina in August 2005. To date, the airport is still being reconstructed no thanks to FEMA who is delaying any real progress while they decide if a building is worth salvaging or tearing down. The airport is several years from being anywhere near Pre-Katrina status. Several hangars had to be torn down and others sustained massive damage. Million Air is now operating out of a portable trailer as well as Flightline First, while they try and reconstruct their facilities. It has been a slow, painful ongoing process still years away from completion.
The damage is not scaring away many corporate high rollers. The airport houses everything from Gulfstream’s to Cessna 150’s on a daily basis. The historic terminal building once contained two restaurants, lounges, the Governor’s office, casino and flight schools. If you look at it today, it is a painful eye sore. The hurricane picked it apart. The terminal is scheduled to start renovation in late 2008.
I will continue to post updates on the airport’s progress.
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AeroPremier Jet Center
Lakefront Airport in New Orleans, Louisiana is the brand new recipient of a third FBO by the name of AeroPremier Jet Center. Before Hurricane Katrina struck the city in late August 2005, the airport consisted of three FBO’s; Million Air, Atlantic Aviation and Aviaport. Million Air was the first to be up and running, Atlantic decided against rebuilding and focused on their KMSY base. Aviaport returned in February 2006 and lasted six months before turning in the towel.
Million Air has been the dominant FBO and still is to date, but in late 2007 a competitor by the name of Flightline First opened up and began to gain customers right away. To date, they attract approximately 20% of the traffic that comes to the airport.
AeroPremier is going to be the newest kid on the block, but are backed by experienced aviation professionals including a Captain for American Airlines with an FBO management background of many years. Their location on the field is the furthest away from the large active runway which appears to be their only downfall, but they have some things to offer that may appeal to corporate operators which I will list below.
The facility is the largest in the state of Louisiana. Two buildings are now being leased by AeroPremier; the McDermott hangar (previously used by Atlantic Aviation) and the former National Guard building. The McDermott building is complete. The National Guard building will begin renovation next month. Initially, the McDermott building will be the main base of operation and will offer 8,000 square feet of office space. Once the Guard building is completed, 32,000 square feet of more office space will be available, totaling 40,000 square feet of office space between both. The hangar portion of the Guard building will be utilized during it’s renovation for large aircraft totaling 50,000 square feet of space for aircraft.
McDermott Building
The National Guard Building
Aside from hangar space, adequate ramp space and tie downs will be available.
Maintenance will be a premier service of AeroPremier and so will their charter company. Mechanics will be available around the clock and on-call 24/7. The President of the company stated they will begin buying aircraft soon to initiate the charter. Their closest competitor is Flightline First, which operates a King Air BE200 and they are limited as to who they fly because of a pending a Part 135 certificate. This may give AeroPremier the advantage if they can get a fleet of airplanes and a line of pilots together quickly.
AeroPremier will open June 1st, 2008.
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Competition is for FBOs
Aviation may be perceived as a very competitive business. This isn’t so much the case for airlines as they all just struggle to stay afloat. You don’t see ads on television by airlines trying to cut each other’s throats. Most actually work together, somewhat. Ever heard of the Sky Team Alliance? If not, then you can look it up. I’ll just say that it consists of 11 member airlines and 16,409 daily flights to 841 destinations. So in short, it makes things a little easier for frequent flyer’s.
The real competitive part of the aviation industry is the General Aviation side. General Aviation can be considered an umbrella term consisting of Private owners, Corporations/Businesses, and Flight schools. It does not include airlines. FBO’s (Fixed Based Operators) are in business to serve these potential customers. Their main gig is to take care of the passengers and flight crew of these aircraft. This can consist of arranging hotel reservations, catering, and ground transportation, etc. The money however, comes from fueling these lovely aircraft. Since most airports consist of at least two FBO’s it is important to persuade or bribe flight dispatchers and pilots to send the business their way. Let’s take KMSY for example, Signature and Atlantic; two strong arms in the aviation industry. Signature’s price is about .60 cents higher per gallon, but claim they perform their job with greater safety than any other FBO *cough* *cough* *bullshit*. It’s a game and each have their own marketing scheme. Atlantic offers reward bucks. They give out points for fuel purchases. The bigger the fuel purchase, the more points acquired. Once so many is reached they may be redeemed online for a $100 AMEX gift card that can be reloaded. It’s a huge hit for pilots on the corporate side because they don’t buy the fuel, the company does (major perk). I’d like to see Signature offer something similar, but they are far too cheap.
KMSY is a class Bravo airport so the fuel is always higher. Always. Eight miles east is KNEW, a class Delta airport. It consists of three FBO’s; Million Air, Flightline First and the new AeroPremier FBO. Million Air has been there for decades while the other two are brand new. For comparison, Million Air is about a dollar cheaper per gallon than Signature and Atlantic at KMSY.
The General Manager there is also the V.P. of Million Air, a Citation pilot and a Police officer who is very well respected. Heck, I respect the hell out of him. He has two life times of success on one resume.
Now to get back to my blog, Flightline has the cheapest fuel prices in the city and they still can’t steal any customers from Million Air, at least not a handful. I work at Lakefront and I know that if pilot’s move their airplane, Addie will kick their a$$ to the moon and double their ramp charge if they choose to return. You gotta’ love his philosophy… I do.
In conclusion, the best way to a successful FBO is a great crew, lead by a great General Manager. That’s my .02 cents.
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