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44th ANNUAL �PA AVIATION �CONFERENCE

All You Need to Know about Hangars

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YOUR PRESENTERS

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CORY C. CREE, PE, PLS�Airport Manager

John Murtha Johnstown-Cambria �County Airport

RICHARD L. HOLES, PE�Vice President, Aviation & �Civil Engineering �Gannett Fleming/TranSystems

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ZACHARY STAFF, AICP�Regional Aviation �Planning Manager

McFarland Johnson

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TOP GA AIRPORT REVENUE GENERATORS

  • Hangar Rentals
  • Fuel Sales
  • Facility Rentals (FBO)
  • Pilot Supplies, Vending and Concessions
  • Tiedown Rentals
  • Non-Aeronautical Land Leases

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TYPES OF HANGARS

  • T-Hangars
    • Small T-Hangars
      • Sized for single and light twin-engine aircraft
      • Door size is 41’-6”
      • Typically rent for $150 to $500 per month
    • Large T-Hangars
      • Sized for larger twin-engine aircraft or small jets
      • Door sizes are either 44’-6” or 47’-6”
      • Typically rent for $250 to $750 per month
    • Modified T-Hangars (end unit)
      • Provides for vehicular parking or office space in the T-Hangar
    • Standard vs. Nested
      • Standard Hangars have nose/tail/nose configuration
      • Nested Hangars have tail/tail configuration
      • Standard T’s are good for long, narrow sites – 32’ + width
      • Nested T’s provide better space utilization – 50’ + width

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TYPES OF HANGARS

  • T-Hangar Examples
    • Nested T-Hangars

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    • Standard T-Hangars

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TYPES OF T-HANGARS

  • T-Hangar Examples

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TYPES OF HANGARS

  • Unit Hangars
    • Small, Pre-Engineered Unit Hangars
      • Range in size from 42’ x 33’ to 65’ x 56’
      • Can be combined with T-Hangars
      • Can store several small aircraft or up to 1 King Air-sized aircraft
    • Small Architectural Unit Hangars
      • Provide a larger hangar size than the Pre-Engineered hangars
      • Require Architectural and Structural design
      • Can include door widths up to 100’ or more
      • Can include door heights up to 28’ and a footprint of up to 12,000 sf
      • Can store much larger aircraft – Usually Gulfstream-size for design
    • Large Architectural Unit Hangars
      • Much larger sizes – up to 200’ door width or more & greater than 12,000 sf
      • Used for storing multiple large jets or for an MRO facility
      • Office space is typically included either inside or adjacent

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TYPES OF HANGARS

  • Unit Hangar Examples
    • Small, Pre-Engineered Unit Hangars

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    • Small Architectural Unit Hangars

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TYPES OF HANGARS

  • Unit Hangar Examples

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WHAT TYPES OF HANGARS DO YOU NEED?

  • Complete a hangar inventory of existing facilities
  • Look at your current hangars – are they being properly utilized?
  • Determine types or sizes of hangars needed – look at door height needs (bigger is better)
  • Use hangar waiting list
  • Involve tenants / aircraft owners early for input
  • Consider having aircraft owners pay a deposit to guarantee their interest
  • This isn’t Field of Dreams – don’t build it and hope they come
  • Consider mixing hangar types and sizes
  • Small T-Hangars limit types of aircraft and Income
  • Group hangars need an FBO or airport representative to move aircraft in and out of hangar

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HANGAR DESIGN COST CONSIDERATIONS

  • Type of Hangars
    • Small T-Hangars - $25,000 to $40,000 per Unit per Building
    • Large T-Hangars - $40,000 to $60,000 per Unit per Building
    • Small Unit Hangars - $25 to $50 per Square Foot per Building
    • Large Unit Hangars - $50 to $100 per Square Foot per Building
  • Erection is roughly equal to the cost of the building
  • Determine what utilities to make available
  • Foundations
  • Floors
  • Doors
  • Insulation/venting
  • Partitions
  • Interior finishes

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MEANS OF FUNDING HANGAR CONSTRUCTION

  • Airport Development
    • Site prep grant & hangar grant (MMA/Capital Budget) or loan (PIB)
    • BIL Funding
  • Private Investment
    • Traditional ground lease with airport owner & private construction
  • Private Public Partnership
    • Airport provides site prep & Private entity provides hangar

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FUNDING YOUR HANGAR PROJECT

  • Hangars are Eligible for FAA Funding
    • Can use Non-Primary Entitlements (NPE) Funding for hangars only after airfield requirements are met
    • Can use BIL Funding
  • Additional Funding Options
    • Traditional Airport Owned/Tenant Leased Option
      • Requires initial outlay of money to be recovered over a period of time
      • Dependent on filling the hangars right away
      • Most likely requires a loan
    • Tenant Owned/Airport Ground Lease Option
      • Requires a group of tenants to band together or single dedicated tenant
      • Tenants pay for all costs for the hangar
      • Airport provides a long-term (20-year +) ground lease
        • Must get fair market value for the ground lease
    • Hangar Developer/Airport Ground Lease Option
      • Developer builds hangars and leases them to tenants

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OTHER HANGAR CONSIDERATIONS

  • Ownership
    • Private: Real Estate Tax on Improvement
    • Public: Now or After Lease Termination
  • Management
    • Aircraft Owner Relations
    • Condo Association
    • Collection of Rents
  • Maintenance
    • Snow Removal
    • Grass Mowing
    • Hangar Door Service
    • Utility Costs
    • HVAC

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FUNDING YOUR HANGAR PROJECT: GROUND LEASE

  • Unimproved Ground
    • Original native undisturbed ground �– lowest value
  • Improved Ground
    • Airport owner has rough graded the hangar / apron area for future improvements – modest value
  • Utilities Accessible Ground
    • Utilities are at or adjacent to leasehold – enhanced value
  • Airport Invested Ground
    • Airport has invested funding to construct site infrastructure (i.e., stormwater management facility) or �apron / taxilane construction �– highest value

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FUNDING YOUR HANGAR PROJECT (CONTINUED)

  • Plan Ahead
    • Perform site grading as a part of another project
    • Plan utilities for full future buildout
  • Reduce Your Overall Costs
    • Design and construct taxiways and taxilanes using AIP
      • Consider a separate Site Preparation Contract
    • Airport sponsor should procure hangar building
      • Saves money on taxes
      • Eliminates contractor markup
      • Allows hangar manufacturers to bid directly
    • Include foundations, floor, and erection in a separate contract
      • Allows building contractors to bid on what they do best
    • Splitting up the contracts can save 10% to 20% on the �overall project cost

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PRIVATE-PUBLIC PARTNERSHIP

  • Airport does NOT need to raise funds for construction
  • Private funded portion eliminates costly public bidding requirements
  • Revenue producing - consistent cash flow from ground lease or management contract
  • Minimizes construction / management hassles
  • Private sector decreases time to occupancy
  • Airport growth – free “marketing” from private entity
  • More based aircraft – commission fees / federal funds eligibility
  • Relieves waiting list demand – happier pilots
  • Positions airport for state and federal funding for higher priority airfield projects

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HANGAR DECISION MAKING: SAMPLE

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CORPORATE HANGAR DEVELOPMENT: REVENUE PROJECTIONS

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OBJECTIVE: THE COMPLETE SOLUTION

  • Funding
  • Permitting
  • Engineering
  • Construction
  • Marketing
  • On-Going Maintenance
  • Management
  • Return on Investment

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NEW GARDEN FLYING FIELD

  • Condo Association - 6 Box Hangars 60’ x 60’

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THANK YOU

  • For Additional Information Contact:

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CORY C. CREE, PE, PLS�Airport Manager - JST

Phone: 814.536.0002

Mobile: 814.931.1402

ccree@flyjst.com

RICHARD L. HOLES, PE�Vice President, Aviation & Civil Engineering Services

Phone: 814.619.7874

Mobile: 814.659.7565

rlholes@transystems.com

ZACHARY STAFF, AICP�Regional Aviation Planning Manager

Phone: 607.723.9421

Mobile: 607.743.9099

zstaff@mjinc.com