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Investor Brief: U.S. Trainer Aircraft Leasing Opportunity

The U.S. is the leading global hub for pilot training, with over 600,000 new pilots needed by 2040 (Boeing). Flight schools rely on time-tested aircraft like the Cessna 172 and Piper Archer, valued for their safety, familiarity, and decades-long service life.

Why Now

  • Demand Surge: U.S. pilot training enrollment is up 20%+ from 2020–2024 (FAA).
  • Fleet Expansion: Flight schools must meet student demand with technologically advanced trainer aircraft.
  • Global Pull: International students are increasingly training in the U.S.

Investment Case

  • Long-Life Assets: Cessna and Piper aircraft regularly operate for 30+ years, maintaining strong utility and resale value.
  • Steady Income: Absolute net leases shift all operating costs to the school, generating low-risk, recurring monthly cash flow.
  • Attractive Residuals: Aircraft often retain 50–65% of original value at lease maturity.
  • Credit Quality: Leases are made to established, accredited flight schools, minimizing risk.
  • Tax Efficiency: Leverage bonus depreciation and MACRS to write off aircraft over 5 years, enhancing after-tax returns.

Why It Works

This niche combines durable assets, strong cash flow, favorable tax treatment, and reliable demand driven by the global pilot shortage. With disciplined execution, it offers a resilient, high-yield investment uncorrelated with broader markets.

First published on peregrinehoward.com.

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For information only. Not an offer to sell or a solicitation of an offer to invest in Peregrine Howard Aviation or any related product.