First, markets are changing. A lease negotiated in 2007 at the height of the economic and air market is probably not appropriate today, even if it has been adjusted over time on the basis of an index, and probably if it is. Even if it has been revalued, most lease conditions provide that a rate cannot go down, regardless of the market situation. Second, each lease has a different discomfort, even if it was negotiated at the same time as another. This is where one enters fairly and reasonably and where the righteous are at stake. We also advise commercial services and general aviation airports on other important leasing agreements for concessions, general aviation users and, increasingly, non-aeronautical development. For more information, see Airport concessions. In addition, we have extensive experience in advising and resolving disputes relating to the management of user and leasing contracts, including disputes related to the allocation of costs and revenues, the allocation of non-aeronautical revenues and damages related to termination. In order to avoid litigation, we often work with airport customers to obtain faa administrative approval or review of innovative or new use and lease agreements.
To this end, we communicate continuously with senior FAA officials and keep abreast of legal, political and financial developments regarding airline-airport relations. My opinion has not changed over the years: airports should deduct their rents through comparison and analysis with other similar and competing airports in their area and/or a competitive market. In many cases, the competitive market can expand on a national basis depending on the type of property or activity. While this is not an exact or perfect method, it is more likely to provide an ”apple to apple” comparison that is fair and reasonable for both parties. I`ve tried to address some of the biggest challenges I see across the country when it comes to leases. ”Things are not always as they seem,” is extremely prevalent in the aviation industry. This is not anyone`s fault, but only one of the obstacles to operating an airport or a thriving business within limited time and resources. It is indispensable that both sides operate in a negotiation from an informed and educated position, so that each side can have a clear understanding of each other`s challenges while trying to enable an agreement that benefits everyone. . . .