Private Las Vegas air terminal sold

Thursday, June 2, 2005 | 11:12 a.m.

The Las Vegas Executive Air Terminal, one of two fixed-based operations catering to private aircraft at McCarran International Airport, is being sold to a company that specializes in infrastructure management.

Macquarie Infrastructure Co., a subsidiary of an Australian financial conglomerate, is buying the Las Vegas Executive Air Terminal for $58 million, plus $2.4 million in financing costs.

The Las Vegas terminal would become a part of Macquarie's Atlantic Aviation Services division, a 12-unit group based in Dallas with airport operations in Chicago, Houston and Philadelphia. Earlier this year, the company expanded its network by acquiring operations at Palm Springs and John Wayne Airport in Orange County, Calif.

Fixed-base operators offer hangars and ground services on planes and sell fuel. They also offer ground transportation and concierge services to customers.

According to a Securities and Exchange Commission filing, the acquisition of the terminal, from Eagle Aviation Resources Ltd., would be financed from cash proceeds from Macquarie's initial public offering.

The Clark County Commission, which oversees McCarran International Airport, must approve the deal, which is expected to close in the third quarter. A McCarran spokeswoman said commissioners would examine the financing of the deal.

"As long as everything is in place financially, it should go along smoothly," said Elaine Sanchez of McCarran.

Representatives of Macquarie had no comment on any operational changes that are on the horizon for the terminal, which last year served 323,979 passengers, 15.8 percent more than in 2003, according to McCarran statistics.

Macquarie clearly believes last year's growth wasn't an aberration.

In a statement issued by the company, Chief Executive Officer Peter Stokes said, "Las Vegas Executive Air Terminal is a high-quality FBO facility servicing one of the fastest growing regional economies in the United States. According ot recent U.S. Census Bureau data, Nevada is forecast to experience the largest state population percentage growth in the United States over the next 25 years."

Officials indicated that the city's status as a leading tourism and conventions and meetings host led the company to acquire the Las Vegas property.

"Las Vegas Executive has a strong customer value proposition, having recently expanded its facilities in 2003," Stokes said. "Following its integration into MIC's Atlantic airport services business, we believe the location and characteristics of this additional FBO (fixed-based operation) will prove a valuable addition to the existing network of facilities."

Macquerie subsidiaries manage airport parking, energy and utility businesses and toll roads in addition to airport operations.

The company's Macquarie District Energy Holdings LLC has a controlling interest in Northwind Aladdin, which provides hot and cold water and backup power generation at the Aladdin hotel-casino and the attached Desert Passage mall.