Market analysis: Gulfstream G550 inventory almost doubles

Corporate Jet Investor Staff
By Corporate Jet Investor Staff June 4, 2014 15:21

Market analysis: Gulfstream G550 inventory almost doubles

Rex McGreevy, a broker of Gulfstream and Falcon business jets for Charlie Bravo Aviation, compares the current Gulfstream inventory with the final quarter of last year.
Deer Jet showed off its Gulfstream G550 at ABACE 2014 in Shanghai.

Deer Jet showed off its Gulfstream G550 at ABACE 2014 in Shanghai.

The most notable changes to the pre-owned Gulfstream business jet market in the past six months is that the G550s have 12 new aircraft on the market (highlighted in the table below), almost doubling the available inventory, from 16 to 28 aircraft.

Asking prices seem to be hanging tight and according to vRef we have seen an increase in G550 values of around $500,000. Having sold a 2009 model G550 myself, we’re obtaining a very much desired sale price that is above the aircraft’s blue book retail value.

Some might speculate that the G550 inventory will continue to rise as more G650s deliver and more G550 owners come to market, but from a pre-owned perspective, I have no real proof of values declining or for the inventory going up or down.

In the past month, only models that have been built since 2010 have transacted, with early model G550s sitting on the market longer. Regardless, the G550 remains one of the most sought after machines by Gulfstream buyers. It delivers for the mission requirements and has an extremely loyal user base.

ALSO READ: Gulfstream G450 orders heat up in Q1

Moving on to Gulfstream’s other models, the G450 inventory is still high and the market remains soft, which is the same for the G150.

The G280 and G650 markets seem to have an aircraft come and go once a quarter. A pre-owned G650 does not sit on the market very long, but there is a G280 that has been on the market for 61 days as of today.

VIDEO: Gulfstream is happy for owners flipping G650s

The G100s has seen its inventory double, however, only 22 G100s were ever built.

Overall, there have been no major changes to the Gulfstream fleet. We have seen several transactions take place this year for the Gulfstream, most notable the G200 and GIVSP have seen slightly higher-than-average transaction rates, but let’s track these trends and blog about them next quarter.

Corporate Jet Investor Staff
By Corporate Jet Investor Staff June 4, 2014 15:21

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