The Los Angeles Board of Airport Commissioners is scheduled Monday to vote on approving a transfer of leases for property at Van Nuys Airport from Maguire Aviation to Signature Flight Support.
Maguire entered into an agreement with Signature in August to sell its assets at the San Fernando Valley airfield in a deal valued at $69 million.
The leases are for property at 7535 Valjean Ave., 6700 Roscoe Blvd., and 16233 Vanowen St. The board also will vote on approval of development obligations for each property and construction performance dates.
In total, Signature, owned by BBA Aviation in London, will have nearly 2 million square feet of hangar, ramp, passenger lounges and offices space over 57 acres at the airport. Signature will also own and operate a terminal used by business aircraft operator NetJets Inc.
The sale of Maguire Aviation’s assets will end real estate mogul Robert Maguire’s involvement in the aviation business at the airport but he will continue as the developer on new hangar space.
Maguire Aviation began taking on leaseholds at Van Nuys Airport in 2006 with its purchase of Petersen Aviation. The firm later added to its holdings by buying up other aviation businesses, financed mostly by loans.
The recession caused a dramatic drop in traffic at the airport. That, coupled with debts from other real estate holdings, led to financial struggles for Maguire, who made his reputation developing office buildings, including the U.S. Bank Tower in downtown Los Angeles.
With the lack of capital, Maguire failed to make improvements to airport properties as required by the leases. He also sold off many of his assets, including the leases.