AviationNews – IAT Leasing has completed the acquisition of two Boeing 737 aircraft from Dubai Aerospace Enterprise (DAE), which are both secured under long-term leases to the Canadian carrier WestJet. This strategic transaction reintroduces the prominent Canadian airline into IAT’s managed portfolio while reinforcing the company’s focus on high-demand, liquid narrowbody commercial assets.
The deal involves two 2009-vintage aircraft, specifically one Boeing 737-800 and one Boeing 737-700. To successfully finalize the purchase, IAT Leasing utilized a specialized co-investment structure funded on behalf of two existing institutional investors from the United States. This marks the inaugural deployment of this particular capital allocation model for an aircraft acquisition on the IAT platform, effectively deepening the firm’s financial relationships with its major North American equity partners.
Under the terms of the transaction, IAT Leasing will assume full responsibility for providing long-term lease administration and comprehensive asset management services for both single-aisle jets. From a technical and operational standpoint, adding these highly liquid Next-Generation (NG) platforms ensures structural stability for the lessor, as the Boeing 737 family remains a backbone of regional networks. WestJet will continue to seamlessly deploy these aircraft across its expanding domestic and international route systems without operational interruption.
“This transaction reflects our platform’s disciplined focus on acquiring liquid, in-demand narrowbody aircraft leased to strong global airline credits,” stated Martin Browne, Chief Executive Officer of IAT. “The deal represents another successful transaction with DAE and brings WestJet, a leading Canadian carrier, back into the IAT-managed portfolio.”
The transaction highlights the robust secondary market for mid-life narrowbody commercial aircraft, which continue to generate predictable yield for institutional investors. As global airlines face ongoing manufacturer delivery backlogs, lessors who can efficiently transition and manage existing, reliable fleets will hold a distinct competitive edge. This co-investment framework sets a repeatable precedent for how IAT can quickly scale its managed fleet using targeted American capital.
This successful mid-life aircraft transfer emphasizes the enduring market liquidity of the Boeing 737 family. By leveraging a new institutional co-investment model, IAT Leasing has successfully expanded its asset management footprint while supporting WestJet’s operational fleet requirements. Moving forward, such flexible financing structures will likely play a larger role in secondary aircraft lease transactions.