"Tom S." wrote:
Hangers (like anything else) should rent at market rates.
Except when hangar supply is artificially limited by a public
airport's
governing authority, either because they give a single FBO a monopoly
or
because they prohibit additional hangar construction. In such cases
it
is
very reasonable to regulate hangar fees to avoid gouging.
The same governing body that restricted the supply in the first place?
That's reasonsable?
Amen.
Such monopolies are relatively common, it seems, and tend to suppress
general aviation around the country. In my city, for example, one FBO
controls all the rented tiedowns and hangars at both airports via a
sweetheart deal with the city Airport Authority. Attempts to build more
hangars are stonewalled and rents are artificially high.
Do you see the contradiction there?
Uh, yes - I plead guilty to speed reading the previous post.
I didn't mean to say "Amen" to rent control, but rather to the idea that the
market for rental hangars is often not a free market.
--
Dan
C172RG at BFM
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