Crestone Air Partners (Crestone), a wholly owned subsidiary of Air T, has announced the creation of Blue Crest Aviation Partners (Blue Crest), a new joint venture with funds managed by Blue Owl Capital. The initiative is designed to acquire mid-life commercial jet aircraft on lease to airlines worldwide, focusing on a disciplined, income-oriented investment strategy.
The new platform builds on Crestone’s existing capabilities and market presence, benefiting from Air T’s integrated operating infrastructure. This includes expertise in maintenance, repair and overhaul (MRO), aircraft parts sales, storage, disassembly, and leasing—services that are particularly relevant to the management and optimisation of mature-phase aircraft assets.
Blue Crest marks the next stage of Crestone’s capital formation strategy, following the successful deployment of Contrail JV II and associated sidecar vehicles. Since 2020, Crestone and Blue Owl’s Alternative Credit funds have jointly committed hundreds of millions of dollars to aviation assets, strengthening their collaborative track record in the sector.
Through Blue Crest, the partners aim to scale their operations further by targeting opportunities in the global mid-life aviation market—a segment that offers potential for stable lease income and asset value optimisation. The venture is expected to leverage both firms’ combined industry knowledge, financial resources, and operational capabilities to identify, acquire, and manage aircraft that are already in active service with established airlines.
The transaction was supported by professional advisors to ensure its structural and regulatory soundness. KPMG LLP acted as tax advisor, while Pillsbury Winthrop Shaw Pittman LLP provided legal counsel. Phoenix American Financial Services, Inc. will serve as the third-party administrator, providing operational and administrative support for the venture’s activities.
