Archer Aviation (NYSE: ACHR) confirmed the successful completion of the first phase of its Hawthorne Airport transactions. The initial phase involved the acquisition of the master lease from the City of Hawthorne and the associated subleases, granting Archer control of the real estate that makes up the key Los Angeles aviation asset. Archer had previously signed definitive agreements to acquire control of the airport in early November.

Archer intends for the airport to serve as its primary operational hub for its planned air taxi network in the L.A. area. The facility is expected to play a critical role during the LA28 Olympic & Paralympic Games. Furthermore, the airport is already a profitable enterprise, and Archer believes there is substantial additional, untapped upside potential.

The 80-acre site includes approximately 190,000 square feet of hangar, office, and terminal facilities. The historic Hawthorne Airport, also known as Jack Northrop Field, was built in the 1920s and contributed significantly to Southern California’s aerospace legacy. The airport is strategically located less than three miles from LAX. It is also the closest airport to major city attractions, including Downtown L.A., The Forum, Intuit Dome, and SoFi Stadium.

Adam Goldstein, Archer’s Founder and Chief Executive Officer, stated, “This is an important milestone as we look to build out the future of air taxis right here in LA. We are helping our great cities rethink and redefine transportation as we prepare for the next phase of modernization and growth in our country.”

Archer plans to use the airport as an innovation testbed for the next-generation, AI-powered aviation technologies it is developing and intends to deploy with its airline and technology partners. These technologies include AI-powered ground operations and air traffic management. This technological evolution is expected to significantly enhance the commercial upside for the already-profitable Hawthorne enterprise.

The second phase of the transaction, planned for next year, will see Archer acquire the airport’s Fixed-Base Operator (FBO) and passenger terminal. This will give Archer full control of the airport and its day-to-day operations.

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Archer is designing and developing the key enabling technologies and aircraft necessary to power the future of aviation. To learn more, visit www.archer.com.