Were you forwarded this email? You should subscribe here.
Learn to Fly Private
Welcome to the 31st edition of Learn to Fly Private. Today, we're going to compare two jets: the Phenom 300 and the Gulfstream G150. These aircraft may not seem similar, but they straddle the line between light jet and midsize jet. There are others we could use in the respected class (Citation CJ4 vs. Citation Excel/XLS) but when considering your mission, these are two aircraft that should be in the running if you're looking to spend between $6m-$8m on a purchase and your standard passenger count is between 4-6. We'll break down all the factors to consider here.
A side note as well, if you're looking for other good comparisons you should check out the Avbuyer Jet Comparisons. You may not know, but AvBuyer is a part of our family of brands here at Firecrown.
Here's the two aircraft we will be comparing today.
Were you forwarded this email? Join over 3500 others who are learning to fly private.
As a reminder! If you are deciding between a turboprop or a jet, you can get a free 15 minute call with meusing this link. Totally free, and most people say they find it useful.
Now let's dig in...
Light Jet vs. Midsize: Consider Your Mission
One question I common get is what are the main differences between the different manufacturers in classes of jets. There are things to consider like availability of parts, network of maintenance support, and other things but much of it boils down to preference.
All operating and cost data comes from Conklin and DeDecker (use code "flyingmag" to save 10% if you want to poke around yourself).
Meet Your Contestants
Gulfstream G150
The Gulfstream G150 has its roots from the Israeli manufactured Galaxy Aerospace Astra, when Gulfstream purchased the certification for the Astra SPX and then renamed it to the G100 in September of 2002. Since then, Gulfstream has released the G150, the G200, and G280 in the same lineage of jets. One thing you'll notice immediately is that you don't have the noticeable oval windows, although these are more "oval" than those on the Astra or G100. The G150 was manufactured from 2006 to 2016 and there are 107 of these aircraft in service. The G150 requires two pilots for operation.
Embraer Phenom 300
Brazilian manufacturer Embraer started delivery of the Phenom 300 in 2009 and was replaced by the newer Phenom 300E in 2020. There are currently 470 Phenom 300's in service, and they are a popular choice by fleet and fractional operators such as Netjets, Flexjet, and Airshare. The Phenom 300 is certified for single pilot operation, but when flown under Part 135 air charter is required to have two pilots. The Phenom 300 platform has been the most delivered and most popular light jet platform for many years running.
The Interior: Passenger Count and Interior Dimensions
Both aircraft come in multiple configurations. We will compare the multiple configurations here, and calling out which configuration our two candidates have.
Phenom 300 Configurations
7 or 8 Place Phenom 300 Interior
This is the configuration found in our contender.
Seats: There are three options. 7 interior + belted lav (shown above), 6 interior + belted lav (below), or 8 interior + belted lav (two divan seats at the front seated sideways, shown below)
Dimensions: 5.08 ft wide x 4.92ft tall x 17.17ft long
Volume: 324 cubic feet, with 191 cubic feet passenger area
Gulfstream G150 Interior Configurations
8 Seat Configuration
This is the configuration that is found in our contender.
Seats: 8 interior seats + belted lav, with a single club across from a 2 place divan and a double club (shown above). Optional 6 seat double club and two forward facing + belted lav configuration (below)
Dimensions: 5.75ft wide x 5.75ft tall x 17.7ft long
Volume: 521 cubic feet, with 332 cubic feet passenger area
Side By Side Comparisons
The G150 wins in height, squeaks out in width, but an interesting metric is the door size. A big selling point for the Phenom 300 is the door size, manufacturing quality, and feel of a midsize or a super midsize jet.
When considering between the two, the total cabin volume is something to be considered especially when traveling over long distances. Another to consider is the comfort of the seats. Gulfstream is known for having large comfortable seats, even in their smaller aircraft.
Range: How far can we go?
Range is where we're going to see our largest differential between these two classes of aircraft. While there are other differences such as speed, the range is where the G150 shines. It is truly a coast-to-coast aircraft, with the cross country reachable at maximum cruise, whereas the range of the Phenom 300 suffers especially when trying to get there fast.
Even at Long-Range Cruise the Phenom 300 doesn't have enough range to get coast-to-coast.
The Speed Test
The Gulfstream G150, powered by the Honeywell TFE 741-40AR has a need for speed. The normal cruise speed of a 737 is 450-460 knots, so the G150 outpaces Southwest at max cruise but the Phenom 300 can be on pace at max speed. If you want real speed, step up into the heavy jets like the Global 6000 for a max cruise at 499 knots and a normal cruise at 488 knots. Remember, its like saying you can go 20 mph faster, over long distances it matters!
Runway Lengths: Where Light Jets Shine
When considering your mission profile, it is important to think about the airports that you'll be flying into. For some, they are flying into remote locations for meetings and don't want to have to drive.
For instance, the runway in Dalton, Georgia (the carpet capital of the world) is 5,496 feet which is longer than the balanced field length of a Gulfstream G650. They would have to option to Chattanooga (KCHA) 40 minutes up the road. When selecting an aircraft, its important to listt the destinations you visit often and work with a trusted broker to ensure the aircraft you're selecting will be able to land at your destinations.
Balanced Field Length means that your accelerated stop distance is equal to your accelerated go distance. I.e., in the event of an emergency can you stop at maximum gross in that distance. You should consider Balanced Field Length as the shortest runway you could land and take off at.
Charter and Fractional Intel from The Front Lines
The Phenom 300 has multiple operators that have a floating fleet (meaning they're moving around the country) and many others at fixed locations. Between that and the sheer number of aircraft that are currently in operation, the Phenom 300 is a very popular aircraft, and many subscribers to this newsletter charter. According to my charter sources, market rate on the Phenom 300 is between $6,000-$8,000 an hour depending on location. There are also fractional programs available. I secretly got a hold of some data, and a 75 hour fractional will cost ~ $1.2m buy in, $193k per year, and $4,003 per hour. That's $6,576 all-in per hour.
The G150 is a different story. There isn't a floating fleet of G150s, and because of their limited availability there isn't much charter supply on the market. In fact, there are only 10 on the FAA list of 135 operators. Compared to the Phenom 300 which has 270, more than 2x the amount of G150's in existence.
Fixed Costs Comparison
This data is for illustration purposes only, but can be used as a general guideline and framework for what you might consider. For both aircraft, we are assuming two pilots on full time staff.
The bigger jet is more expensive across the board, especially in crew. G150 pilots aren't as readily available because there aren't as many aircraft flying and therefore not as many pilots typed in the aircraft. You can send pilots to type rating school, but that is an additional upfront cost that you should calculate with your acquisition. Hangar is more because, well, larger footprint.
Variable Costs: How Much You Fly
With a bigger jet, comes bigger hourly expenses. Maintenance is the largest line item, calculating an additional .6 labor hour per flight hour. I've expanded all the tabs for your viewing pleasure. The Gulfstream does have an APU (Auxiliary Power Unit) which gives power not required for propulsion. If you are curious, you can read this article on how an auxiliary power unit works.
Total Annual Cost with Market Depreciation, 400 Hours Per Year
When considering your all in cost per hour, it is around $1,000 more per hour to operate a G150. When considering speed, cabin space, and the range that you unlock with a G150, for many its worth the cost.
Bonus Content: Financing Costs
I've worked on financing deals for both of these aircraft in the last year, so I am fairly familiar with how debt markets are seeing them. A general rule of thumb when doing back-of-the-envelope math when flying Part 91 only, is age + amortization >= 30 years. So, if we use that calculation, we would see:
2010 Phenom 300: 15 year amortization
2016 G150: 15-20 year amortization
If flying a blend of Part 91 business and Part 135 charter, reduce those to 12 and 12-15 year amortizations.
Today's plane market, assuming great credit and not too much debt load, would be 20% down and 5-year treasury + 250-350 bps, which would put it somewhere in the 6.9-7.9% range. This isn't an intent to lend, but to be seen as general guidance of what we're seeing in the market. If you're buying an older aircraft, or have other credit determining factors, be prepared for rates to be at WSJ Prime (~8.5%) to WSJ Prime + 250 bps (~11%).
So what's right for you?
If you're looking to go coast-to-coast, the G150 is a tough aircraft to overlook. Current market is somewhere between $4.5m and $9m depending on age and hours. The extra space in the aircraft is a big difference for those that are needing a bit more leg room or head room as well. If you're strictly going regional, I would strongly consider the Phenom 300 for the efficiencies gained with the Light Jets. They can be hard to beat, especially if you're not going too far.