The Coffs Harbour Airport and Enterprise Park

Coffs Harbour Airport Enterprise Park under construction September 2021

Palisade Investment Partners lease Coffs Harbour Airport from the City of Coffs Harbour. They are one of Australia’s leading regional airport investors also operating the Sunshine Coast, Darwin, Alice Springs and Tennant Creek airports. 

The term of the lease  is 50 years with an option to extend for 49-years subject to a range of legal and commercial requirements being met. The long-term lease encourages our partners to become an active part of the community, supporting tourism growth and other local industries and community organisations. 

Development of the Airport Enterprise Park 

The Coffs Harbour Airport Enterprise Park (AEP) is a 43-hectare subdivision designed to attract a mixture of business and aviation-related enterprises to the area. The development site is ideally situated to road, rail and air connections and is close to the CBD, Jetty Precinct, Coffs Harbour Education Campus and the Health Campus. 

Funded effectively in equal thirds by the local, state and Australian governments, this enterprise park will boost employment for the long term and further cement this region as an economic powerhouse of the future.

The forecast end cost for the project is approximately $30 million to be funded through:

  • $10 million Australian Government (Regional Growth Fund)
  • $10 million NSW Government (Restart NSW Fund)
  • $10.5 million City of Coffs Harbour Internal Loan (Sewer Fund).

Construction of the first phase was completed in early 2021, providing 10 lots for incoming tenants along with substantial services, road and drainage works.

Benefits for the community

The deal is forecast to be worth an estimated $500 million to the community over the term of the of the 50-year lease and 49-year option.  

The agreement includes $81.5 million in fixed payments over an initial period including an upfront payment of $25 million and an additional $56.5 million over seven years including contributions to the development of the Airport Enterprise Park.

The City of Coffs Harbour will also receive a share of revenue earned from the Airport and Airport Enterprise Park, forecast to be in excess of $400 million over the term of the lease and option.

This revenue stream will allow the City to fund strategic community projects and to invest in improved services for current and future generations.

While the airport has proven commercially viable, continual investment is required to fund future upgrades and maintenance. Under the airport lease model, all expenditure is the responsibility of the airport lessee. This limits the City's financial exposure and allows us to focus on investment in core Council functions.

The contract conditions require that the City will continue to be consulted on the master planning and strategic direction of the airport.