Key Takeaways
- • BBAM announced the final close of Incline Aviation III, its third flagship aviation fund, with more than $1.7 billion in total capital commitments, drawing support from a mix of existing and new institutional investors.
- • The fund is larger than both predecessors: Incline Aviation I raised $1.2 billion including affiliated co-investment, and Incline Aviation II raised $1.5 billion.
- • More than $625 million of equity had been invested and committed as of June 2026, equal to about 37% of the final fund size, per BBAM.
- • The strategy targets commercial aviation opportunities across aircraft, engines and related credit, positioning leased aircraft at the intersection of real assets and private credit.
- • BBAM, one of the world's largest and longest-standing aircraft lessors, manages more than 500 aircraft and serves more than 100 airline customers in over 50 countries.
Summary
BBAM, one of the world's largest and longest-standing aircraft lessors, has announced the final close of Incline Aviation III, its third flagship aviation fund, with more than $1.7 billion of total capital commitments, according to HedgeCo.Net. The fund attracted a mix of existing and new institutional investors.
Incline Aviation III follows the strategy refined by its predecessors, targeting commercial aviation opportunities including aircraft, engines and related credit. The vehicle steps up in size from Incline Aviation I, which held $1.2 billion of commitments including affiliated co-investment, and Incline Aviation II, which raised $1.5 billion.
The fund is already deploying capital. BBAM said more than $625 million of equity had been invested and committed as of June 2026, equal to roughly 37% of the final fund size. Steve Zissis, BBAM's president and chief executive, said the firm's focus remains on deploying capital selectively where its experience, scale and global aviation relationships can create meaningful value.
For allocators, the source notes that leased commercial aircraft sit at the intersection of real assets and private credit. Such assets offer contracted lease cash flows, hard collateral with a global secondary market, and returns tied to airline demand rather than equity market beta. The publication argues that a third fund larger than each predecessor suggests institutions continue to value that profile from an experienced lessor.
BBAM provides fleet and financing solutions to more than 100 airline customers in over 50 countries, manages more than 500 aircraft and employs over 150 aviation professionals across offices in Dallas, Dublin, Puerto Rico, San Francisco, Seoul, Singapore, Tokyo and Zurich.
Incline Aviation III follows the strategy refined by its predecessors, targeting commercial aviation opportunities including aircraft, engines and related credit. The vehicle steps up in size from Incline Aviation I, which held $1.2 billion of commitments including affiliated co-investment, and Incline Aviation II, which raised $1.5 billion.
The fund is already deploying capital. BBAM said more than $625 million of equity had been invested and committed as of June 2026, equal to roughly 37% of the final fund size. Steve Zissis, BBAM's president and chief executive, said the firm's focus remains on deploying capital selectively where its experience, scale and global aviation relationships can create meaningful value.
For allocators, the source notes that leased commercial aircraft sit at the intersection of real assets and private credit. Such assets offer contracted lease cash flows, hard collateral with a global secondary market, and returns tied to airline demand rather than equity market beta. The publication argues that a third fund larger than each predecessor suggests institutions continue to value that profile from an experienced lessor.
BBAM provides fleet and financing solutions to more than 100 airline customers in over 50 countries, manages more than 500 aircraft and employs over 150 aviation professionals across offices in Dallas, Dublin, Puerto Rico, San Francisco, Seoul, Singapore, Tokyo and Zurich.
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