Riyadh Air has signed a lease agreement with AviLease for one 787-9 Dreamliner, the airline announced on Monday (October 27). The deal marks Riyadh Air's first aircraft lease and will support the airline's commercial launch.
The aircraft is scheduled for delivery this fourth quarter. The deal was signed on Sunday (October 26), the same day that the airline's inaugural flight touched down at London Heathrow, after taking off from its namesake city Riyadh the previous day.
The airline's London service is initially on sale only to select groups and Riyadh Air employees.
Riyadh Air's inaugural flight was operated by its technical spare 787-9 aircraft — a former Oman Air jet — which it received in January 2025. The technical spare, named Jamila, was initially used to secure its air operator's certificate (AOC), which it received in April.
Delivery delays from Boeing led the airline to push back its initial launch from the third quarter to the fourth. Riyadh Air is still awaiting delivery of its first 787-9 aircraft from its own direct orderbook with Boeing.
Riyadh Air said this is a “critical phase” in ensuring "unparalleled operational readiness”, as it awaits its first deliveries from its direct orderbook with Boeing.
However, the agreement with AviLease will likely jumpstart its operational readiness. Since both companies are owned by the Saudi Public Investment Fund (PIF), the lessor seems a suitable partner in its launch efforts.
In an interview with AviLease CEO Ted O'Byrne in May 2025, featured in Airline Economics Issue 86, when asked about a potential partnership with Riyadh Air, O'Byrne said at the time it didn't seem likely it would support the airline's launch with leasing agreements.
Although both PIF-owned, O’Byrne had noted that both companies are separate entities with “very different governance processes”, and that Riyadh Air had its own ordering strategy with its own large orderbook. He had added that the lessor wanted to invest further in the 787 type.
Riyadh Air has firm orders for 39 787-9s, as well as 25 Airbus A350-1000s, and 60 A321neo aircraft.
Likely a result of delivery delays, the airline's strategy has shifted slightly to incorporate leasing into its launch. During an Aviation Club luncheon in November last year, the airline's CEO Tony Douglas said it would need three aircraft to fully launch operations.
“Aircraft is always a principal issue,” Douglas said at the time. “We cannot operate until we take our first three aircraft. With the third aircraft, we're up and running and in the game."
In a statement today, O'Byrne said: “We are continuing to build our investment-grade leasing platform to compete at the top of the industry, globally. Yet, we are also very clear on our role in helping build up the Saudi aviation ecosystem.”
Adam Boukadida, chief financial officer of Riyadh Air, said the agreement forms part of its strategy to build a “young, fuel-efficient fleet” ahead of its commercial launch.
“This agreement marks an important step in establishing Riyadh Air as a leading global airline,” he said.
AviLease, which was launched in 2022 and became investment grade in April this year, has a portfolio of 192 owned and managed aircraft on lease to 48 airlines across 29 countries.