ALFOR AVIATION CHOOSES TEESSIDE AIRPORT THROUGH ISS FOR £50M UK EXPANSION, CREATING 250 PERMANENT JOBS
- Ammar Mirza
- 24 hours ago
- 4 min read
Alfor Aviation agrees 50-year lease to establish its global headquarters and a major aircraft conversion centre at Teesside International Airport
FARNBOROUGH, UK, 23 July 2026 — Alfor Aviation has agreed a 50-year lease with Teesside International Airport to establish its global headquarters and develop a major aircraft conversion campus at the airport.
The £50 million investment will create 250 permanent, highly skilled jobs and establish Teesside as a significant European base for passenger-to-freighter aircraft conversion.
Alfor will develop a purpose-built facility comprising aircraft hangars, engineering workshops, warehousing and operational support infrastructure. Once fully operational, the centre will have capacity to convert up to 24 passenger aircraft into freighters each year.
Construction is expected to begin shortly, with the first facilities scheduled to enter service by the end of 2027.
The decision follows Alfor’s evaluation of potential locations across Europe. Teesside was selected for its airport infrastructure, available development land, skilled workforce, international connectivity and access to the commercial advantages of Teesside Freeport.
Teesside International Airport is a designated customs site within Teesside Freeport, providing access to customs procedures and potential duty benefits designed to support international trade, manufacturing and logistics activity.
The wider Freeport spans approximately 4,500 acres across key industrial and logistics locations, including Teesside International Airport, Teesworks, Wilton International and the Port of Middlesbrough.
Its combined air, road, rail and sea connectivity provides Alfor with a strategically located base from which to serve the UK, European and international aviation and air cargo markets.
The announcement follows the presentation of Alfor’s Internal Loading System technology at the Farnborough International Airshow.
The technology provides an alternative approach to passenger-to-freighter conversion by using an aircraft’s existing cargo doors and an internal loading and lifting system. This reduces the need for the extensive structural alterations associated with conventional main-deck cargo-door conversions.
Alfor estimates that its Internal Loading System can reduce conversion costs by almost 40 per cent, substantially shorten conversion lead times and allow aircraft to return to commercial service more quickly.
Omer Mafa, CEO of Alfor Aviation, said:
“This is a transformational moment for Alfor Aviation and a major vote of confidence in Teesside and the United Kingdom.
“We considered a number of locations across Europe, but Teesside offered the strongest combination of airport infrastructure, available land, workforce capability, connectivity and long-term commercial opportunity.
“Teesside Freeport was also a decisive factor. The customs advantages, investment environment and multimodal connectivity provide the internationally competitive platform we need to develop and scale our operation.
“By establishing our global headquarters at Teesside Airport and committing to the site for the next 50 years, we are demonstrating our confidence in the region and in the future of British aerospace manufacturing.
“From Teesside, we intend to build one of the world’s leading aircraft conversion operations, create highly skilled permanent jobs and support the continued growth of the global air cargo market.
“Our work with ISS Group will continue beyond the agreement of the lease. ISS will remain a strategic partner as we establish the campus, develop our UK operations, build regional and international partnerships and deliver our long-term growth plans.”
The Teesside facility will bring together Alfor’s executive management, engineering, aircraft conversion, logistics and support functions on one site.
It will substantially expand Alfor’s production capability and support growing international demand for passenger-to-freighter conversions, driven by e-commerce, express freight and increasingly integrated global logistics networks.
The investment will also create opportunities across the regional supply chain, including aircraft maintenance, advanced engineering, manufacturing, construction, logistics, professional services, training and specialist aviation support.
Phil Forster, Managing Director of Teesside International Airport, said:
“Alfor’s decision to establish its global headquarters and aircraft conversion centre at Teesside Airport is a major investment in the airport and the wider region.
“The agreement will deliver £50 million of investment, create 250 permanent skilled jobs and strengthen Teesside’s position within the international aviation and aerospace sectors.
“Our airport offers the operational infrastructure, development land and connectivity required to support a business of this scale, while our position as a customs site within Teesside Freeport provides a clear commercial advantage.
“We are pleased to have agreed this long-term partnership and look forward to working with Alfor, ISS Group and the wider delivery team to establish a major aircraft conversion operation here at Teesside.”
The opportunity was secured following work led by ISS Group through ISS Airview, which introduced Alfor Aviation to Teesside Airport and supported the location assessment, commercial negotiations and development of the long-term investment proposition.
ISS Group worked alongside Alfor, Teesside Airport and their respective advisers to bring the agreement forward and establish the basis for Alfor’s UK expansion.
The relationship will now move into its next phase, with ISS Group continuing to support Alfor through the establishment and development of its Teesside operations. This will include strategic coordination, stakeholder engagement, investment and funding support, supply-chain development, workforce and skills partnerships, international market access and wider business growth.
Ammar Mirza CBE, Executive Chairman of ISS Group, said:
“This agreement converts an international relationship into a major long-term investment for Teesside.
“ISS Group identified the opportunity, brought Alfor and Teesside Airport together and supported the negotiations through to agreement.
“Teesside Airport provides the infrastructure, land, connectivity and ambition required by Alfor, while Teesside Freeport strengthens the commercial case for locating such a significant international operation in the region.
“The result is a £50 million investment, a new global headquarters and 250 permanent, highly skilled jobs.
“This is not the conclusion of our work with Alfor; it is the beginning of a long-term strategic relationship. ISS Group will continue working alongside Alfor and Teesside Airport to support the development of the campus, connect the business with regional and international supply chains, secure wider partnerships and help deliver its long-term growth ambitions.
“It is a strong example of how focused international engagement, trusted relationships and effective partnership can deliver tangible and lasting economic value for Teesside and the wider North East.”
The development strengthens Teesside Airport’s position as a location for aerospace, aviation, advanced manufacturing and logistics investment.
It also reinforces the role of Teesside Freeport in attracting international businesses seeking a competitive UK base with access to industrial infrastructure, global markets and integrated transport connections.