Avelo Airlines, the budget carrier that gained rapid recognition during the COVID-19 pandemic, has announced that it will be shutting down its base at Hollywood Burbank Airport by early December. This marks a major shift in the airline’s strategy as it reassesses its operations to focus on more sustainable and profitable markets across the United States.

A Farewell to Burbank Operations

For over four years, Hollywood Burbank Airport served as a key hub for Avelo Airlines, with the airline establishing a strong presence in Southern California. Avelo’s rapid expansion from this base included flights to destinations such as Northern California, Oregon, and Montana, quickly becoming a popular choice for travelers in the region. By 2023, nearly one-third of Avelo’s total customers were serviced through its West Coast operations.

However, in a recent announcement, the airline confirmed that it will be ceasing all operations from Burbank by December 2, 2025. The airline plans to significantly reduce its presence on the West Coast, leaving only one aircraft stationed at the airport by mid-August.

Realigning Focus Toward Growth Markets

The decision to close the Burbank base stems from a strategic assessment of the airline’s financial viability and operational effectiveness. The airline noted that the increasingly competitive landscape in Southern California, combined with evolving market conditions, made the continuation of operations at Hollywood Burbank Airport less sustainable. The airline expressed that “the continuation of service from Hollywood Burbank Airport in the current operating environment would not deliver adequate financial returns.”

Avelo has decided to redistribute its aircraft to locations where the airline sees more promising long-term growth opportunities. This shift reflects a broader strategy to optimize operations and focus on more efficient routes in markets with greater potential.

Impact on Employees and Passengers

Avelo’s decision to scale back its West Coast presence will have a direct impact on its California-based workforce. However, the airline has assured employees that they will be offered opportunities to transfer to one of the company’s other bases, including locations in Hartford, Connecticut; Charlotte, North Carolina; and Wilmington, Delaware. This initiative demonstrates the airline’s commitment to maintaining a flexible workforce while adjusting to market changes.

For passengers who have booked flights from Hollywood Burbank, Avelo will be offering full refunds for any affected reservations. The airline is providing an easy online process for customers to reclaim the cost of their bookings, ensuring minimal disruption to travelers.

Avelo’s Path Forward: Prioritizing Strategic Expansion

This closure represents a pivotal moment in Avelo’s journey, which began with its launch in 2021. The airline has been focused on expanding its presence in smaller markets, offering affordable travel options across the U.S. While Avelo found success in Southern California, the airline has come to the conclusion that to continue thriving in the competitive airline industry, it must adjust its focus and concentrate on routes that offer greater profitability and operational efficiency.

Looking ahead, Avelo is likely to concentrate its efforts on strengthening its operations in cities where it can achieve greater market penetration and sustainability. By reallocating its fleet to more promising markets, Avelo aims to remain a leader in low-cost travel while ensuring long-term growth and stability for the company.

The closure of the Burbank base is a bittersweet moment for Avelo, marking the end of an important chapter in the airline’s history, but also signaling the beginning of a new phase that is designed to ensure the carrier’s future success.

Avelo Airlines’ decision to close its Hollywood Burbank base reflects the challenges faced by budget airlines in highly competitive markets. While it will lead to a reduction of services from Southern California, the move aligns with the airline’s broader strategy to focus on markets with more efficient growth prospects. As Avelo realigns its operations, the airline remains committed to offering affordable and reliable travel options for its expanding customer base across the U.S.