"I would have felt shame, I say it sincerely, to use this plane," Lopez Obrador said in a video announcing its sale, sitting next to the aircraft.
The proceeds will be used to build two hospitals in impoverished regions of southern Mexico, he said.
The jet, customized with an executive bedroom, private bath and seating for 80 people, was purchased for about $218 million during former president Felipe Calderon's 2006-2012 term in office.
The only one who used it was his successor Enrique Pena Nieto.
In September 2020, Lopez Obrador's government held a symbolic raffle aimed at raising funds roughly equivalent to the plane's value.
Last year he announced that the jet would be made available to rent for birthday and wedding parties.
