ISLA will be an astronomical observatory, operating at the upper limit of our planet Earth atmosphere, offering space like observing conditions in most aspects. ISLA can be maintained easily, modified easily if necessary, always kept at the state of the art and operated for very extended periods without polluting the stratosphere. ISLA is ideally suited to become the first world space observatory as the observing conditions are very much space-like – diffraction limited angular resolution, very low ambient temperature, remote control – however ISLA is easily accessible, telescopes and instruments can be continuously improved and ISLA's costs corresponds only to those of ground-based modern astronomical installations like the ESO-VLT-, KECK- and GEMINI-observatories. The cost of observing and experimenting on ISLA will be orders of magnitudes lower than those of building and operating any space telescope, allowing the astronomers of developing nations to participate in the ISLA observatory within their limited financial possibilities as competent and full partners. ISLA's 4-m and 2-m telescopes will operate diffraction limited from 0.3 μm in the optical, over the infrared, far-infrared to the sub-mm spectral range. ISLA's individual telescopes will permit imaging with 20 milli-arcsec spatial resolution in the optical, 5 times better than the Hubble Space Telescope. ISLA's telescopes can be combined to form an interferometer with a maximum baseline of 250 m with nearly complete coverage of the u,v plane. Interferometric resolution will be of the order of 20 micro-arcsec for the optical. ISLA will thus offer spatial resolution comparable or better than the intercontinental VLBI radio interferometers. ISLA's telescope efficiency will be many orders of magnitude better than comparable ground-based telescopes. The light collecting power of ISLA's interferometric telescopes will be orders of magnitudes greater than the future space interferometers under discussion. ISLA, being an aviation project and not a space project, can be realised in the typical time scale for the development of aviation: about 5 years. ISLA's cost for the whole observatory, including its movable ground station etc. will be of the order of a typical medium size ESA space mission. ISLA's lifetime will be in excess of many decades, as it can easily be maintained, modernised, repaired and improved. ISLA will become the origin of a new astronomical international organisation with worldwide participation. ISLA's telescopes will be of the greatest importance to all astronomical fields, as it will permit to study much fainter, much more distant objects with microscopic spatial resolution in wavelength regions inaccessible from ground. ISLA's many telescopes permit easily simultaneous observations at many wavelengths for rapidly varying objects, from continuously monitoring the surfaces of the planets in our solar system, surfaces of close-by stars, nuclei of galaxies to QSO's.