Are some yacht fraction syndicates disguised business?

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vociferousMeldrew

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I was musing through the yacht share listings at a web site and encountered one middle of the road mid 30's ft example for sale that priced the 15 year old AWB whole boat at £32k. Not bad I thought as it is listed & highlighted as a discounted asking price for a quick sale.

Then I got to the running costs for the syndicate = £300 per month per 1/8th share = total annual syndicate costs of £28,800 p/a = ouch!

Maybe Alcudia Marina in Mallorca is the Salterns of the western med but come on £28k per year to run a very average yacht, what am I overlooking?
 
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About half of that cost is the marina berth I suspect. The rest is easily spent if a professional is paid to do maintenance and perhaps clean between owners. I'm not surprised at the figure but it is a very expensive place to keep a boat.

Yoda
 
I was looking at the same website the other day and made the exact same observation (Bavaria 36 Musketeer?) Seems to me that the boats with super expensive running costs are all Mallorca based so I looked up one of the Alcudia marinas (Bonaire) and it was about 7500 euro for a birth and 320 for a lift. 2k for annual costs such as insurance, antifoul, and engine servicing. 4k for the replacement gear fund which should keep such a boat in very fine fettle indeed. 350 for sea help. Call that lot 15k just leaves the fee for the management support which I don't know about, 5k? Still leaves 8k on the table.

Then again I know someone who operates a 40 ft charter yacht out of Lymington. He keeps it tip top and reckons 20k pa running costs without a management company so maybe?
 
yoda said:
About half of that cost is the marina berth I suspect. The rest is easily spent if a professional is paid to do maintenance and perhaps clean between owners. I'm not surprised at the figure but it is a very expensive place to keep a boat.
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£14k to keep a 36 footer in a top league Spanish marina, wow how things have changed.

I can see that for demanding clients who expect turn-key yachting the figures asked still represent a reasonable alternative to med chartering, but at the end of the day it is still just a 14 year old shallow keel Bavaria 36.
 
ridgy said:
I was looking at the same website the other day and made the exact same observation (Bavaria 36 Musketeer?) Seems to me that the boats with super expensive running costs are all Mallorca based so I looked up one of the Alcudia marinas (Bonaire) and it was about 7500 euro for a birth and 320 for a lift. 2k for annual costs such as insurance, antifoul, and engine servicing. 4k for the replacement gear fund which should keep such a boat in very fine fettle indeed. 350 for sea help. Call that lot 15k just leaves the fee for the management support which I don't know about, 5k?
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Yes Musketeer.

Like you I suspect a management charge lurks in the £28.8k annual running costs. For some it will represent a safe incremental step onwards from the easy entry options like FlexiSail, each to his own. I saw some much better options listed for the more experienced fractional owner, those options with cheaper running costs are in the Eastern Med.
 
ridgy said:
I was looking at the same website the other day and made the exact same observation (Bavaria 36 Musketeer?) Seems to me that the boats with super expensive running costs are all Mallorca based so I looked up one of the Alcudia marinas (Bonaire) and it was about 7500 euro for a birth and 320 for a lift. 2k for annual costs such as insurance, antifoul, and engine servicing. 4k for the replacement gear fund which should keep such a boat in very fine fettle indeed. 350 for sea help. Call that lot 15k just leaves the fee for the management support which I don't know about, 5k? Still leaves 8k on the table.

Then again I know someone who operates a 40 ft charter yacht out of Lymington. He keeps it tip top and reckons 20k pa running costs without a management company so maybe?
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For Mallorca berths and running costs you’re well light of the current figures. A marina fee of €14-16k for a 12 metre boat would not be unusual. Servicing and maintenance can have prices to match.
(I work out of Palma occasionally on boats kept in Palma or Puerto Portals.)
 
In Alcudia currently for 35Ft 500 euro + 21 %/month including everything so if boat been there for 12 + months a bit less for 32 Ft. There has been/is an attempted price hike going on following a failed attempt to become the "superyacht base" of NE Balearics so much turmoil all round and I have heard of 8+K inc for a 33Ft in last month a lot of boats have left so loads of gaps despite having to go on the "waiting list." Nowhere near that sort of price.
Bonaire round the corner was regarded as the more expensive option however fellow last week reckoned 2/3 of the price of the new Alcudia rate for 33 Ft but they do have a waiting list.
Its not a cheap place if you want things done properly (& on time) but by no means super yacht prices and some things work out surprisingly inexpensive.
Draw your conclusions
 
choppy said:
In Alcudia currently for 35Ft 500 euro + 21 %/month including everything so if boat been there for 12 + months a bit less for 32 Ft. There has been/is an attempted price hike going on following a failed attempt to become the "superyacht base" of NE Balearics so much turmoil all round and I have heard of 8+K inc for a 33Ft in last month a lot of boats have left so loads of gaps despite having to go on the "waiting list." Nowhere near that sort of price.
Bonaire round the corner was regarded as the more expensive option however fellow last week reckoned 2/3 of the price of the new Alcudia rate for 33 Ft but they do have a waiting list.
Its not a cheap place if you want things done properly (& on time) but by no means super yacht prices and some things work out surprisingly inexpensive.
Draw your conclusions
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All true, but the OP was about unrealistic costs and if the boat is in Puerto Portals or Palma etc the costs are much higher and more easily explained.
 
ridgy said:
Now down to 3500 ono...

https://yacht-fractions.co.uk/boat/1272/

Putting the purchase price to one side which you will mostly get back, if you can use the full 6 weeks then the equivalent of £600/week charter is actually a pretty good deal for the area.
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The headline whole-boat value at that share price is now £28k which is less than the annual charges, does anyone else think this is looking like a shoreside timeshare with high annual management charges leading to a problematic exit scenario?

For many it will be a good deal, 6 weeks accommodation and sailing in the sun for half the price of a Hamble berth. Add flights that can be purchased way in advance at teaser prices plus the ability to eat onboard and the whole setup compares favourably with any holiday, budget wise.
 
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