buying a mooring

[Guest]

We all know how expensive annual berthing fees are, I had an idea of buying a flat in Ocean Village to rent out and holding onto the mooring for myself. Besides the mooring fee savings I would have an investment for the future. Any comments?

 

[Guest]

Been there John, thought about it many times, especially just recently as the mooring I rent at the moment has just gone up another 9.5% from last years price.

Now I looked at the Hamble River, all MDL leases theres a chap called Chris Gill at triangle berth brokers he is the man who brokers for people wanting to sell or rent out.

I did the sums many times but they just didnt add up IMHO, so left them alone, your idea sounds good at Ocean village although larger berths are not very often available.
Consider Hythe Marina village the best bet there is to buy a flat with a remote mooring, they are cheaper than a house unless you like the idea of the boat at the bottom of the garden, all sounds very nice but buying property at this time may not be a wise move.
The thought of paying out rent at 6K per year and rising all the time is not on for a long term commitment so for me I suppose its back to the drawing board, although my boat is on the market now, the reason I have not moved to buying a lease is firstly, the initial layout, then the annual cost to MDL for the marina charges, which is over 1000 per year at any marina, then at the end of it you have nothing to show for it, I would think that a business investment would be better to finance the boating costs.

Paul js.

 

[ParaHandy]

Consider this:

In May 1999 1,835 berths (including Port solent, Brighton etc) were purchased by Raglan Properties from First Leisure (Premier Marinas) for £14.8m. An average cost (incl goodwill) of £8,000 per berth. The latest published accounts for other marinas show similar asset values.

I believe that the typical lease cost (which is of course finite in term) is £30,000+ and (as paul points out) you are required to pay a management and maintenance fee.

No, the answer is to get enough of us together & buy a marina out.

 

[Guest]

Nice one Para, better still lets get into some coast based local council and build our own exclusive marina, keep it for ourselves and bring the prices down of others.

Then welcome to the real world, still we can but dream, as I say to friends who don't know anything about boats and the running costs that its not the buying of a boat that hurts as it is basically a non money loosing item, providing you buy a used one and be sensible about looking after it, its the mooring cost that tend to sap at the finances, the rest is comparable to any other hobbies on that scale.
Take for example I used to be involved in motorsport, rallying now that does cost money to do at a decent level, probably more now than boating and when it comes to sale day you don't get much back, especially if you end up in the trees!.

Paul js.

 

[Guest]

Build a marina.

Nice one Para, better still lets get into some coast based local council and build our own exclusive marina, keep it for ourselves and bring the prices down of others.

Then welcome to the real world, still we can but dream, as I say to friends who don't know anything about boats and the running costs that its not the buying of a boat that hurts as it is basically a non money loosing item, providing you buy a used one and be sensible about looking after it, its the mooring cost that tend to sap at the finances, the rest is comparable to any other hobbies on that scale.
Take for example I used to be involved in motorsport, rallying now that does cost money to do at a decent level, probably more now than boating and when it comes to sale day you don't get much back, especially if you end up in the trees!.

Paul js.

 

[ParaHandy]

Buy a marina

With greatest of respect, you can either "dream on" or do something about it. If you need some inspiration, just compound 10% over 5 years to find out what you will be paying in 2007.

It isn't difficult: set up a trust, finance it through the members. First, find the property cpy prepared to sell.

 

[Guest]

There's a nice flat over the RSYC for sale at the moment. Looked at it a couple of years ago. No idea what rental income is like in Southampton nowadays but it was well set up for company lets.

 

[Deleted User YDKXO]

John, I've looked at this myself recently and I think it stacks up if you can find the right property. My problem is that I was looking for a property with at least a 12m mooring and I could only find 3/4 bedroom houses at £300k plus with this size of mooring and thats a lot of cash to commit.
If you're happy with a 10m mooring, I think you may find 1 or 2 bed flats in Port Solent with 10m mooring costing £120-150k which could be rented out for about £600-800/month. It all makes financial sense providing the value of the property does'nt take a dive

 

[c_j]

We could always get together and build a marina in Swanage. God knows it needs it and how it failed to become a reality will always be a mystery to me. The Towns folk (I live some miles out of the Town so did'nt get a vote) voted narrowly against it in a low turnout referendum. But it would be interesting to see what obstacles are in the way now?


CJ
chris@stone.uk.com

 

[petem]

Did some investigation into this before christmas. According to the agents property rents out well in Ocean Village, yields didn't seem bad from what I can recall. In the end I decided to buy something more local so binned all my records.

Both Waterside Properties and Shoreline Properties (02380) 632288 were very helpful.

Good luck.

 

[stefan_r]

Re: Buy a marina

agreed...any ideas on how to take it forward??

mailto: stefan@athito.com

 

[Falcon71]

Bit late coming in to this. If you buy a property to let, you really have to think about how often the flat/house is realistically going to be let out. An annual contract would be very lucky, 6 months more likely, with probably a gap between lettings, so an average of 8/9 months out of 12 could leave you out of pocket, but if you weren't paying mooring fees meantime, that could be evened out, then of course there is stuff like agency fees, unless you can be bothered with all that tenant stuff, let alone fitting it all out, carpets, curtains, furniture, kitchen/bathroom fittings etc.etc. The benefit could be in the resale value at some years in the future. You can go on and on with this of course. The question now is, is there anyone out there that is doing this, what is their experience?

 

[Guest]

Re: yes, but med France

Moorings are reckned to have ben one of the most amazing investments in the med - not for the rental, but for the appreciation.

A 20-year lease on a 14m-15m berth on the s coast has gone up from (lets use £) 50k to over 100k in less than five years. A 23m berth (6 m wide) has gone from under 100k to over 200k. Prices are higher in some marinas more than others, and 50% higher (or more) in Majorca. Maintenenance charges (excl power) of 1,500 for smaller berths 2.5 k for the larger.

There;s been much chat about what happens at the end of the lease - the heavy betting seems to be a low-price 10-year extension, or a low-price addition to the maintenance charge. Why "low" price? Because the canny agents get half the purchase price in cash, so that on paper the berths are changing hands for half what they are actually fetching.