Yachting Exclusive: Crisis or Opportunity? Superyacht Market Bucks Global Economic Trends

    MONACO, December 12, 2011 /24-7PressRelease/ -- In the dark months following the fall of Lehman Brothers in 2008 superyacht sales hit an all time low. January 2009 saw only four superyachts sold. February saw that figure drop to three. What we were seeing was natural market forces sluicing out the dead wood of speculation.

Years of boom had seen speculators move into the superyacht market, ordering yachts on spec and then selling them on without even stepping on board. Following the crash, the money dried up and the speculators moved on. Traditional superyacht owners were also selling up as they shored up their positions in case things got worse. The result was the market was flooded with luxury yachts for sale and very few new orders coming in for the shipyards. Things weren't looking good. Experienced yacht brokers however, realised that this purging of the marketplace was not necessarily a bad thing and that once the storm blew out and the mess was cleared up, business would resume, probably on a more solid footing.

Sure enough things did calm down and by the end of 2009 the market had picked itself up and dusted itself off and was doing good business again. December 2009 even saw sales of 31 superyachts, ten times the February figure, at what is traditionally a quiet period of the year. 2010 saw a gradual increase in growth as the market stabilized further. Steady rather than spectacular would describe the superyacht market in 2010. Buyers were out there, but not in their droves, and it was the larger yachts they were after. For those in the market for a yacht there were rich pickings to be had with a buoyant supply still driving down prices, although the average asking price showed an upward trend. An increasing stream of new orders favoured the Dutch yards. The general trend on the brokerage front for 2010 was a similar number of sales (205 in 2010 compared to 194 in 2009) but the yachts tended to be larger which pushed up overall turnover quite considerably (about 40%). Supply still outstripped demand though, which kept prices in check.

2011 got off to a tentative start but February already showed signs of strong growth. February 2010 was a good month for mega yachts for sale with two 70m+ boats sold, which skewed the turnover figures slightly, but in terms of orders placed and boats sold, 2011 definitely had the edge. March continued the pattern, with more boats on the market (up 50% on 2010), more price cuts (up 67%) and more boats sold (25 plays 14). The market was clearly self-regulating, with realistic pricing resulting in stronger sales. April continued this trend with more smaller boats being sold and, bucking the trend, the first 70m+ superyacht was sold.

May turned out to be a great month, with large numbers of boats sold, including one of the largest megayachts for sale, 114m Pelorus. Overall turnover was almost three times the May 2010 figures, but the feeling was that this was still a buyers market. June saw a return to good sales of smaller boats but a year-on-year drop of turnover. July saw another burst of activity at the top end of the market, with two 70m+ superyachts selling, which pushed turnover to 30% up on the same month in 2011. August showed that the recent trend of a strong spring and summer followed by a dip in August holds true, with only 12 sales, despite the fact that there were almost 60 price drops and 43 new luxury yachts for sale. September was a milestone month for yacht brokers, with new orders exceeding sales for the first time in years, a sign for those in yacht management that the market is changing and that buyers are taking advantage of low labour and interest rates and space in shipyards to build their dream boat.

The Monaco and Fort Lauderdale boat shows have echoed these encouraging figures and show that the superyacht buyers are seeing opportunities where others have seen only crisis, and are buying and ordering boats for the love of it, not the gain.
PEGASUS II - sold

This summer saw the sale if the superyacht Pegasus by YPI. Built in 2005 by the exclusive Dutch builders Oceanco she was refitted as recently as 2009. Her interior was designed by the multi-award winner Andrew Winch and boasts large, impressive living and entertaining spaces.

Her new owner is said to be very pleased with her size and condition.

Yachting Partners International (YPI) is a yacht charter broker, a yacht sales broker, a yacht management company and a yacht recruitment specialist and is part of the Barry Rogliano Salles Shipbroking Group (BRS). Renowned for its integrity, considerable industry experience and for getting results, YPI has accumulated vast experience in the fields of design, yacht management, luxury yacht charter and super yacht sales for some of the most discerning clients all over the world. For further details regarding luxury yachts for sale or for a more general enquiry please contact us by email at [email protected], log onto: www.ypigroup.com or call +377 99 99 97 97.

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