After a difficult 12 months charter prices are beginning to level off
Fort Lauderdale, FL (PRWEB) April 28, 2010
Following a difficult year, the opening weeks of 2010 have presented encouraging signs of recovery in the luxury yacht market. Early interest from prospective buyers is showing signs of improvement for the yacht brokerage market, while a number of early bookings for Mediterranean yacht charters has given hope of a more widespread and long term recovery for the luxury yacht charter market. Although the yacht construction market is still in a state of crisis, the recent completion of a number of new-build contracts is an early sign that a long awaited recovery may be on the horizon.
Early Enquiries Raise Hopes for the Yacht Brokerage Market
Fraser Yachts are reporting that they have been handling an unusually high number of enquiries into yacht sales, many of which have been followed up with yacht viewings. This is particularly surprising given the continuing plight of the world financial markets and the level of interest is also unusually high for the winter months. It is normally during that the months of March and April that most serious buyers tend to appear, with the majority of transactions taking place in time for the summer season. Given the state of the market it is unsurprising that the majority of potential are looking for significant discounts, but nevertheless the increase in general interest is more than welcome!
Early Bookings for Mediterranean Yacht Charters Give Hope for Widespread Recovery
Following a disappointing winter for the luxury yacht charter market, during which the uptake of Caribbean yacht charters was particularly low, there are early signs that a recovery might be on the way. January and February have seen a number of bookings for Mediterranean yacht charters and there is widespread confidence that this years summer season will be far busier than that of last year. Following a difficult 12 months that saw charter prices tumble for all but the most sought after yachts, charter rates have begun to level off and although there are likely to be certain discounts on offer, they are unlikely to be as common as they were last year. Fraser Yachts are well prepared for the summer season and have several new yachts available for charter while a number of their older vessels are receiving refits in ready for the season.
Empty Slips at Several Major Shipyards Despite Encouraging Signs of Recovery
As a result the yacht construction market is still in crisis and this will soon be reflected by an increasing number of empty slips appearing at the world's leading shipyards. As a result, Clients looking to build new yachts are in a strong position to negotiate favourable rates. However, although prices have fallen significantly, most shipyards will still face high production costs and so will not be able to reduce their prices as much as some clients might be hoping. Fortunately the news is not all bad and Fraser Yachts have experienced some positive signs of recovery. December saw a number of large construction contracts signed and this trend has continued into the New Year as two of the company's brokers oversaw the signing of a very significant construction contract.
While it seems unlikely that 2010 will be a lucrative year for the luxury yacht market, the fact that Fraser Yachts has experienced a relatively successful start to the year should give the industry as a whole reason to be hopeful for the coming year. Recent activity in the yacht charter and brokerage markets has been particularly encouraging and offers strong hope that the yacht construction market will soon be picking up in turn.