Converting a Charter Boat into Personal Use

[studioH]

Long story short, my wife and I are into the process of buying a Lagoon 50 and putting it into a charter fleet. In 5-7 years time, we are looking to pull it out of charter and do a major refit before using it on a 1-2 year sailing sabbatical. Our plan is to buy the version with the owners hull on one side and three staterooms and 2 baths on the other. We will covert the inboard room into an office once we start our full time cruising. We would love some advice/thoughts on what equipment to include in the original charter buying process vs. what we should add once we convert it to a live-aboard. Do we include a washer/dryer or just have the hookups installed? Icemaker? what size genset? sail types? dingy types? do we install a small set of solar panels and add to them later? 110v or 220v? etc. etc... Keep in mind that we have a 1 year old son (who will be 6 or 7 when we start our adventure). Any advice would be greatly appreciated. Thanks so much in advance and cheers.

[rabbi]

Originally Posted by studioH

Long story short, my wife and I are into the process of buying a Lagoon 50 and putting it into a charter fleet. In 5-7 years time, we are looking to pull it out of charter and do a major refit before using it on a 1-2 year sailing sabbatical. Our plan is to buy the version with the owners hull on one side and three staterooms and 2 baths on the other. We will covert the inboard room into an office once we start our full time cruising. We would love some advice/thoughts on what equipment to include in the original charter buying process vs. what we should add once we convert it to a live-aboard. Do we include a washer/dryer or just have the hookups installed? Icemaker? what size genset? sail types? dingy types? do we install a small set of solar panels and add to them later? 110v or 220v? etc. etc... Keep in mind that we have a 1 year old son (who will be 6 or 7 when we start our adventure). Any advice would be greatly appreciated. Thanks so much in advance and cheers.

Most of the options you listed will be at or near the end of their useful life after 5-7 years in charter. Washer, dryer, icemaker, genset, etc...
Thats why the charter companies replace their fleet around that age.

Solar panels should last longer, and of course all the hookups but everything else will most likely be in scope of the refit.

A 7 year plan is likely to change one way or another, especially in a young family. Life gets in the way, careers, more offspring, and that's just the nicer part of it. Make sure you have an exit strategy, both in case your dream falls apart and in case you decide to go earlier.

[pillars]

From the point of view of someone who's a beginner and has bareboat chartered a couple of times, in terms of on-board equipment like washers, water makers, etc I'd not worry too much about what you will need in 5-7 years and focus on what will charter well. i.e. what do charter people want? The equipment will be abused and what's needed for a short term charter is not the same as for living on-board. When the 5-7 years is up you do your refit and set it up with the latest and greatest gear then.

[pathlesschosen]

If crewed charter the equipment might be required.

[Captain Lately]

It's always good to get what you need first and add on as you encounter new needs.
The price won't go down so think ahead.

[Alec H]

Your boat should be outfitted according to the standards of the charter company. My boat did not come with fans; they added them. I had one electric head installed; they added another at their cost. I got a mast option that included mylar sails - they had to be replaced after one year; charterers never covered the mainsail. If you will want air conditioning, you might want the duct work in place, but wait on the compressor.

[Wave_length]

Our retirement boat is currently in a bareboat charter fleet in the Caribbean. It is a Bavaria/Nautitech Open 40. When we out-fitted the boat from the factory we only put what was necessary for charter. However this was a lot of equipment, it included 24,000 BTU A/C, 6500 watt gen-set and 2,000 watt inverter. Extra batteries. Upgraded the engines. Pre wired for washer/dryer.

Any equipment that was not needed for charter will go in later. Such as Radar, upgraded electronics, water maker, new and upgraded sails, washer.
Batteries will likely need to be replaced at end of five years. Sails will need to be replaced. I planned for the wear and tear of a boat being in a charter fleet. This way of obtaining a new boat works for me. So far I am very happy with the boat and the company managing it.

All the best

[jmschmidt]

It sounds as if you are having a new boat built rather than being “in the process” of buy a boat.

If a new build, other than having plumbing and electrical roughed in where you think you might want to add appliances and conveniences when you take over at the end of your charter contract, you need to stick with minimal goodies which will not cost you money if the charter operator won’t pay to maintain or replace them.

Today no one charters a 50’ boat without A/C. Electric heads are also becoming a must, as are electric winches. Other than that, stick to bare bones while in charter and suffer the inconvenience when you use your owner’s time. Add your upgrades after you take possession.

[Tillsbury]

I’m not sure I understand the benefits of doing this rather than just buying a boat from a charter fleet when they’re done with it. That way you can choose which boat you get and its condition, and you don’t tie up all that money for years. What am I missing?

[valhalla360]

Cheaper just to find a suitable charter boat when you get ready to head out and then upgrade what you need.

[jmschmidt]

I guess what you are missing is the guaranteed monthly income that a typical charter arrangement (such as the Moorings or Sunsail) pays its boat owners for 5 to 7 years which pays for at least 50% of the boat's original costs, provides thousands of dollars in owner's time if you want to use it and gets good to very good maintenance throughout the term of the charter agreement. After being a part owner in one Moorings charter boat in French Polynesia I now have an ex-Moorings boat under charter which has generate over $346,000 in gross rental income and paid me over $73,000 in less two years including being out of service for four months following Hurricane Irma. All hurricane damage was paid by the insurance the charter operator had arranged for.

[Tillsbury]

Ok, but 50% over 5-7 years is the least you’d need to cover the loss in value over that time, plus the fact the boat will have been heavily used. And you still haven’t covered the cost of the money being tied up all that time.

[GordMay]

Greetings and welcome aboard the CF, studioH.

[jmschmidt]

My former partner on our Raiatea based Moorings boat recently bought a brand new one in that location and gets $4,500 net guaranteed monthly income for 62 months. That's $279,000 with no maintenance, mooring or insurance costs over that period. Plus more owners time that anyone can use at less that $1,000 a week for a $11,000 a week charter boat. When coming out of charter if the owner is diligent with his survey, sea trial and personal inspection, Moorings will fix or replace any significant issues or pay the owner in cash to have his own work done. Boats coming out of charter are not "trashed" for obvious reasons as some with no experience seem to think. They need to be in good shape for the charter operator to make money. Most are way better maintained than just about any privately owned used boat I've ever seen.

[scarlet]

Originally Posted by studioH

In 5-7 years time, we are looking to pull it out of charter and do a major refit before using it on a 1-2 year sailing sabbatical.

You nailed that!! after 5-7 years in charter, you will NEED a major refit. those boats get beat to ****!!

Why not buy a 5 year old privately owned boat, that was well maintained. Hundreds of thousands of dollars saved, and most likely wouldn't need a major refit...

Seems like an outrageous amount of money to lose for a 2 year sabbatical...