"Evicted": Marina Won't Renew Contract for Next Year to maximize Profit

[CaptTom]

There have been discussions about Safe Harbors buying up lots of marinas, and about their business practices. Was it them? Just curious.

An unfettered grab for profits would eventually reduce all marinas, and all waterfront land, to high-end condos. This is NOT what I call market capitalism.

Capitalism has been around forever. Look at the ruins of any ancient city and you'll see the marketplace. That society established a place, and a set of rules, for trade. Businesses and vendors competed within that set of rules, and the ones which did best were the ones who met the customer's needs most efficiently. There's nothing wrong with that.

The problem comes about when we make the rules. In some places, the local population has seen value in maintaining a "working waterfront" and has made rules to encourage businesses to meet that need. In other (most?) places, the needs of the wealthy who desire beachfront condos are prioritized.

We can't really blame the businesses. Give them a level playing field --a marketplace -- where all have to play by the same rules, and they'll compete there. And they'll give us exactly what we asked for.

At the micro scale, one solution is what my marina did - become a private club. The land is owned jointly by the members and will not be sold to developers anytime in the foreseeable future. The owners (members) value the current use too much to sell out. Without that ownership interest by boat owners, for-profit marinas will eventually all be sold out to developers or Mega-Corp marina chains. Mom-and-Pop marinas are a thing of the past.

[Tortuga's Lie]

Originally Posted by CaptTom

At the micro scale, one solution is what my marina did - become a private club. The land is owned jointly by the members and will not be sold to developers anytime in the foreseeable future. The owners (members) value the current use too much to sell out. Without that ownership interest by boat owners, for-profit marinas will eventually all be sold out to developers or Mega-Corp marina chains. Mom-and-Pop marinas are a thing of the past.

This is my situation, I was fortunate enough to find a condo-style marina where I bought a slip for $X, pay HOA dues ($500/year, which covers pool, bathhouse and landscaping) and enjoy the thought of never having to worry about my marina selling out or slip fee increases etc. plus when I get too old to boat, I should be able to sell my slip for at least what I paid for it which means that I only paid $500/year for my marina.
My old marina (mom and pop) is on the market (hopefully Safe Harbors doesn't buy it) and I found out that the slip I was in went up almost 100% after we left, good timing!

[S/V Illusion]

Originally Posted by Mike OReilly

The myth I was referring to is the notion that wealth in a capitalist society equates to those who work the hardest, and if you are poor it is your fault because you worked less.

As I said, this circumstance is perfectly in line with how a capitalist society, and business within said society, is expected to operate. Profit maximization is the bottom line, so naturally our OP shouldn't be surprised at what is happening.

Read the sign on the front door - it says this is the land of opportunity, not the land of entitlement

[rslifkin]

Originally Posted by CaptTom

Mom-and-Pop marinas are a thing of the past.

Except in the few places left where there's enough waterfront land that's good for a marina and isn't wanted for big development (due to low population or other factors), I unfortunately agree.

[LittleWing77]

Originally Posted by CaptTom

There have been discussions about Safe Harbors buying up lots of marinas, and about their business practices.

An unfettered grab for profits would eventually reduce all marinas, and all waterfront land, to high-end condos. This is NOT what I call market capitalism.

The problem comes about when we make the rules. In some places, the local population has seen value in maintaining a "working waterfront" and has made rules to encourage businesses to meet that need.

At the micro scale, one solution is what my marina did - become a private club. The land is owned jointly by the members and will not be sold to developers anytime in the foreseeable future. The owners (members) value the current use too much to sell out. Without that ownership interest by boat owners, for-profit marinas will eventually all be sold out to developers or Mega-Corp marina chains. Mom-and-Pop marinas are a thing of the past.

I respectfully disagree, Tom, with your statement that Mom-and-Pop marinas are a thing of the past.

They don't have to be. I would submit that, like voting, one can vote with their feet. Nokay now has the opportunity to find and support a local marina not owned by a profits-hungry corporation.

That's one thing I find this pandemic has prompted me to consciously do: I've searched out, and taken my business specifically to local businesses, even though it costs me a bit more. If we don't want an Amazon-only world, we have to leverage those opportunities that arise to seek out and support our fellow local businesses - in order that we won't end up with one big ticky-tacky world.

Oh, and for those interested, here's a recent thread on the appalling practices of the Safe Harbour Group and others of that ilk.

Monopoly Marina Ownership Makes Disabled Veteran Homeless
https://www.cruisersforum.com/forums...ss-253233.html

Fair winds, All,
LittleWing77

[Ericson38]

Originally Posted by Calif.Ted

Mine just raised slip rate from $675/month to $910 and with a 6-10 year waitlist they ain't shy about saying "Don't let the door hit you on the way out if you don't like it."

Is that in Dana Point ? I was reading that there is a marina in Orange County that is really rasing their rates. We are in Ventura County, so a 50 foot slip is still under 1K per month.

[LittleWing77]

Originally Posted by Mike OReilly

The myth I was referring to is the notion that wealth in a capitalist society equates to those who work the hardest, and if you are poor it is your fault because you worked less.

As I said, this circumstance is perfectly in line with how a capitalist society, and business within said society, is expected to operate. Profit maximization is the bottom line, so naturally our OP shouldn't be surprised at what is happening.

Originally Posted by S/V Illusion

Read the sign on the front door - it says this is the land of opportunity, not the land of entitlement

Mike's not "entitled", Illusion, he's just Canadian.

As you can see, our national perspectives at the root, differ tremendously and fundamentally. I often explain it to my American friends that your Bill of Rights states something to the effect that all Americans have the right to "life, liberty and the pursuit of happiness" (singular perspective - from self, outwards).

Above the entryway into our Senate in Ottawa, it says that our fundamental value as Canadians is "peace, order and good government" (how exciting, eh?) What that conveys to us is that our society is about things-shared and a can't-we-all-just-get-along perspective (collective).

Anything else would be considered rude - and that's something all Canadians are absolutely loathe to be.

Of course, that also means we have a more hate-tolerate relationship with capitalism. We know it exists and functions preeminently in today's world - but we don't like it much.

Warmly,
LittleWing77

[Mike OReilly]

Originally Posted by S/V Illusion

Read the sign on the front door - it says this is the land of opportunity, not the land of entitlement

I have no idea what you're talking about. It has nothing to do with my comment.

ADD: Yes, thanks LW.

[Calif.Ted]

Originally Posted by Ericson38

Is that in Dana Point ? I was reading that there is a marina in Orange County that is really rasing their rates. We are in Ventura County, so a 50 foot slip is still under 1K per month.

Yes, Harbor is owned by the county but run as a Public/Private entity. Prior operators were limited to increases tied to cost of living. Originally approved by coastal commission to provide access for the average guy with majority of slips 30' and under. After 25 years of legal wrangling over long overdue and needed repairs it's finally started. So the county hired an "investment company" to oversee.
Talking to a broker friend the other day I mentioned Ventura as one of few possible options and he told me he'd heard Ventura is full now.
50' here is now $1767.50 a month.

[patrickbarbary]

Originally Posted by Nokay

I'm quite shocked. Our marina here in the North East (Cape Cod/Buzzard's Bay) just informed us that they won't renew our contract for next year. We have been with them for two years.

After giving all sorts of vague reasons they finally admitted that they are a "Full Service Marina" and that they prefer customers that use all their services such as the yard, winter storage, detailing service (!) etc. I pressed the dockmaster quite a bit and I don't think he meant to admit this.

I do all my own work ... both because I am able to and because I enjoy doing it myself ... and we winter-store out boat with a yard that lets me go to the boat in the winter to do work on it. (Our marina won't even let us put our canvas cover on ourselves once it is out of the water.)

I'm just floored that they could and actually would do that. We're now scrambling because no marina currently knows if they have space next year. Quite a terrifying thought not to be able to get a marina slip next year.

Is it possible that the pandemic has created such a demand for slips that marinas can now profiteer from the situation and they try to upgrade to "full service" customers?!

I understand the disappointment, but it's a business, and businesses try to maximize. If you own a restaurant, you'd rather have a wine drinker than somebody who drinks water...

[deblen]

Well said Little Wing! That is a fundamental difference between Canadian & American attitudes.
I will not argue which is right or wrong.The two countries just look at life differently. It is what it is. Cheers/Len

[sail sfbay]

Got to decide what value that marina is to you with the extra costs and inconvience of not being able to work on the boat during the winter vs. other marinas.

[Sailor647]

Originally Posted by Nokay

Our marina here in the North East (Cape Cod/Buzzard's Bay) just informed us that they won't renew our contract for next year.

I do all my own work ... both because I am able to and because I enjoy doing it myself ...

Will you post a current picture of your boat? I've seen a lot of do-it-yourself work that I wouldn't want in my marina even if you manage to get it insured.

Just a thought.

[valhalla360]

Originally Posted by Orion Jim

This has been going on for forty years since the large conglomerates started buying out the mom and pop operations. Your best bet is to visit prospective marinas in person. It’s easy to tell someone on the phone there is no room at the inn whereas you may find that the owners like to size up prospective members of their marina family in person. I have always been in marinas which were family owned and I would find another if the unmentionable were to occur and they sold out to a large corporate entity.

Since the first farmer traded a sheaf of grain for leg of antelope from a hunter...reality has held sway. If another hunter offers 2 legs of antelope for the same sheaf of grain, all else being equal, who do you think they will do business with?

[Mlp48]

I've just heard 2 customers in one area being asked to "move on". One, I heard, was asked to leave for complaining too much and the other was asked because they would only rent a slip in a full-service yard.

To be very fair, inveterate complainers and penny-pinchers are more than tiresome !

The yards likely do have wait-listed people who say that they will commit to full-service .. "if only WE can have a slip". It will be too bad for all if the yard can't deliver that service and that's not implausible because there is a shortage, in many places, of those who want to do and can do boat work.