There is no end to the delusion in the older multi hull
market. We went to look at a multi hull project
vessel in Saint Augustine, Florida
The 30 year old catamaran
had been on the hard
for 5 years. The owner started to do a refit
but stopped with no projects completed. The vessel had no engines or sail drives. No electronics
, no functional sails
. The generator
had been removed and was gone. The standing rigging
was 30 years old. The running rigging
was completely rotted. No batteries
. Nothing. Nothing on the vessel was functional.
We checked the value of vessels of a similar year (early nineties) and size. We found 10 similar vessels for sale
that did not need a major refit
. During the inspection
we made a list of all the items that would need addressing for this major refit.
- 10 vessel current
market average value was $150k. (no major refit required)
- The owner wanted $150k for the Saint Augustine catamaran
- Refit scope
of supply and cost estimate for the Saint Augustine catamaran was $145k (its going to be more.....it always is.)
Even if they gave us the hull for free; the major refit cost would likely exceed the current commercial
value of the vessel itself.
We offered the owner what we considered a generous "scrap value" offer for the bare hulls. They of course rejected the offer because they are more driven by their dreams than any semblance of financial reality.
These deals have to make financial sense.
The older catamaran market is driven by dreams and delusion. Owners always believe that their vessel are worth more than they are....especially the scrap vessels.
Its a shame, because this vessel will likely never see the water
again, joining all the other vessels in the forgotten boat
yard of broken dreams.