Marina Corporate Buy-out? Alternatives?

[Happ]

Originally Posted by CaptTom

Today I was looking at some of the history of my marina, which is organized as a member-owned club. I also got some news about a local over-50 mobile home park which was trying to organize as a co-op to block a corporate buy-out of their park.

I realized that the same model could apply to marinas.

So many locally-owned marinas are being bought up around here. I imagine not all of the boat owners like the massive price increases and lack of local control which that brings.

So, why don't more of them band together and offer to buy the marina and run it as a member-owned club, or even docominiums?

I've been to a few marinas like this, including the one I've been at for over 10 years. Never had a bad experience.

Has anyone seen this done lately? Does anyone want to do that with their home marina?

Marinas around Beaufort NC are selling the slips individually. A few years ago a 40’ slip was going for $75k. I think they are closer to $100k now!

In New Bern they are doing the same thing. A 50’ slip is going for around $50k. It’s about 8 hours to get to the ocean! You still have to pay monthly maintenance fees. That runs around $250 a month.

The bottom line is there are a limited number of slips and more people want them.

[roland stockham]

There is a third alternative. In France and some of the west coast of Canada many marinas are owned by the city and run as a city corporation. The principal is that the harbour is both a local amenitie and, by bringing in tourism, boosts the income for all the businesses in the city. Usually means that it is a well run and reasonably priced thaditional harbour rather than a resort. I have heard there are some in Hawaii, does anyone do that in mainland USA?

[Cheyne]

Qutie a few towns along the east coast have municiple owned marinas. Where we are during the non sailing months (summer) for us in Urbanna, VA they have a town marina. They just got a grant to upgrade their docks to floating. We also have a private owned marina that we use and another marina that is condo's.

Cheyne

[Jammer]

Originally Posted by lifeofreilly57

So support your local independant marina before it's too late. The temptation to sell for a decent price is difficult to resist when you consider the drudge work and regulatory issues that marina owners deal with.

It is my experience that no one who owns a small business sells out because it is too much work.

They sell out either because they want to retire or because they aren't making money.

[Trekka]

Anchorage Marina in Baltimore is a Co-Op marina with all floating docks. A few years ago it faced a buyout offer that raised tensions big time. But for those who wanted to continue boating, the buyout payout would have covered at best a handful of years of the new prices. Opposition ruled and the community Board voted not just to turn down the offer, but to automatically reject any new approaches to selling.

You do not have to be a co-op member to get slip there. Rentals are available through the marina or from individual members.

The buying up of marinas and then jacking up rates is part of the great corporate buyout of our society. There are entire new housing developments being bought out by hedge funds before any individual homes go on the market to willing individuals or families.

You want to keep the cost of boating affordable? Support cooperative marinas.

[MicHughV]

I can relate to the above.

Here in Florida, a local conglomerate has been buying up area marina's.
Not quite sure what their intent is, but dockage rates are increased several times a year. Everything is " extra" these days...dock boxes, etc.

Even the well heeled are starting to say enuff is enuff.

I've noticed at a good portion of area marina's the slips are now empty.
Coupled with high marina fuel prices, I don't see how these conglomerates can stay in business.

[Hoodsail]

Originally Posted by roland stockham

There is a third alternative. In France and some of the west coast of Canada many marinas are owned by the city and run as a city corporation. The principal is that the harbour is both a local amenitie and, by bringing in tourism, boosts the income for all the businesses in the city. Usually means that it is a well run and reasonably priced thaditional harbour rather than a resort. I have heard there are some in Hawaii, does anyone do that in mainland USA?

Roland - Don't know how many ocean side marinas across the USA are owned by towns/cities, but ours still is in Guilford, CT, USA. And as you note, it draws tourists and $$ while being self-sufficient through paid slip fees. And its just pretty plus considerably less expensive than private marinas! Albeit open from April thru November.

[CaptTom]

Originally Posted by twofingerpoi

...Cape Marina, also adjacent, is a 50 year family run commercial marina that has been advised that their lease will not be renewed due to lack of improvements. So the lease will be up for grabs unless the family can secure funding and get a plan approved for millions in improvements. This is also one of the few marinas that caters to the small commercial fishing fleet that provides fresh catch to the many local restaurants...

This is a great candidate for the co-op model. The trick would be convincing the bank that the asset is worth the loan needed to buy out the current owners and upgrade. This isn't as insurmountable as it sounds. There's a US non-profit which helps mobile home park residents do exactly this ("ROC").

Of course the boat owners could also pool their resources and loan some or all of the money to the co-op. It would get repaid by the co-op just like a mortgage payment would. Our own marina did this when they wanted to jump on an opportunity to expand. A handful of members loaned the money and got monthly payments with interest. Eventually the club re-financed and paid them back.

I'd jump at any opportunity to join a new co-op like that. I've already saved more in annual slip rent than I paid to join, and on top of that I could sell today for a lot more than I paid to get in.

[more]

Originally Posted by Pete7

Energy prices in Europe have more than doubled in the last two years thanks to Mr Putin Needless to say domestic solar panels are becoming even more popular despite being at least 50'N.

We are able to measure electrical generation as a country and these are todays stats, all be it late winter so little solar and rather cloudy plus rain. A big push to get rid of coal and invest in clean supplies, again Europe is doing the same. Last of the oil powered stations switched off and pulled down a couple of years ago. However, this comes at a cost somewhere.

https://www.energydashboard.co.uk/live

not all EU, in Croatia depend how many energy you spent with total tax fee,net,fee,green fee 1kwh cost from 0,13 € to 0,17€
but energy always is fix price day tariffe 0.074789 € for kwh night tariffe 0.036697 € kwh + net + distribution + tax on end you pay this 0,13-0,175 € kwh for marine,comercial you must negotion price and pacage. but price start from 0,11 to 0,23 + tax,net and on 1 part total vat

but before 2 year some marina,restorant pay almost 1 € kwh also becouse you screw contract last usually 1-6 year spend eletric or not spend you must pay lot marina pay 0,6€ kwh next couple year

[more]

also we have this yacht,sport,fish call marina. but state always owner see and 3-12 meter from see shore. corporate is not possible buy and convert this marina in comercial by law. but becouse lot mess government port authority take control lot this marina,invest in marina for minimum safe level. ussualy firefighting part,remove deliric boat,remove company boat,remove boat without proper registration and payed tax. aftter couple year make election when all is by law and make new managment,and rent contract

[GordMay]

Thunder Bay, on the shores of Lake Superior, has a municipally owned & operated marina.
Prince Arthur’s Landing Marina is full service marina, with 271 slips, integral with Prince Arthur's Landing and Marina Park.
The park hosts numerous events during the summer season, including the [free] "Summer in the Parks" concert series, the Thunder Bay Blues Festival, kite festival, Canada Day celebrations, and many other annual events. Many celebrations are held on the waterfront, and it is the mainstay for the city’s north core [former Port Arthur].
➥ https://www.thunderbay.ca/en/recreation/marina.aspx

[CaptTom]

We've stayed in a lot of provincial/state/municipal marinas. Some are very good. I'd certainly prefer those to ownership by some remote investment firm.

There are potential drawbacks. They are by nature controlled by politicians. That can be a good thing, if the interests of all citizens are considered. But politics doesn't always conform to that ideal. There is often pressure from local business interests (which can include the afore-mentioned corporations.) Slip and mooring rents are raised to avoid competition with other marinas. Some municipalities plow money into marinas, and raise rates, to attract more "upscale" clients, driving out local, working-class boaters.

Boater-owned marinas aren't as likely to respond to these pressures.

[GordMay]

Originally Posted by CaptTom

We've stayed in a lot of provincial/state/municipal marinas. Some are very good. I'd certainly prefer those to ownership by some remote investment firm.

There are potential drawbacks. They are by nature controlled by politicians. That can be a good thing, if the interests of all citizens are considered. But politics doesn't always conform to that ideal. There is often pressure from local business interests (which can include the afore-mentioned corporations.) Slip and mooring rents are raised to avoid competition with other marinas. Some municipalities plow money into marinas, and raise rates, to attract more "upscale" clients, driving out local, working-class boaters.

Boater-owned marinas aren't as likely to respond to these pressures.

Indeed.

The City of Thunder Bay is looking for public input, as it considers the next phase of waterfront development.
An online survey [1] has been launched, to give residents the chance to provide feedback, as the city updates the existing Waterfront Master Plan.
Thunder Bay's Community Economic Development Commission (CEDC) is also taking a look at the development of the city's waterfront, but from an economic perspective.

More About: Waterfront Master Plan Update - Pool 6 Lands
➥ https://getinvolvedthunderbay.ca/wat...e-pool-6-lands

[1] Public Survey - Waterfront Master Plan Update
➥ https://getinvolvedthunderbay.ca/wat...er-plan-update

[CaptTom]

Gord, if I lived near there, I'd be pressing Thunder Bay to embrace two ideals: "Equity of Access" and "Working Waterfront."

That's political jargon for keeping boating facilities for "real" boaters.

"Equity of Access" means not pricing out the working stiff.

"Working Waterfront" expresses the value in preserving a cultural tradition.

Without concepts like these the whole thing will be up for grabs to the highest bidder. Which won't be the kind of facilities we want.

This might also be a good time to plant the idea of a not-for-profit, co-op marina owned and operated by the boaters who use it.

I wish everyone there good luck!