WINTER 2012I sea&iI77brokerageThe fourth edition of Camper & Nicholsons (super) Yachting Index, launched in August, reviewed the year 2010. Herewe look at fresh figures from 2011, which show a gradual but significant upturn in the market ByAnne DixonASSESSINGTHE MARKETTimes may have been hard over the past few years,but in a welcome turn of events the third quarter of2011 (July to September) showed an increase in thevalue of yachts sold in the 24-metre-plus (78'-plus)size range, when compared to the same period in 2009 and2010. On an equally positive note, the value of yachts soldsince the beginning of 2011 was also up overall in the sameperiod compared to 2009 and 2010, proving that this wasn'tjust a blip, but rather a gradual and significant upturn overall. The market is certainly not roaring away and can still not bedescribed as being buoyant by even the most optimistic, butbuyers and sellers are finding more common ground and aremore readily able to agree sales prices than has been possibleover the last two years. Most sellers now appreciate that ifthey want their yacht to sell they have to price it competitively,while, for the large part, buyers have stopped talking exclusivelyabout distress deals and bank repossessions. They are nowlooking for more genuine, value-driven deals where they cansee that they are getting an appreciably better deal than theywould have a few years ago. They also want assurance that theyacht they are buying has been well maintained and is a goodinvestment overall.The upturn is not just in terms of value but also the volume ofyachts sold. From the first quarter to the third quarter, this rosefrom 207 units in 2009, and 235 units in 2010, up to 270 to datethis year. It needs to be noted, though, that these figures are forknown sales and don't take account of certain brokerage salesthat remain private and unknown. However, this has alwaysbeen the case so is unlikely to be significant statistically. However, while a general upturn is welcome news, it is onlywhen analysing the details that it is clear that the marketis still segmentally split by size and type, and that theimprovement is confined to certain very specific areas,with others trailing behind.?industry report
78Isea&iIWINTER 2012SOLD TO DATE THIS YEAROf the 270 yachts sold so far in 2011, 26 (10%) of them weresail-ing yachts. This is a little under the usual percentage split of themarket, as sailing versus motor is usually around 80/20.For the first to third quarter, 46% of sailing yachts sold fell intothe 24 to 30-metre (78' to 100') size range, compared to 42% forthe same period in 2010. In the 30 to 40-metre (100' to 131') sizerange, 35% were sold in2011, while 32% were sold in the sameperiod in 2010. In the 40 to 50-metre (131' to 164') size range,15% were sold in 2011, with 13% being sold in the same period in2010. In the 50-metre+ range, just one sailing yacht was sold in2011, while three were sold in this size range in 2010. With just one sale over 50-metres, overall market percentageshave been significantly affected. It is therefore evident that therehas not been a big shift in the trends in the sailing market segmentcompared to 2010. Overall, 24 sailing yachts were sold duringthe first to third quarter of 2010, whereas 26 were sold in the sameperiod in 2011. By the end of 2010, 35 sailing yachts had been sold.This figure is very much on a par with 2009, which saw 34 sailingyachts sold during the year. Considering how close the trends run,it follows that we may therefore witness a number of sales in thesailing yacht segment during the final quarter of 2011 -perhaps following viewings at the key autumn boat shows inMonaco and Fort Lauderdale. Seventy seven per cent of sailing yachts sold this year werepriced in Euros, and although this does not necessarily meanthey were sold to Europeans, the sailing yacht market doesremain predominantly European in bias. In the motor yacht category, the largest number of units soldto date fell within the 24 to 30-metre size range, totalling 41%of the number of yachts sold; the 30 to 40-metre range was notfar behind with 39% of the motor yacht fleet sold, while the 40to 50-metre range saw 14% of sales. The 50-metre + range saw 6%. SIZE MATTERSThe 24 to 30-metre motor yacht market has seen some 101yachts sold - the same number as was sold in the same periodof 2010 (first to third quarter) and approximately the same num-ber as for the whole of 2009 (first to fourth quarter). The 30 to 40-metre motor yacht market in 2011 has seen 94sales to date, compared to 83 for the same period in 2010, and96 for the whole of 2009. The 40 to 50-metre motor yachtmarket saw 34 units sold compared to 28 for the same periodin 2010 (first to third quarter), and 33 for all of 2009.