BoatBanter.com - View Single Post - What did your boat dock..................

Chuck Gould

wrote:
On 8 Jan 2007 09:04:15 -0800, "Chuck Gould"
wrote:

Do not try to keep your rates down to where your
slips are always filled. Shoot for about a 20% vacancy rate.
When you are 20% vacant because of higher rates, your overall revenue
will be more than it was with all of the slips filled at a lower rate
and your expenses will be less because you are providing services to
fewer boats."

Truth is, they can raise the cost of moorage as much as they want to-
and for folks who want to own and enjoy a boat too large to haul out
onto a trailer and park in the driveway (consequently pizzing off the
neighbors) there are few alternatives.

That sounds like the free market at work. If your boat is really that
big, mooring is not your biggest expense. Our problem in SW Florida is
there is not enough dock space at any price. (using business logic) I
doubt we would ever have universal 20% vacancy. Most decent marinas
have a waiting list and a guy standing there with a multimillion
dollar check, wanting to buy him out. I said upthread a ways, they are
selling "dockaminium" space for $300.000 plus a monthly fee and that
is for a boat you could trailer.

Precisely. I don't have a problem with it on an intellectual basis, but
emotionally I hate to see the toll it takes on the folks who can
barely afford to be in boating to begin with. Aside from the "nothing
down and $15 a day" hype at the boat shows- the truth is that there are
a number of expensive hobbies out there, and boating can be one of
them. Bring big bucks, or choose a minimalist experience.

I doubt that we'll ever see 20% vacancies, in real life, in the Pacific
NW. What we will see is the folks of modest means being under
increasing financial pressure. But as a landlord I absolutely have to
understand. I don't set rents based on what I paid for a house back in
the 70's, they're set at what the market will bear. Can't expect the
marina owner to do any differently.