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I'm designing a 40' sailboat and was wondering if
it's a good idea to put the engine under the dining
table to save some space.

If the engine isn't used that often then the noise
may not be a problem but I'm still a little worried
about the smell.

Does anybody know any boat made this way ?

Thanks in advance for your suggestions.

I have friend with a Newport 41. In this boat the 4 cylinder Kubota is
located at the aft end of the port settee, under a removable
countertop/drawer combo. I've never noticed any particular engine odour in
his boat and he has never mentioned engine odour as a problem. He had a
fair bit of oil leaking into the engine compartment from his front seal
before replacing it and again this did not seem to cause odour in the cabin.
If you use sound insulation and provide some ventilation to the exterior of
the boat I don't think you'd have a problem and access could be very good.