We all know that a super yacht its a toy only achievable for weatlhy people. A super yacht its obvsioulsy expensive. But how much it costs to manage a luxury yacht? How much it cost keeping a super yacht? What are the yachting’s hidden costs? Those are the question that will find answer in today’s Luxury Yacht Article.
Doug Von Allmen, specialist in private equity investor, says that “operating and maintaining a super yacht is at least 10 percent of what the thing cost “. Can you imagine how much it costs to mantain the luxury yacht Diamonds Are Forever (the yacht on the cover), that has the value of $ 59 500 000?
In order to understand Von Allmen’s approach, see this – the owner of a $10 million yacht should expect to pay $1 million every year to keep it running. So, the costs for managing Diamonds Are Forever, every year, should be almost $ 6 million.
Both Kim Kavin, the charter editor at Yachting magazine and editor of CharterWave.com, and Gianluca Fenucci, the founder and director of ISA Yachts, told Business Insider the 10 percent estimate is pretty accurate.
However, Nicolas Valin, the president of Neo Yachting, argued the rule of thumb “does NOT work…There are many aspects which interfere with the cost of operation of a yacht.”
While it may not be a perfect guideline, the 10 percent figure puts into focus just what a luxury yacht is: a complex, floating machine that requires a crew, huge amounts of fuel, docking, and maintenance.