5 ms·
Here's an example: Moonlight II. It's a 300 foot yacht owned by a sheik [1]. The price is $100 MM. You can rent it for "from $705k per week" [2]. Could be more,
by credit_guy 5y ago
Here's an example: Moonlight II. It's a 300 foot yacht owned by a sheik [1]. The price is $100 MM. You can rent it for "from $705k per week" [2]. Could be more, I guess. If they manage to charter it for 30 weeks a year, that's a nice $21 MM. That more than covers any conceivable financing and operating costs. In fact, you'd be hard pressed to find an investment with a similar return.
[1] https://www.superyachtfan.com/yacht/moonlight-ii/ https://www.superyachtfan.com/yacht/moonlight-ii/
[2] https://www.fraseryachts.com/en/yacht-for-charter/moonlight-ii/ https://www.fraseryachts.com/en/yacht-for-charter/moonlight-...
- fnord77 5y ago> If they manage to charter it for 30 weeks a year that's a big "if"
- objektif 5y ago10 weeks would put it on par with Equity returns. Still not bad.
- TylerE 5y agoSomething like that probably has a one week turnaround between charters just to deep clean the thing, and reposition for the next trip.
- adhesive_wombat 5y agoEw, yes can you imagine the mess. I'm surprised no authority has raided one just after an investment banker party cruise, looked for the forgotten baggies and seized the vessel for "drug smuggling".
- vkou 5y agoIn most localities, the purpose of drug laws is not in constraining the behaviour of people wealthy enough to party on a super-yacht.
- 01100011 5y agoDoesn't that also have the benefit of making the yacht a business expense?
- adhesive_wombat 5y agoI think superyachts are too "tax-efficient" to be thought about in such simple terms.