Yacht Refits Still More Prevalent than Newbuilds

In recent years, shipyards and yachting businesses alike have seen a dramatic fall in newbuild superyachts; whilst the global recession of 2008 caused this decline, owners are still opting for refit over newbuild.

Nautical Structures, a specialist in load-bearing marine structures, davits, cranes and passerelles confirmed this theory.

Rick Thomas, vice president of Nauticial Structures explained, “There are too few new projects which are driving competition to unhealthy levels at times. Whilst it is important that all companies remain competitive in business, the industry also needs to be able to support new product development, innovation and product support, which means the companies providing these products need to be profitable.

“It is a fine line we walk in this industry, some companies have already failed and perhaps more will. Nautical Structures is fortunate enough to enjoy a core group of companies that are very loyal and supportive to the business.”

With the recent closure of award winning superyacht builder, Fitzroy Yachts, New Zealand, it is apparent this issue is reaching all corners of the globe. Speaking in January 2014, Rodney Martin, managing director of Fitzroy Yachts said, “Like a large number of our fellow yacht builders, we have felt the effects of the 2008 global financial crisis and its impact on the new build order book.”

Nautical Structures has seen a recent boom in refit and repairs, with many clients approaching them wanting significant work done, the company said.

Thomas explained, “There seems to be more recent activity working with naval architects and designers, which is a good indication of new builds to come.”

With the global economic outlook looking promising for the next five years, it looks like the superyacht industry may again see more and more new builds being introduced to the market.

Nautical Structures launched in 1986 and has been managed in partnership since 1991 by Bob Bolline and Rick Thomas. Today, Nautical Structures is best known for its ETO (engineered to order) equipment manufactured for yachts from 20M to over 160M.