Your dream of sailing on the high seas without worrying too much about the cost and maintenance of a yacht may soon be true.
Many clubs are out to tap the urban India’s craze for fractional ownership
MUMBAI: Your dream of sailing on the high seas without worrying too much about the cost and maintenance of a yacht may soon be true. For, you can own a yacht for as little as Rs 6 lakh a year and enjoy a multi-day cruise.
Fractional ownership, where each sharer member invests a part to get ownership of the boat, is fast emerging as a leisure pursuit among the urban rich.
And to cater to this opulent segment, premium yacht clubs like Aquasail, Club Privada, West Coast Marine and the like are coming up with a variety of solutions. Also they are providing complete maintenance facilities for the yachts.
Shakeel Kudrolli, director, Aquasail, said: “In emerging market like India, where leisure boating is yet to take off in a big way, solutions like this will bridge the gap.” Leisure boating market in India, considered currently at Rs 150 crore, is expected to double in the coming year, despite the lack of marinas.
Under one of the schemes offered by Club Privada, a down payment of about Rs 25 lakh for 3-4 years would get you a fractional ownership of a 35 ft luxury cruiser. Ideally shared by eight, this offers a month of sailing experience per year for each, on the Maharashtra coastline.
“We have also added the revenue return scheme to our existing product, where one can charter the boat time that he does not wish to use and get fraction of the returns,” said Karan Valecha, director of Club Privada.
West Coast Marine allows one to make a down payment of Rs 10 lakh and subsequent payment of Rs 2-2.5 lakh every year for four years to get a shared ownership of the yacht for five years. The club has already put five 31 ft powerboats on this scheme in the past three years for short distance travel — from Mumbai to Mandwa-Kihim beach on the Maharashtra coastline. Long distance cruisers in 44, 66 and 88 feet cruisers are available for Cochin, Goa cruise for a higher fee.
Here, Aquasail has launched a new product for the segment of customers who are ready to invest in buying a yacht but want to ensure its proper utilisation. The model works on one owner, who invests in buying the boat (about Rs 45 lakh for a 25 ft sailing yacht) and seven sharers who pay a fee per year (Rs 5-6 lakh) for shared ownership.
A percentage of this fee is shared with the owner for these five years, after which the boat is returned to him. The promoters feel this would also cover most of his principal costs.
Shakeel Kudrolli, founder of Aquasail, said: “The owner sees his boat being effectively used and managed, get 8-10% return on his investment and get to learn and sail the time he needs to.”
The company is launching this product in the Mumbai International Boat Show starting Friday and is confident to sell one yacht this year under this solution this year. Besides, fractional ownership programme also helps prospective buyers to take informed decisions. Aashim Mongia, who runs West Coast Marine, said: “Since the principal cost is high, the buyer can have fractional ownership to get the sailing experience and then decide whether to invest in buying or not.”
Fractional ownership has also been successful in private aircraft that allow an individual to purchase a fractional interest in a particular aircraft operated by a fractional aircraft seller.
s_archana23@dnaindia.net
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