MegaYacht Impact on South Florida...

YachtForums · Nov 1, 2007

No matter where you go in S. FL, if you're near the water, chances are a big boat is within view. These stats confirm...

Report shows South Florida at "forefront" of global megayacht growth

By IBI Magazine

A report released last week at the Ft Lauderdale International Boat Show (FLIBS) says that the megayacht industry had an economic impact of US$732 million in 2006 on three counties in South Florida. The 1,500 megayachts (over 80 feet LOA) present in the waters of Dade, Broward and Palm Beach counties, also helped create 7,366 full-time positions.

The report, entitled "Recent Growth, Current Activity, and Economic Impacts of Megayachts in South Florida", is an update of two reports from 1997 and 2002 conducted by Thomas J Murray & Associates. It was funded by the Marine Industries Association of South Florida, Florida Yacht Brokers Association and The Broward Alliance.

Among the findings: An estimated 1,500 megayachts were present in tri-county waters in 2006, compared to 800 during 1997. The yachts spent an estimated US$219.8 million at boatyards, generated US$122.0 million in brokerage commissions, and US$30.6 million in charter industry commissions. "The megayacht-related direct impacts multiplied throughout the local economy to an estimated US$732.2 million in total new economic output — a 27 per cent increase in five years," read the report.

On average, said the report, megayachts were responsible for 67 per cent of gross revenues at tri-county boatyards capable of handling megayachts in 2006. The average expenditure in the boatyards has increased from US$140,000 in 2002 to US$169,000 in 2006. Over half of the major refit projects were on non-US-flagged yachts. The yacht activity supported an average of five full-time workers, or 7,300 jobs.

South Florida, according to the report, also leads the way in brokerage. "One of every two megayachts for sale worldwide is represented by local brokers," said the report. "Local brokers were instrumental in the sale of over US$1.7 billion in megayachts in 2006. Fifty per cent of yacht brokers feel that there is an increasing trend in megayacht brokerage business, while 25 per cent felt it was declining."

Charter firms in South Florida represent about 45 per cent of the megayachts available for charter worldwide, compared to 33 per cent five years ago. The brokers said that 43 per cent of sales come from megayacht charters in 2006, and 90 per cent said that segment of the business is increasing.

The report did note shortcomings in the region, including a shortage of available slip space for large yachts. "The lack of adequate dockage relative to growth in other regions is redirecting economic activity away form the tri-county region," read the report. "Also, the inability to market or charter foreign flag vessels without exposure to significant import duties and use taxes is a significant impediment to the region's brokerage sector and the related industry."

(1 November 2007)
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airship · Nov 2, 2007

The 1,500 megayachts (over 80 feet LOA)...
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Does this have anything to do with imperial and metric measures, or journalistic license? Only, I thought that there was already an agreed ISO standard whereby superyachts were only qualified when they measured at least 30 metres / 100ft. Can megayachts be both smaller, the same size and even bigger than superyachts...?

The Marine Industries Association of South Florida, Florida Yacht Brokers Association and The Broward Alliance should be told, or else the rest of us informed forthwith...?!

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MegaYacht Impact on South Florida...

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airship Senior Member