25-28 September 2024
An action-packed few days at Monaco Yacht Show offered a fantastic opportunity for networking and introducing some of our clients to the luxury yachting media. Organised under the High Patronage of His Serene Highness Prince Albert II of Monaco, MYS is the world’s leading superyacht event and a showcase for current and future yachting trends. The show features an array of leading industry experts, hand-picked luxury manufacturers and brands, Superyacht builders and designers, yacht brokers, nautical gadgets and water toys, luxury cars and motorbikes, helicopters and private jets to name a few.
Client news announced during MYS:
· Our client, Habacoa has officially secured funding to progress into 2025, ensuring the development’s timely completion and opening in 2027.
· Planning is well underway for The World Residences at Sea to make its mark in the South of France in 2025 as The Ship explores Europe for an iconic journey of summer sailing.
New Yachts:
It was incredible to witness the launch of the 122m Kismet – one of the world’s most expensive yachts for charter with an ability to cruise for a short time entirely on electric power. Called ‘a cathedral of design’ and boasting an underwater lounge with super-sized windows to observe ocean life, plus fully serviced spa and heli-pad, this is a yacht to dream of and sets new standards in luxury and innovation.
Insights:
· The US continues to be a strong market for both buying and chartering
· Charter bookings for 2024 are slightly up compared to 2023 and on a par with 2022, which was considered to have been one of the busiest years for the charter market in recent history
· The number of large yachts over 70 metres offered for charter is up by about 30% compared to 2022, and overall, the fleet of available charter yachts over 30 metres is thought to have grown by about 17%.
A few words caution though,
“Economic uncertainty on a global scale, particularly in key markets like Europe and the US, has led potential buyers to adopt a more cautious approach,” says Benjamin Bensahel, Europe Head of Sales and Brokerage at Camper & Nicholsons. He also points out that “rising interest rates and inflation have impacted [the] industry.” These rates are particularly affecting the entry-level market.
Overall, “the global economic concerns and geopolitical situation worldwide have impacted the market, while at the same time, the strong post-COVID market is coming to an end, with sales numbers returning to pre-COVID levels, a reduction in asking prices, and buyers becoming more cautious about the overall acquisition cost,” says Mathieu Bardon, Managing Partner for the Monaco office of Worth Avenue Yachts. Despite these headwinds, “the core demand for yachts remains strong, but the pace of transactions has understandably slowed,” observes Bensahel. With a strong lineup for the autumn shows, it will be very interesting to monitor the sales performance over the remainder of 2024.
Key Trends:
· Spurred by rising demand for activities onboard, enhanced water access and optimisation of exterior space is becoming more of a focus
· An increased demand for wellness centres, beach clubs, and flexible accommodations, with yachts tailored for charter purposes is becoming more common, as many owners who don’t use their yachts intensively are looking for ways to reduce ownership costs
· Explorer yachts and pocket explorers are also increasing in popularity with buyers seeking off-the-beaten-path adventures
· Reassuringly, there’s growing enthusiasm for eco-friendly technologies from both clients and shipyards, with developments in hybrid and electric propulsion systems and a new willingness amongst owners to adapt to more sustainable yacht management practice
Global ownership:
The US share of superyacht ownership in terms of numbers of yachts remained stable, Russian ownership continued its decline, which had set in during 2022. Meanwhile, owners from Greece and Turkey gained some further ground, while the share of French ownership also went up. The most notable country in the 2024 ranking is the United Arab Emirates, where the share of ownership went up across the board.
The world of superyachting is even more relevant than ever as a barometer of the global luxury lifestyle trends and it represents a pinnacle in travel experiences that those with the means to do so will continue to pursue. We look forward to future developments in this unique and innovative industry.
Quotes and information taken from MYS Report by SuperYacht Times Download the Monaco Yacht Show Market Report 2024 (superyachttimes.com)
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