THE INTERNATIONAL YACHT COMPANY YACHT SALES & PURCHASE MARKET REPORT JANUARY - JUNE (H1) 2022 OVERVIEW
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H1EXECUTIVECONTENTSSUMMARY2022:YACHTINGINDUSTRY OVERVIEW IN NUMBERS SALES MARKET OVERVIEW TOTAL NUMBER OF YACHTS SOLD ABOVE 24M MARKET BALANCE YACHTS SOLD BY CLOSING LOCATION AND SIZE RANGE BROKERAGE YACHTS SOLD BY BUILDER MARKET OUTLOOK IYC YACHT SALES 2018 - H1 2022 IYC IN NUMBERSCONTENTS46810121416182022DISCLAIMER
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SALES MARKET REPORT | 5
The purpose of this report is to provide an overview of the state of the sales market during the first six months of 2022 and an outlook for the market until the year end. We take a close look at the superyacht industry and in particular at all yachts 24m (80’) and above. IYC is closely following the sales market through analytics, identifying industry trends and client behavior which are directly affecting the industry and its performance. GlobalSarantiMarketing Director
EXECUTIVE SUMMARY
Irini
With demand remainign high and expectations to see the market balance shift with more yachts listed for sale during the second half of the year, we see opportunities in both the used and new build yacht sectors.
Following a record year in the history of yachting, the first semester of 2022 was active in terms of sales with the market performing at slightly higher levels compared to the same periods in 2019 and 2020. The first six months of 2022 were characterized by ongoing high demand that continued to exceed the supply, with fewer vessels entering the market and superyacht prices remaining strong in both the new build and brokerage markets.
JANUARY - JUNE 2022: YACHTING INDUSTRY OVERVIEW IN NUMBERS 416 YACHTS SOLD IN H1 2022 €7,65M AVERAGE LAST ASKING PRICE OF BROKERAGE YACHTS SOLD IN H1 2022 €115K AVERAGE PRICE REDUCTION IN H1 2022
350 EXPECTED YACHT DELIVERY IN 2022 88 m LARGEST BROKERAGE YACHT SOLD IN H1 2002 (OCEANCO INFINITY) 1.800 SUPERYACHTS ON THE GLOBAL CHARTER MARKET
PRICES REMAINED STRONG WITH HIGHER VALUE YACHTS SOLD
LOWER VALUE PRICE REDUCTIONS In 2022 to date, the market recorded minor price reductions compared to previous years. The price reduction average was valued at €115,000, which only represented a decrease by -1.7% of the last asking price. The equivalent number for the same period in 2021 was €545,000 (-7,9% of last asking price), €589,000 (-9,5% of last asking price) in 2020 and €739,000 (-9,8% of last asking price) in 2019.
JANUARY - JUNE 2022
During the five first months of 2022 market demand surpassed supply; June was the first month of the year to show that this trend may start to shift. The first semester of 2022 concluded with a parity between yachts entering the market (402) versus yachts sold (416). Overall, looking at the market balance from January 2019 to June 2022, we see an excess of yacht supply versus demand, however the market remained in favor of sellers in Q1-Q2 2022.
The first six months of 2022 stood out compared to previous years in terms of the average value of yachts sold both in the new build and brokerage markets. New build vessels had an average asking price of €19,03m; this was a +10,57% increase compared to the same period in 2021, which had an average price of €17,21m. The same trend was recorded in the yacht brokerage sector, where average used yacht prices (€7,72m) were +24,9% higher compared to 2021 (€6,18m). This increase was a result of high demand coupled with higher construction prices for shipyards.
Following a record year in 2021 (1,273 units sold) the first semester of 2022 was active, with higher sales compared to the same period in 2019 and 2020. Despite a volatile macro-environment, monthly yacht sales were stable, except for June, which recorded a decline. The first six months of 2022 were characterized by ongoing high demand that continued to exceed the supply, with fewer vessels entering the market and superyacht prices remaining strong in both the new build and brokerage markets. From January to June 2022 a total of 416 superyachts were sold: 152 new build vessels and 264 brokerage. In comparison, the total number of superyachts sold during the first semester of 2021 was 647, 336 in 2020 and 367 in 2019.
SALES MARKET OVERVIEW
DEMAND WAS HIGHER THAN SUPPLY
64% OF YACHT DEALS CLOSINGS IN EUROPE Europe accounted for 64% of total deals in terms of closing location; the equivalent number was 55% for the first semester of 2021. Out of the 263 yachts sold in Europe, Italy represented 54% of deals in the region. The US accounted for 27% with 84% of transactions closing in Florida. During the first semester of 2022 the US accounted for 32% of global yacht sales. NEW BUILD YACHT SALES ABOVE 50M REMAINED STABLE Since 2019, new build yacht sales over 24m have reported an increasing trend. There were 102 new vessels sold during the first semester of 2019, 121 in 2020, 204 in 2021 and 152 during the first six months of 2022. Despite a challenging macroeconomic environment, which tends to impact the larger size segment, new build yacht sales over 50m remained stable in the first semester of 2022 (16) compared to the same period in 2021 (17). We note, however, that major Northern European shipyards including Lürssen, Abeking & Rasmussen, Oceanco, Feadship and Heesen didn’t record any new build yacht sales during the first six months of the year. In comparison 18 brokerage yachts over 50m were sold, which was more in line with 2019 sales during the same period. The first half of 2021 recorded 31 brokerage sales above 50m.
