Trials & Tribulations of Hiring Super Yacht Crew

It Takes All Sorts to Make a World

While researching an article all about those who work as crew aboard superyachts some really interesting stories have come to light including one deckhand who didn’t tell his Captain he was still employed by the Royal Navy and was effectively AWOL (yes, they did track him down and yes the Captain had some fascinating conversations with the Chief of Military Police at HMS something or other).

Then there was the couple who designed a web site for a boat maintenance company they had set up advertising its head office as the port address of the boat they were working on, and finally a hostess who had a cold and went to the doctor to get herself signed off with Swine Flu because she decided she didn’t want to do any more charters!

There have to be more horror stories. Have you got any to relate?

Super Yachts Team Under New Independent Control.

Watkins Superyachts Ltd originallly established as an in-house risk management consultancy to a leading Lloyd’s marine underwriter, is now under new independent control having been bought out by its management.

The company has moved premises and now resides in the famous Gherkin on St Mary Axe and is soon to be opening offices in Malta and Monaco. The company will continue to specialise in ISM, management and project consultancy but now adds discrete yacht acquisition and disposal to their range of services.

Watkins’ Managing Director, Adrian McCourt commented, "Independence will give us the flexibility to further improve the services we offer our clients. Our new location and corporate background enables us to broaden our appeal to existing and prospective Owners wishing to enter the business with an organisation which prides itself on integrity, stability and clarity."

The firm has progressed from a management company to a wider service company within the large yacht industry and clients have been particularly drawn to the Company’s ability to execute discreet yacht acquisition or disposal through their London or overseas offices. This has been found to be of particular interest to owners who wish to purchase existing yachts, projects under construction, or yachts within a certain specification, which may not be for sale on the open market, or similarly for owners who wish to dispose of assets without attracting publicity.

VAT Changes Affect SuperYachts that Charter

Commercial Charter Yachts following HMRC Revenue Brief 56/09

Prior to January 2000, there was no guidance on how a yacht charter company could obtain VAT registration and comply with the EU requirements relating to VAT on yachts. Article 148 (previously Article 15) provides for exemption to commercially registered yachts in commercial use on the high seas. This exemption has been ratified by most EU member states, although the United Kingdom has specifically excluded yachts from this exemption. The Isle of Man issued their letter for guidance in January 2000 and this letter has been the main guidance for yachts owned through Manx registered companies and chartering in EU waters. Following the HMRC Brief 56/09 this letter has been withdrawn and its guidance can no longer be used.

Unfortunately, rather than clarifying the position the HMRC Brief 56/09 Chris Allix one of the industry’s most knowledgeable experts in VAT for yachts thinks it has left the industry without specific guidance. He believes this Brief is intended to prevent VAT avoidance by owners wanting to benefit from the EU exemptions available under Article 148 without actually using the yacht in any form of commercial activity to third parties, i.e. owning the yacht through a VAT registered company, registered as a commercial vessel, but only chartering it to themselves (albeit at a commercial rate and paying the charter fee). The French Code of Practice for charter yachts allows an owner to charter the yacht for a reasonable period, but specifically excludes commercial yachts from benefiting from Article 262 of the French Tax Code if the yacht is chartered for the majority of the season by the owner.

Following the Isle of Man 2000 letter ICM the firm started by Allix used to show that over a 20 year period the owning company would expect to show a profit taking into account the initial cost, running expenses (based on an annual cost of 10% p.a.) against the expected annual charter income. As mentioned this method of calculation no longer applies, and a more robust business plan is required. This will be showing the ownership over a shorter period (probably 5 years), the appointment of a central charter agent, a letter from the central showing the expected charters by the client and also other parties, and the expected annual costs, finally we will get a written estimate of the residual value for the yacht after the period. In addition to this business plan (which must show a profit) we must provide a copy of the purchase/building contract and show the source of the purchase price.

Allix believes the Isle of Man will remain the principal jurisdiction for the ownership of Charter Yachts and VAT registration, but only for the clients using their yachts in a truly commercial manner, which can within reason include charter by the client.

Mari-Cha III goes for Facelift

Mari-Cha III, the record-breaking Super Maxi sailing yacht is ensconced inside a refit shed at Derecktor, Connecticut as she undergoes a five-month makeover. She arrived at the yard on somewhat short notice according to spokesperson Kathy Kennedy. “The Mari-Cha people wanted to take advantage of the current favourable exchange rate in the U.S. We’re pleased that they recognized us as the best choice for the job”.

The 145 ft. sloop has a wide-ranging work list to be undertaken. Jobs include new fresh and black water tanks, air-conditioning systems and ventilation, new rigging and hydraulics as well as a new generator and electronics. A full repaint of topsides, deck and bottom will be done along with an interior refinishing to a more minimalist style. The work is expected to take five months.

Captain Damien Durchon, who has been with the Mari-Cha program since 2003 and has been a part of numerous world sailing records including the fastest transatlantic ever on Mari-Cha IV, explained the reasons for choosing the yard “ We are quite demanding when it comes to our boats. We expect the work to be perfect.”

Launched in 1997, Mari-cha III was designed by Philippe Briand with a traditional interior by John Munford that can be removed to save weight when racing. In 1998 she broke one of the most enduring and prized records in sailing when she went transatlantic from New York to the Lizard in 8 days, 23 hrs, 59 minutes and 41 seconds, shattering the existing record.

Super Yacht App for the iPhone

Welcome to the amazing world of superyachts!

For those interested in super yachts and are sensible enough to own and operate an Apple iPhone there is a great new application that now that I have tested it, I am happy to review positively.

It is called Yachts and it is available for very little cash from the iTunes store.

It lists 50 of the largest yachts in the world and details each with a picture and all the relevant information the super yacht spotter seeks, including all the specifications for each yacht as well as an insight into who actually owns it.

Many of the pictures are supplied by superyachtphoto.com a division of the ever reliable team at superyachttimes.com

I was unhappy with this app on its first outing because it kept crashing but having extensively tested version 1.1 I am now happy to recommend it

To get your own version by paying for it, go to iTunes or click this link. To get one free, comment on this blog because I have been given a very small number of promotional codes to give away and those will be issued on a first come first served basis. All you have to do is ask.

The World’s First Super Yacht Marinotel

Northern Cyprus to gain Super Yacht Marina and ‘Yacht Hotel’

The Karpaz peninsula of Northern Cyprus, one of the Mediterranean’s last undiscovered yachting areas, is soon to benefit from a new marina capable of handling superyachts.

Karpaz Gate, the world’s first ‘Yacht Hotel’ has been designed sensitively to complement the area’s natural beauty, the new development will open up this as yet unspoilt corner of the Mediterranean to yacht owners and provide Northern Cyprus with its first ever modern marina.

Completely free of industry and pollution, the Karpaz peninsula stretches into the sea like a narrow finger pointing to the North East and is home to rolling countryside, wild donkeys, ancient Byzantine churches and mile upon mile of empty sandy beaches, bays, coves and inlets. It’s a stunning, pristine cruising area, only recently opened up after decades of restriction.

Other attractions include the historic port of Girne further west along the coast and the excellent year-round weather, characterised by hot summers and mild, sunny winters.

Currently under construction and project managed by Sea-Alliance Group Ltd, a maritime services operation specialising in marina developments, Karpaz Gate will offer, on an optional basis, a full hotel style service, including meals delivered to the yacht, laundry and dry-cleaning, full tourist arrangements and golf carts for residents’ use.

The Marina will enjoy duty-free status to cover berthing fees, fuel, maintenance and yacht repair costs. This will make it the only comprehensive duty-free marina in the Mediterranean. The marina will also be a Port of Entry, with the Immigration and Customs Office next to the Harbour Office.

Six pontoons at the marina will provide berths for 300 yachts of various sizes, including superyachts of 60 metres plus, and will be supported by a 180 ton crane and 11,000sqm of dry dock area with all technical facilities on offer. All berths will have water and an electricity supply at both 230v and 400v.

Already under construction, Karpaz Gate Marina is due to open in Spring 2011

The Result was a Draw

Super Yacht Owner Watches Football Live at 35,000 Feet

What do you do if you are a superyacht owner who simply cannot afford to miss watching a premier league football match that is scheduled to take place while you are in the air on board your own private jet flying over Europe during the vital 90-minutes of the game?

Mere mortals would of course postpone the flight or use a VCR to record the game and watch it later but what is the point of having money if you cannot spend it? Superyacht owners of course have money and in the super yacht world there are no shortages of specialist suppliers eager to satisfy the needs of their clients. One such firm is Advanced New Technologies Ltd (ANT) who with just four days notice, was tasked with providing live coverage of such a match for a client, to be shown on his Airbus A320 private jet.

Industry leaders in delivering cutting-edge technology IT, audio and visual entertainment, navigation, security and communication systems for all types of assets, including superyachts and luxury homes, this was the first time the company had been asked to work on this client’s Airbus A320 private jet and the team had no prior knowledge of its IT systems.

With the clock ticking, they prepared their own game plan, gathering essential data about the match times and researching which satellite TV stations would be broadcasting the game. The team also sourced the IT system drawings for the equipment already on the Airbus, and ordered all the equipment and services required. With the match only being broadcast on an Eastern European channel, they used a worldwide network of suppliers to track down a subscription to the necessary Conditional Access Module – the PC card that would slot into the satellite receiver and decode the signal. An engineer from head office was dispatched to collect all the hardware and software, and transport it to a European airport for test. With the client’s plane located in the Middle East, they had to use a European-based Boeing 747 as the test platform.

Within 30 minutes from stepping on-board the 747 engineers had carried out a complete system installation, programming and documentation, followed by a three-hour test flight. With everything working, the system was then decommissioned, with detailed instructions and user guides, and the whole package comprising hardware and software was dispatched with a specialist engineer to the Middle East to meet up with the client’s Airbus. With less than 24 hours to the kick-off, the system was installed on board.

On the day of the big match, the A320 took-off and transited to European airspace where technical support was relayed to the airborne engineer and a test TV programme was shown to prove the system was operating correctly. On landing to re-fuel, the new channel was activated, and within 20 minutes and at an altitude of 35,000 foot, the satisfied client settled down to watch the Manchester City vs Hull City match – which was after all that; a one all draw.

Super yachts to berth in Monaco-on-the-Thames

Superyachts To Use London Docks for Olympic Dockage

The Royal Docks of London including Victoria Dock, Albert Dock and King George V Dock are setting their sights on becoming a Monaco style venue for super yachts following news that the Informa Yacht Group seeks to add the river Thames to its portfolio of superyacht events that it organises in amongst others: Abu Dhabi, Antigua, and Monaco.

It has been revealed that the company has been in talks with the Port of London Authority (PLA) who operate the docks and City Hall suggesting upgrades the 280-acre Royal Docks, which will offer some of the most prized waterfront berths in in time for the London Olympics in 2012. Superyachts could be berthed in the Royal Victoria Dock adjacent to the ExCeL arena, its self a venue for several Olympic and Paralympic sport events.

Informa is proposing a full maritime programme in the build-up to the Games in association with those being promoted by the Royal Yachting Association. Proposals include a tall ships race, “extreme sailing” and a leg of the round-Britain powerboat race. Plans would likely require approval from the organisers of Olympics with, much of the Royal Docks area is expected to fall within a security cordon set up by them, a decision on what will be organised is therefore expected next summer.

Use of the private jet terminal at the nearby London City Airport is likely to be a big lure for super yacht owners seeking to watch the Olympic Games and retire each day to the luxury and security of their superyacht on the Thames

What Does it Cost to run a Super Yacht?

If you have to ask you cannot afford it

Rather like the age-old answer given by a Rolls Royce salesman to someone who asked what were the running costs of the new Phantom “If you have to ask, you cannot afford on” the true costs of running a superyacht are shrouded in myth and mystery.

A new Cost Calculator from the Luxury Yacht Group a full service yachting company that specialises in brokerage, charter, management and crew placement services is set to sweep away those doubts.

The company with offices in Antibes and Fort Lauderdale has released an updated edition of their superyacht reporting system with features to provide accurate customised annual cost reports.

The Annual Cost Calculator, is an online tool for managers, captains and owners and can help predict annual operating costs for yachts or perspective superyacht purchases. Written especially for yachts between 24 and 100 metres, it predicts on what can seem to be an endless list of expenses throughout the year. This is then presented in a report customised for that specific yacht that can be printed or emailed to the user.

To ensure accuracy the cost calculator uses fifty points of data to tailor an annual report. Users enter specifications about the vessel in question and click; submit to view their own specific costs report. The customised breakdown shows expenses across forty-four categories, including charter revenue. An email with a printable version of the report is sent to the address provided during the specification input.

Although the initial cost of purchasing a yacht can be quite substantial, it is just as important to know what the vessel will cost year to year. Buyers put so much time into working out a purchase price, though often overlook what their annual expenses will be.

In building the programme the company established and incorporated key variables about a yacht, which the program uses to estimate figures. Not all users will have access to the in depth information asked by the calculator, so the program is built with default values based on length of vessel entered.

A Crew Salary calculator and a Yacht/Crew Certification Guide, both designed to provide customised information is also included.

The program can be accessed here. http://www.luxyachts.com/Management/OperatingCostCalculator.aspx

Super Yacht Y707 Arrives

One of four superyachts currently under construction

Yet another superyacht in the Y700 series from Oceanco has been put under cover at their shipyard in Alblasserdam, the Netherlands. This time it is Y707 one of four 85+m yachts currently under construction by the builder.

The completed hull was transported to the yard from its nearby hull manufacturer and was joined to her superstructure before being maneuvered into the shed the following day. All technical spaces are painted and ready for the installation of equipment; the acoustic, thermal and fire protection insulation is already in place; and the hull itself is fully sandblasted and sprayed. The yacht is on schedule to continue with her interior and outfitting works for delivery in 2011.

Designed by Sam Sorgiovanni, glass and sliding doors give the impression of a wide open space from portside to starboard. The owner, and guests, can enjoy maximum privacy through strictly separated routes on each part of the yacht. The owner’s apartment has several rooms and a spacious deck, on top of the entirely closed in forecastle deck. The yacht also features a helicopter deck and is the first yacht to be powered with the MTU 20V 4000-series engines designed for reduced noise and economic use of fuel.

Super Yacht Opera Charters

Maria Callas Experience onboard superycaht Christina O

One of the most passionate, chronicled and ill fated romances of the 20^th century was publicly played out onboard the super yacht Christina O between Aristotle Onassis and ‘La Divina’ Maria Callas, the world’s most famous Opera Diva. The very public love affair fascinated the world but it was interrupted abruptly when Onassis married the former first lady Jacqueline Kennedy onboard the Yacht.

Now charter guests can indulge themselves in the luxury and splendour that only 'Christina O' can offer, absorb the history and share in a bespoke recital of operatic classics with a storyline of the life of Maria Callas by some of Europe's renowned Bel Canto Sopranos including Nelly Miricioiu, (20 & 21 May, 3, 4 & 5 June) Claire Rutter (22 & 29 May) and Mary Plazas (27 & 28 May).

Enjoy a gastronomic 8 course dinner accompanied by fine wines and finish the evening with a night cap in the famous Ari's Bar before retiring to your deluxe cabin.

During the voyage a tour of the yacht will reveal all the secrets that she has witnessed over the years. Guests onboard included Sir Winston Churchill, Prince Rainier and Princess Grace of Monaco Greta Garbo, Eva Peron, Elizabeth Taylor, Marilyn Monroe, Frank Sinatra and many others who adorned the front pages of magazines and newspapers as they were entertained onboard.

The ‘Maria Callas Experience’ promises a most memorable voyage along the Cote d’Azur from Monte Carlo to Cannes, glamorous surroundings, exquisite personal service from the attentive crew, superb dining, fine wines, and a recreation of the Diva Maria Callas in a unique, intimate operatic performance, which is guaranteed to touch your soul.

Super Yacht Opera Charters

Maria Callas Experience onboard superycaht Christina O
One of the most passionate, chronicled and ill fated romances of the 20th century was publicly played out onboard the super yacht Christina O between Aristotle Onassis and ‘La Divina’ Maria Callas, the world’s most famous Opera Diva. The very public love affair fascinated the world but it was interrupted abruptly when Onassis married the former first lady Jacqueline Kennedy onboard the Yacht.
Now charter guests can indulge themselves in the luxury and splendour that only 'Christina O' can offer, absorb the history and share in a bespoke recital of operatic classics with a storyline of the life of Maria Callas by some of Europe's renowned Bel Canto Sopranos including Nelly Miricioiu, (20 & 21 May, 3, 4 & 5 June) Claire Rutter (22 & 29 May) and Mary Plazas (27 & 28 May).
Enjoy a gastronomic 8 course dinner accompanied by fine wines and finish the evening with a night cap in the famous Ari's Bar before retiring to your deluxe cabin.
During the voyage a tour of the yacht will reveal all the secrets that she has witnessed over the years. Guests onboard included Sir Winston Churchill, Prince Rainier and Princess Grace of Monaco Greta Garbo, Eva Peron, Elizabeth Taylor, Marilyn Monroe, Frank Sinatra and many others who adorned the front pages of magazines and newspapers as they were entertained onboard.
The ‘Maria Callas Experience’ promises a most memorable voyage along the Cote d’Azur from Monte Carlo to Cannes, glamorous surroundings, exquisite personal service from the attentive crew, superb dining, fine wines, and a recreation of the Diva Maria Callas in a unique, intimate operatic performance, which is guaranteed to touch your soul.

Clean Bottoms Offer Super Yachts More Speed

Superyachts could benefit from cruise ship experiment

When a 294 metre cruise ship came into drydock in the Bahamas last month several super yacht Captains were interested to see the ships bottom.

After sailing for three years without the application of new antifoul paint, only minor parts of the underwater hull needed touch ups and no new paint layers were required on the rest of the underwater hull.

As a consequence the technical operations that needed to be carried out on the vessel were far easier to plan because no full repaint needed to be added to the schedule. The vessel could leave drydock again earlier than would have been the case if an extensive repaint had been required.

During the docking those interested in superyacht maintenance were invited to see first-hand the advantages Ecospeed offers the cruise industry. All visitors could clearly see that the required touch ups involved only 2 % of the total surface. The antifouling is an once-in-a-lifetime coating that comes with a 10 year warranty and there will also be no need to repaint the vessel during future drydockings as it maintains its smoothness throughout its lifetime, allowing the owner to always operate his fleet in excellent condition.

The application of the product is combined with an underwater cleaning and conditioning system, devised to remove any marine fouling at an early stage of development. This procedure is made very easy by Ecospeed's non-stick properties that make it difficult for fouling organisms to attach to the hull. The coatings surface characteristics steadily improve with each hull cleaning throughout the service life of the vessel, setting it entirely apart from antifouling paints that deteriorate over time.

Ecospeed is and will remain nontoxic and 100% environmentally safe throughout its entire lifetime. It contains no poisons, which could leach into the water as happens with antifouling paint, and toxic fuel emissions are reduced.