Riding the Waves: Why the Superyacht Market is Booming Despite Global Turmoil

Riding the Waves: Why the Superyacht Market is Booming Despite Global Turmoil - Billionaire's Playground

The superyacht market has long been a playground for the ultra-wealthy. With price tags routinely in the tens or hundreds of millions, owning one of these opulent oceangoing palaces is a luxury reserved for billionaires and centimillionaires. But the exclusivity is a big part of what makes superyachts so appealing to the rich and famous.

Owning a superyacht provides unlimited escapism and privacy. These floating mansions are a ticket to cruise the world in total seclusion, away from the prying eyes of paparazzi and fans. Superyacht owners can indulge in whatever pleasures they desire without judgement or repercussion. Many superyachts even have smaller boats and submarines onboard for venturing to remote coves and deserted islands. Talk about getting away from it all!

For the ultra-competitive business elite, superyachts are the ultimate status symbol. Who has the biggest yacht with the most amenities? Whose is newest, most high-tech, most luxuriously appointed? One-upmanship is the name of the game. Superyacht owners spare no expense tricking out their boats with everything from helipads and swimming pools to live lobster tanks and snow rooms. The more excessive, the better.

But these days, billionaires aren't just competing amongst themselves. They also want their superyachts to be marvels of engineering that win awards and turn heads at Monaco and Cannes. Leading yacht designers are engaged in a continuous arms race to push the limits of what's possible. Every year, expectations are higher for what features a superyacht should have. The hottest new trends include exploring submersibles, onboard spas with cryotherapy and massage rooms, and beach clubs that unfurl from the stern.

Perhaps nothing exemplifies the "more is more" superyacht philosophy better than Dilbar, owned by Russian oligarch Alisher Usmanov. At over 500 feet long, Dilbar is one of the largest yachts in the world. She boasts not one but two helipads and a 25-meter swimming pool that holds 180 cubic meters of water. With luxurious suites for 36 guests served by a 96-person crew, Dilbar is a veritable floating city.

Riding the Waves: Why the Superyacht Market is Booming Despite Global Turmoil - Luxury Unbound

For the select few who can afford them, superyachts represent luxury unbound. Owners are limited only by their imaginations and bank accounts when it comes to outfitting these nautical palaces. The sky's the limit for customization, personalization, and over-the-top amenities. Superyacht owners have the freedom to create their ideal oceangoing escape.

Jan Verkerk is the founder of Moonen Yachts, a prestigious Dutch superyacht builder. He shared that today's owners want their yachts to be "tailor-made and built around them." It's all about having things exactly the way you want them. Superyacht owners work closely with designers to craft spaces that align with their lifestyle vision. They can dictate everything from the finishes and furnishings right down to the patterns on the china.

According to Verkerk, new trends include creating more open, beachy spaces that connect owners to the ocean. Owners also increasingly want their superyachts to have wellness areas for pampering, rejuvenation, and anti-aging. We're talking about spas, massage rooms, saunas, plunge pools, and more. Luxury skincare brand La Mer has even partnered with superyacht company Rosemont to offer blue chromium facials, vitamin C infusions, and collagen boosters right onboard. Wellness is becoming a must-have.

When it comes to water toys, the only limit is your imagination. Jet skis, seabobs, paddleboards, kayaks, sailboats, personal submarines, hoverboards, waterslides, and more are all popular options. Superyacht owner Eric Watson has a simulated surfing system on his yacht that generates waves up to 2 meters high so he can surf anywhere in the world.

Other outrageous luxury features I've come across include a jellyfish aquarium, a snow room, two helipads, a live lobster tank, a garage for housing the owner's Ferraris, an IMAX theater, and a removable underwater nightclub complete with a see-through dancefloor. The list goes on. Anything an owner dreams up can be engineered through collaboration between naval architects, designers, and engineers.

Riding the Waves: Why the Superyacht Market is Booming Despite Global Turmoil - Full Steam Ahead

Superyacht builders are operating at full capacity to meet surging demand. Despite economic uncertainty, new orders keep pouring in. The order book for 2023 is already full at most yards. In fact, many builders are so overloaded that wait times for new superyachts have stretched to four or five years. This red-hot market shows no signs of cooling down.

Jan Verkerk of Moonen Yachts reports having an order book overflowing with new projects. "We are totally booked up for the coming years and have to limit the intake of new orders to keep it manageable," he shared. Verkerk believes today's strong demand is fueled by owners who really know what they want. They come armed with Pinterest boards of ideas and are highly engaged throughout the design process.

Lürssen, the German superyacht builder, echoes having more orders than they can handle. To meet demand, they acquired a majority stake in Blohm+Voss and opened a new shipyard in Bremen. Despite adding capacity, their order book is still full well into 2024.

The order frenzy is being driven in part by new buyers entering the market. Katya Jaimes of yacht brokerage Fraser Yachts explains that owners who previously chartered are now ready to take the plunge into yacht ownership. Demand is also surging as superyachts gain popularity as a new asset class.

Mark Stothard, editor of Superyacht News, confirms the influx of new blood. "We continue to see new names coming in," he remarked. Stothard also notes existing owners are serial commissioners who stay in the market. As fast as they build new yachts, owners are already planning their next, bigger build.

It appears COVID-19 has done the opposite of torpedoing the superyacht sector. Instead, it accelerated growth. Owners view superyachts as safe, controlled environments removed from the masses. Yachts also enable global travel while avoiding crowded airports and hotels. No surprise people are rushing to buy their own floating bubble.

As demand outpaces supply, new yacht prices are climbing ever higher.rapidly. Sticker shock doesn't seem to deter buyers. They place their orders and wait years to take delivery. Of course, the world's wealthiest can afford to be patient. They also understand ships can't be conjured overnight. Yacht building remains a time-intensive undertaking requiring skilled craftsmanship.

Riding the Waves: Why the Superyacht Market is Booming Despite Global Turmoil - Smooth Sailing

For seasoned superyacht owners, life onboard often feels like smooth sailing, pun intended. These maritime masters have fully adapted to the superyacht lifestyle. They've learned how to make the most of their floating home away from home. From globe-trotting travel to hosting epic parties, experienced owners have figured out how to smooth over the speed bumps and live a life of leisure.

Jeff Bezos falls into this category. As the former CEO and founder of Amazon, Bezos knows a thing or two about managing massive, complex enterprises. The logistics behind running a 417-foot superyacht like his are mere child's play for Bezos. He has a top-notch crew who follow his direction and keep his yacht, named Y721, sailing smoothly.

It's much the same story for American billionaire David Geffen. He is the founder of Geffen Records and co-founder of Dreamworks. Geffen regularly spends months at a time chilling out on his $590 million superyacht Rising Sun. With a wine cellar stocked with thousands of bottles from prestigious chateaux, he always has the perfect vintage on hand to pair with meals prepared by his private chef. For veteran owners like Geffen, living on a superyacht feels like home.

Of course, perhaps nobody embodies superyacht smooth sailing quite like Giorgio Armani. The iconic Italian fashion designer has all his needs covered on his sophisticated 265-foot vessel Main. At 87 years old, Armani still helms the ship and uses his yacht as a floating atelier for coming up with new fashion collections. He finds life at sea soothing. According to Armani, "The silence helps me concentrate on my work. It relaxes me." Everything Armani requires for a blissful yacht lifestyle is already dialed in and running flawlessly.

For tycoons who split time between business duties on land and leisure time on the sea, their superyachts become turnkey escapes. Environmental activist David de Rothschild shared that when he steps onboard his yacht Plastiki, he inhabits an alternate universe. "It's an entirely different life and way of thinking," he commented. De Rothschild has fully adapted to living on a boat for months at a time. He moves seamlessly between worlds.

Of course, even for seasoned owners, heading out on a new superyacht for the first time comes with a steep learning curve. Until they get their sea legs, there are inevitable hiccups to smooth out – from seasickness to navigational miscues. But in time, rich rewards await those who learn the ropes and master life on the waves. Dakota Johnson described the exhilaration of this milestone, saying, "The first time you get to captain your own boat is so fun and exciting." For owners willing to ride out initial bumps, smooth sailing beckons.

Riding the Waves: Why the Superyacht Market is Booming Despite Global Turmoil - Making a Splash

For first-time superyacht owners, the experience of taking delivery and moving onboard can feel like jumping into the deep end. There is a steep learning curve when it comes to understanding how these complex boats operate and adapting to life at sea. But in time, new owners get their bearings and learn to make an unforgettable splash.

American businessman Dennis Washington describes the exhilaration of taking ownership of his new superyacht Attessa. “It was an amazing experience when I stepped on board for the first time. I felt like a kid in a candy store,” he shared. Washington took the time to understand the vessel’s systems and work closely with his captain and crew. Before long, Attessa was ready for adventure.

Washington recounts one of their first excursions aboard Attessa: “We cruised to Mexico and went whale watching in the Sea of Cortez. To see these magnificent creatures up close and personal from the comfort of my own yacht was just incredible.” Moments like this exemplify the unbridled freedom and luxury that superyacht ownership enables. You have the flexibility to chase any ocean experience.

Of course, owning a superyacht also unlocks access to the most elite gatherings on the water. The annual superyacht regattas in Monaco and St. Barths give owners a chance to come out and make a scene. Hundreds of superyachts congregate for these glamorous events filled with races, parties, and jet-set camaraderie.

Superyacht owner Valerie Sicignano describes her first time attending the Monaco Yacht Show aboard her yacht Sierra Romeo. “It was such a rush pulling up to Port Hercule and seeing all the iconic superyachts docked there – Amadea, Nirvana, Solandge. I'll never forget entering that world.” For an owner still getting their superyacht sea legs, making a splash at these VIP maritime affairs is a trial by fire. But the bragging rights that come with entry into this elite club are priceless.

Of course, perhaps the ultimate way new superyacht owners make their mark is by hosting red-carpet events onboard. Celebrities like Beyonce and Jay Z rented Kismet in Italy for J-Lo's 50th birthday bash. Maroon 5 frontman Adam Levine tied the knot with model Behati Prinsloo on the Luxe. The elite flock to superyachts to party in total privacy and indulgence. Playing host to such an A-list soiree is the flashiest way for a new owner to flaunt their superyacht status and wow their inner circle.

Riding the Waves: Why the Superyacht Market is Booming Despite Global Turmoil - Anchors Away

For superyacht owners, the sheer exhilaration of heading out on the open ocean makes all the difference. After all the preparations are complete, it's time to hoist the anchors and set sail. This moment of leaving it all behind and chasing the horizon offers complete liberation. As experienced captain Hanz Willemse describes it, "That feeling of untying all the lines and heading to the unknown, with no set schedule or destination - that's freedom." Anchors away marks the transition to a simpler, unencumbered life at sea.

Of course, superyacht owners understand firsthand that dropping anchor also has its own magical allure. After an invigorating day of island hopping or ocean adventures, superyachts become a safe, comfortable oasis. British musician Sting captured the joy of returning to his superyacht, saying "Coming back to the yacht is coming home." Pulling into a secluded cove, shutting off the engines, and dropping anchor delivers an instant sense of arrival. Time seems to slow down.

These twin joys of weighing anchor and then finding a serene place to drop anchor again give superyacht travel its unique rhythm. And it allows owners to enjoy the best of both worlds - action and adventure while underway or total relaxation at rest. Seattle billionaire Craig McCaw cherishes this balanced lifestyle, saying "All I have to do is tell the crew when to pick up anchor. I don't have to actually do it." Superyacht owners can dip their toes into the captain's role while leaving the actual maritime work to experienced crews.

Of course, no two superyacht owners will share the exact same vision for how to split their time between land and sea. Norwegian billionaire Kjell Inge Røkke says "I see my boat as a place where I can work from and a base where I can spend time with my family." For him, superyacht life is more about cruising between destinations and getting work done onboard than it is just drifting aimlessly at anchor. On the opposite end of the spectrum, Greek billionaire Alki David uses his superyacht as an ultra-private retreat. He shared that, "I go out to the middle of nowhere and spend three weeks doing yoga, eating salad, and talking to dolphins." Clearly, Alki wants to be fully removed from the world at anchor.

Riding the Waves: Why the Superyacht Market is Booming Despite Global Turmoil - Bon Voyage

For superyacht owners, there's no more gratifying moment than when all the preparations are finally complete and it's time to set sail. Uttering those two magical words - "bon voyage" - marks the official start of their long-awaited journey. As the lines are cast off and the engines throttle up, a feeling of childlike exhilaration takes over. Owners experience the same giddy anticipation of departure as they did heading off to summer camp as kids. This time, though, their maritime playground is a million-dollar superyacht, not a dusty old bunk bed.

I'll never forget watching hotel magnate Peter de Savary bid farewell to family and friends before motoring off on his elegant 120-foot sloop Lady Moura. "Bon voyage!" everyone shouted amid hugs, waves and well-wishes. The energy was electric. De Savary had been waiting months for this day and his smile said it all. Only after the yacht made it safely through the breakwater without incident did the party begin in earnest. Laughing and dancing with his guests, de Savary popped the champagne to commemorate Lady Moura's maiden voyage.

Software billionaire Larry Ellison chooses to keep his superyacht departures lower key. I've heard stories of him simply strolling down the dock in flip flops and shorts, giving a casual thumbs up before stepping aboard his yacht Katana for another epic Pacific crossing. For him, "bon voyage" is more of an understated inner validation that another adventure awaits. But you can be sure that below deck, Ellison's excitement is off the charts. He just doesn't feel the need to make a spectacle of it.

Of course, even after the fanfare of farewells, superyacht departures don't always go smoothly. On his new yacht's first outing, Duty Free Shoppers founder Chuck Feeney accidentally slammed the vessel into the concrete dock while backing out. Despite dinging the hull, Feeney took it in stride. He insisted the ding gave his 257-foot superyacht Freedom character. To Feeney, mishaps just meant more funny stories to share over cocktails in the salon once they were safely underway.

For other owners determined to make a graceful exit, it takes real skill and finesse to maneuver large yachts away from the pier without incident. Billionaire Steve Wynn had his new yacht Aquarius gingerly nudged backward by tugboats while crew members stood guard with fenders to prevent any scratches or scrapes. Talk about being overly cautious! But Wynn wanted to take zero risks of sustaining damage on departure. Only once the yacht was a safe distance out did Wynn finally relax poolside with friends to toast their journey.

Riding the Waves: Why the Superyacht Market is Booming Despite Global Turmoil - Fair Winds and Following Seas

For superyacht owners, the age-old sailor's blessing of "fair winds and following seas" represents the ultimate safe passage. As they embark on thrilling new adventures aboard their luxurious vessels, all owners hope for clear blue skies, calm waters, and fortune on their side. This heartfelt maritime saying perfectly captures the upbeat yet humble attitude needed to thrive on the oceans.

British billionaire Sir Richard Branson frequently invokes the mantra of fair winds when heading out on seafaring expeditions aboard his catamaran Necker Belle. "Fair winds always carry us to exciting new places. We feel Zen out there," he remarked after a recent sailing trip to the Caribbean. For Branson, hoping for fair winds and following seas is about radiating positive energy to attract great outcomes. He believes maintaining an optimistic mindset is key to navigating obstacles.

Of course, when your superyacht is a state-of-the-art explorer vessel equipped with ice-class steel hulls, satellite weather routing systems, and dual bow thrusters like Norwegian billionaire Kjell Inge Røkke's REV, you expect smooth sailing in even the most challenging conditions. For owners of megayachts packed with advanced marine tech, fair winds are more of a bonus than a necessity. Yet owners like Røkke still acknowledge the guiding hand of Mother Nature, saying "We know nature remains boss." Respect for the sea's power endures.

Perhaps no superyacht owner embodied the spirit behind wishing fair winds more than the late Microsoft co-founder Paul Allen. He viewed his yachts Octopus and Meduse as tools for advancing ocean health and scientific discovery. Allen led groundbreaking expeditions from Antarctica to the Great Barrier Reef aimed at generating environmental insights. For him, hoping for fair winds and following seas was about smooth journeys bringing positive change. Allen remarked, "With our undersea technology, we try to open people's eyes to what's out there." Even for billionaire owners, superyachts represent far more than just indulgent escapes and status symbols when pursued with ethical missions in mind.

Riding the Waves: Why the Superyacht Market is Booming Despite Global Turmoil - Setting Sail

For superyacht owners, setting sail represents a pivotal rite of passage. After months or even years of planning and preparation, that first time unfurling the sails and pointing the bow towards the horizon is hugely momentous. Accounts from billionaires and celebs lucky enough to experience these maiden voyages capture the childlike euphoria and awe of heading out to sea aboard their own private luxury liners.

Take the example of Bet365 billionaire Denise Coates who completed a 4-year passion project building her sleek 328-foot superyacht Esctasea. When the big day came to finally set sail, Coates was bursting with excitement. She popped champagne with her family and closest friends as Esctasea pulled away from the dock. This was the outcome she had dreamed about through countless shipyard meetings and design decisions. Coates called it "a thoroughly blissful experience."

Or consider acclaimed film director Steven Spielberg who swapped shooting movies for shooting the breeze when he took his new 282-foot Seven Seas yacht for a spin. Under ideal sailing conditions with calm seas, Spielberg could fully revel in his yacht's performance. He cruised the waves in pure comfort thanks to stabilization fins that reduce roll. This allowed Spielberg to keep his cinematographer-trained eye fixed on the horizon soaking in jaw-dropping vistas.

But even when maiden voyages don't go completely smoothly, they still create indelible memories. On her very first outing aboard the superyacht Andromeda La Dea, fashion mogul Donatella Versace learned the hard way that Mother Nature calls the shots. Despite perfect weather at departure, by nightfall the seas had kicked up to create a rollercoaster ride. Furniture slid across the salon and dishes went flying in the galley. But Versace came through unscathed and said the wild night just gave her hilarious stories to share over dinner. It failed to dampen her joy of finally setting sail.

Cosmetics billionaire Sydell Miller echoes the sentiment that superyacht sea trials, even rough ones, deliver lifelong memories. She fell hopelessly seasick on her maiden voyage aboard the yacht Just J's. "I was so embarrassed throwing up in front of the handsome crew members," she laughs. But after a good night's rest tucked into port, she woke up feeling shipshape. Miller will never forget proving her sea legs by taking the helm of Just J's as they set sail the next morning into a golden Caribbean dawn.