Legendary Yacht Club of Destin goes Rackominium

[ER]

I keep my boat at Legendary and just recently received a notice that no more boat storage rental will be available. They are turning into a high end yacht club with all inclusive services and discounts on gas, food, and service. The pricing ranges from 65,000-178,000 depnding on size, but the great majority are priced from 107,500 and up as they said that most of the small spaces had already been sold. You also have to pay a 250 per month association fee and property taxes.

I really had not intended buying one of these but keep reading that they may be a good investment. Plus there are no other facilities nearby where I can keep my boat in dry storage. I guess I'd rather pay myself the 600 per month rent I am paying now and own but their pricing is steep.

Do any of you have experience with rackominiums and have an opinion if they will be a good investment?

[chrisv]

No personal experience with 'rackominiums', but I'd be worried about the assessment to rebuild after a hurricane flattens it. I wouldn't buy it based on it's 'investment' potential, but rather based on your personal need for it.

I had heard a while back that they were moving toward this model. Dry storage is nice- just call up and they drop your boat in the water, but it is pricey. Personally, I'd find a cheaper yard-lot type place and keep it there if I couldn't keep it at home.

[Smiling JOe]

I keep my boat at Legendary and just recently received a notice that no more boat storage rental will be available. They are turning into a high end yacht club with all inclusive services and discounts on gas,... You also have to pay a 250 per month association fee and property taxes.


Isn't that nice of them to sell you gas at a discount, since you have to pay association dues on top of the price for storage which costs more than some of the boats?

I have no experience with them, but I do see what you mentioned, a lack of boat storage facilities in the area. That doesn't mean that more cannot be developed in the future, but for right now, that may be the only option for you.


EDIT: as an afterthought, depending on the size of your boat, you might find a waterfront lot with room enough for two or three boats on a dry lift, and partner up with a couple of other people to purchase the lot.

[BlueFox181]

I love Legendary- but maybe that's because I don't pay for the storage... My dad keeps his boat there and the convenience is amazing... less damage to your boat too.

I agree the prices are insane though- he spends more money to store that boat than I do in rent a 2bd/2bath here in Atlanta. Crazy.

[Rambunkscious]

It certainly looks like the market will bear these costs so you cant blame Legendary for taking advantage of a market in need. Options such as buying a waterfront lot and splitting up the costs of such just really does not compute.

[scooterbug44]

Boat storage/dock space is rapidly disappearing, so if you can make the numbers work, a "condo boat slip" might not be the worst thing you could spend money on.

I liked the idea of getting together with other folks, buying a lot and building a dock to all share. At the prices you've listed, 3-4 people could make the numbers work within a couple years.

[Rambunkscious]

I am pretty sure the number will not work, but if so, I would like to see the calculations. Just for kicks, what is your number for a lot on the water, not to mention the construction costs for such a venture?

[SHELLY]

:roll: "Investing in Rackominiums"...

Now is the time to buy--they're not making anymore water.
-------------------------------------------------

"The quantity of available boat slips continues to plummet world wide, while the number of new boat registrations continues to increase by an average of 18-20% annually. This problem is projected to continue and worsen in staggering proportions throughout the U.S. and Caribbean well into the foreseeable future.

Investors, Insightful Boaters, Developers and Waterfront Property Owners are quickly realizing that demand is outpacing the supply at an alarming rate and they are quickly capturing the available opportunities as they become available. This is also accelerating the deficit in available rental space."

"More often than not, opportunities to purchase docks, dry racks, marinas and waterfront property in pre-development phases are either closely guarded deals reserved for friends, family and close associates or they are unadvertised and gone within a very short time."

"Our service is intended to provide early notification of pre-development opportunities to boat owners and investors who are seriously interested in ownership of these types of properties....and who understand that lower pre-development prices are offered by many developers as an incentive to sell out the initial construction phases of a new development or redevelopment project in an expedient manner. Developers normally receive the bulk of their funding once the initial construction phase has been completed. Thousands of dollars can be saved through these types of developer sponsored incentives...provided you're ready to act when the offers are available."

---------------------------------------------------

:scratch: Hummm...where did I hear this pitch before???



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[kurt]

I am pretty sure the number will not work, but if so, I would like to see the calculations. Just for kicks, what is your number for a lot on the water, not to mention the construction costs for such a venture?

Lots near legendary will be very high. If you head east toward Mack Bayou or even Point Washington then you are talking. But remember that most of the bayous get quite shallow for most days in the winter.

What is the depth needed?

[Rambunkscious]

Wow, the alternative numbers almost make Legendary's price look cheap. Maybe thats why they are selling so well? Dont think Point Washington or Mack Bayou would accomodate much with the water being so shallow, and I dont think that quite compares to something on the real harbor in the real Destin. Looks like this Legendary deal is a good investment, there are a lot more boat owner candidates than drydock locations, and this situation just gets worse with continuing demographics we all know about.

[ER]

Kurt,

Boat will need 4-5 feet to be safe.

They had a big sales event there today. Don't know if they sold many. I am still trying to figure out what to do. Trailoring is not an alternative so I may not have much choice. Probably a lot of other people are in the same situation.

[beachmouse]

There's another rackominium in the works on Buggy Bayou

http://www.northlightyachtclub.com/

I can't recall what their pricing structure was going to be though.

[SHELLY]

I don't know about anyone else here....but I'm looking forward to hearing Ben Bernanke utter the words "Rackominium Glut."


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[kurt]

Wow, the alternative numbers almost make Legendary's price look cheap. Maybe thats why they are selling so well? Dont think Point Washington or Mack Bayou would accomodate much with the water being so shallow, and I dont think that quite compares to something on the real harbor in the real Destin. Looks like this Legendary deal is a good investment, there are a lot more boat owner candidates than drydock locations, and this situation just gets worse with continuing demographics we all know about.

Maybe I was wrong in assuming the post was about Legendary at the mid-bay bridge? Not on the harbor, but granted it's closer to the pass and the gulf than bayous in SoWal.

There are plenty of lots in SoWal that are 4-5 feet deep. It would be quite nice if you want to be close to 30A and don't mind the boat ride to the pass. You also have the choice of heading east to St. Andrews Bay and the pass at Panama City.

You could also check out lots on LaGrange bayou in Freeport which is plenty deep.

[Smiling JOe]

Wow, the alternative numbers almost make Legendary's price look cheap. Maybe thats why they are selling so well? Dont think Point Washington or Mack Bayou would accomodate much with the water being so shallow, and I dont think that quite compares to something on the real harbor in the real Destin. Looks like this Legendary deal is a good investment, there are a lot more boat owner candidates than drydock locations, and this situation just gets worse with continuing demographics we all know about.

I guess you haven't seen the 50 foot motor yachts docked off of Mack Bayou.

"The Real Destin" :idontno: :floor: whatever.:wave:

If one particular projectin Freeport gets running again, you can buy a slip with deep water and a lot for a home, for around $150K or less.

[sandflea]

There's another rackominium in the works on Buggy Bayou

http://www.northlightyachtclub.com/

I can't recall what their pricing structure was going to be though.

The same company will have a development where the old Dock of the Bay was and that old motel. It will be a sister site and will reciprocate services with Northlight. We had a presentation on this at our office about 3 weeks ago.

Very interesting tho

[ER]

[quote=sandflea;270498]The same company will have a development where the old Dock of the Bay was and that old motel. It will be a sister site and will reciprocate services with Northlight.

Sandflea, where is this?

[Rambunkscious]

Kurt, agreed, guess its actually not on the harbor but on the north shore of the bay, not really clear by the poster. I like your scenario but would like more details about where this proposed alternative is located in Freeport.
There may actually be an option to Legendary but so far there seems to be too many "ifs" but hopefully not for long?

[Redelco]

THERE IS A DEVELOPER WHO OWNS 750 WATERFRONT FT. ON LAGRANGE BAYOU. THIS IS DEEP WATER 5+ FT. OR MORE. HE IS IN THE PROCESS OF PERMITTING 44 BOAT SLIPS OF VARIOUS SIZES. THIS WILL OPEN A NEW AREA FOR WET BOATSLIPS. DON'T KNOW IF THESE WILL BE "FOR SALE" OR RENTAL SLIPS.:clap:

[Smiling JOe]

THERE IS A DEVELOPER WHO OWNS 750 WATERFRONT FT. ON LAGRANGE BAYOU. THIS IS DEEP WATER 5+ FT. OR MORE. HE IS IN THE PROCESS OF PERMITTING 44 BOAT SLIPS OF VARIOUS SIZES. THIS WILL OPEN A NEW AREA FOR WET BOATSLIPS. DON'T KNOW IF THESE WILL BE "FOR SALE" OR RENTAL SLIPS.:clap:If you are talking about the slips on the eastern side of Lagrange Bayou, originally, those were going to be sold to lot owners in the development, but they were fairly cheap.

If you are talking about the development on the west side of Lagrange Bayou, I have not heard how those will be handled.

[Redelco]

This Project Is On The West Side Of The Bayou, Actually, "four Mile Creek". It Is In The Permit Phase With Completion Expected
In The Summer Of '08.