Not like fractional possession of plane and houseboats, fractional house owners of a cruise ship can all use the ship concurrently. There’s loads of room for you and the opposite house owners to stay on the ship any time you need, or on a regular basis. You need to use it as a full-time residence, and so can the opposite co-owners.

The primary apparent advantage of shared possession is acquisition value. There are numerous cruise ships in the marketplace in all worth ranges, sizes, ages, and situations. There are numerous smaller and older cruise ships accessible for lower than a million {dollars}. On the decrease finish, some smaller cruise ships in truthful situation might be acquired for about $250,000. On the highest finish, the largest new mega cruise ships now value about $500 million to construct.

Do the maths. If 100 patrons pool sources in change for a proportion of ship possession, the acquisition value will likely be divided by that very same quantity. One % possession of a $250,00Zero cruise ship would value a mere $2500 for ship acquisition. On the different finish of the dimensions, one % possession of a model new mega cruise ship would value 5 million {dollars}.

There are another figures that have to be tabulated into the overall value of possession. Acquisition value is at the beginning. The following determine is the associated fee to place the ship in service. On an older ship this value could also be increased than the acquisition value. However, the associated fee to place a ship into service might be a lot decrease for those who had been to get a great deal on a ship that already meets the worldwide requirements for ship security, particularly SOLAS (Security of Life at Sea). Sustaining compliance with Chapter II SOLAS 74 amendments is value prohibitive for some older ships and they’re sometimes scrapped as an alternative of being refurbished at nice expense. There’s a essential SOLAS implementation date developing on January 10, 2010. On that date all business worldwide ships will likely be required to be in compliance with the brand new fireplace security codes. An important new codes take care of the usage of flamable supplies within the ship. Will probably be costly to switch all flamable supplies in ships with non-combustible or flame resistant SOLAS compliant supplies that meet the brand new security requirements. This can end in many ships being offered for scrap steel.

The looming SOLAS 2010 implementation date affords each perils and alternatives. The largest peril is the likelihood that the expense to deliver a ship into full compliance with worldwide requirements will likely be larger than the worth of the ship. Nonetheless, there’s a silver lining on this cloud. This pending SOLAS implementation date has already began to point out up as a major issue within the asking and promoting costs of ships in the marketplace at the moment.

SOLAS 2010 additionally affords an incredible alternative for individuals who could favor to have a really massive houseboat as an alternative of a business ship. Ships that aren’t in compliance with SOLAS 2010 are actually promoting for a music (inexpensively). A cruise ship can simply be transformed right into a megayacht with the stroke of a pen. Privately owned yachts, not in business service, and never carrying passengers or cargo for rent are exempt from lots of the SOLAS necessities. Working prices are additionally decrease for a personal yacht. It value much less to register, flag, and insure a personal yacht. Megayachts might be flagged and labeled for limitless service. That implies that a megayacht can go virtually wherever you need it to go. There’s one main disadvantage to registering a cruise ship as a personal yacht. You can’t use the yacht commercially. This cuts off a possible income supply.

There are numerous first rate cruise ships on the market at costs of lower than a million {dollars} that may make good non-public megayachts. For instance, take the ‘VERGINA SKY’ is a ship that I’ve personally inspected and so I can discuss first hand about it. The asking worth was $750,000. Listed here are the specifics of the ship in a nutshell:

Present Title: Vergina Sky

Ship Particulars: Constructed: 1971 in Japan – completely rebuilt 1992 in Greece

Dimensions: LOA 97.8m x LBP 82m x beam 14.6m x draft 4.49m Dwt: 500 on 4,49 GT/NT: 4,668 / 1,717

Description: Pielstick 2 x 8400bhp, twin screw, bow thruster, Three x 500kw mills, 16 knots, 2 saloons, restaurant, Three bars, on line casino, obligation free store, disco, swimming pool, 120 cabins for 318 visitors. Mendacity Greece

My Feedback after inspecting the ship

This can be a effectively constructed little ‘Pocket Cruiser.’ At simply over 320′ in size total, it’s a small cruise ship. Many skilled cruise passengers favor smaller extra intimate cruise ships for quite a lot of causes. This ship can go locations the place the massive cruise ships can’t attain, akin to shallow draft ports and even many rivers. It has an omni-directional bow thruster and might activate a dime (comparatively talking after all). I’ve fastidiously examined this ship from the engine log to the ultrasound hull report. This can be a sound and protected little cruise ship. It’s also a really gas environment friendly and economical ship. My first time on this ship was in the midst of the summer season in Greece when it was extremely popular outdoors. The ship is totally air conditioned and it was cool and comfy contained in the ship. I checked the engine room to see what number of mills had been operating. I’m comfortable to report that every one the electrical and air-conditioning necessities might be met by operating simply one of many three Daihatsu mills. These mills are very economical to function by way of gas consumption and upkeep.

I used to be capable of negotiate with the proprietor, John Kosmas and get some concessions. I received the worth all the way down to $500,000. And at that worth, he agreed to deliver the ship into compliance with SOLAS 2005 and in addition to incorporate new paint topside. The ship was pretty effectively furnished even together with mattress linen, however the ship had been laid up for years. Its most up-to-date service was within the Mediterranean and Black Seas. Cruise ships that commerce completely within the Mediterranean and Black Seas are likely to have smaller cabins and fewer facilities than the standard cruise ships that frequent the Caribbean. The underside line is that this ship was an financial system mannequin, not a luxurious mannequin. After I was inspecting the engine room, I requested for the engine log. After I opened it I seen all of the entries had been in Greek. I used to be capable of discern some dates and different information that informed me when the ship was final in service, however I couldn’t learn the Greek entries so I handed the engine log again to the ship proprietor, and informed him “It is all Greek to me.” Being Greek, Mr. Kosmas failed to search out the humor in that.

Let us take a look at the numbers on this ship. 100% of the acquisition value would have been $500,000. 1% thus = $5000. 100 patrons may personal one % every. There are 120 cabins so every co-owner may have a personal cabin with 20 cabins left over. Nonetheless, these cabins are a bit on the small facet. Each cabin does have a shower and bathe, however the dimension is simply too small to be comfy for most individuals, particularly if the house owners intend to stay onboard full time. On a ship this dimension I might advocate that there be not more than 60 joint house owners so every can have two cabins and could have the choice of changing these two cabins right into a two room suite. To maintain the numbers easy let’s imagine that this ship has 50 patrons who every purchase 2% of the ship. Purchase in value per proprietor would then be $10,000. If there have been solely ten patrons, then the acquisition value per purchaser could be $50,000. $50,00Zero is not going to purchase a lot of a home on land, however on this ship it will purchase 10% of a ship just like the Vergina Sky and twelve cabins that could possibly be transformed into a pretty big dwelling.

On the financial system finish of the dimensions, a co proprietor may purchase 1% of a cost-effective cruise ship for about $5000. Nonetheless it isn’t obligatory for all co house owners to have equal shares within the ship. Possession can simply be divided up into 1% increments. If one purchaser wished 5%, then his value of acquisition could be $25,000. He could be entitled to five% of the ship’s cabins, and would have 5 votes on operations and administration of the ship, akin to itinerary planning.

Earlier than changing into a joint proprietor, it will be crucial to search out different individuals who have comparable objectives. I might counsel composing a preliminary DCCR (DECLARATION OF

COVENANTS, CONDITIONS AND RESTRICTIONS). You are able to do this earlier than you even store for a ship. Write your model of the way you envision the shared possession of a cruise ship correctly. Then see if you’ll find some individuals who agree along with your objectives and your DCCR, topic to some revisions and concessions to accommodate different joint house owners.

Step One: Decide for those who and your loved ones have the will and monetary functionality to turn out to be joint cruise ship (or megayacht) house owners.

Step Two: Discover others who agree along with your idea for shared possession of a ship.

Step Three: Store for a ship. That is the enjoyable half.

Step 4: Purchase a ship.

Step 5: Put the ship into service.

Even in case you are not wealthy, you may afford to collectively personal a cruise ship. However then comes the following logical query: Why would you or anybody need to stay on a cruise ship? Who would this be appropriate for?

If you’re retired or in any other case have a secure earnings from a reliable supply you in all probability can afford to be a cruise ship co-owner and stay full-time onboard a cruise ship. When you work in a area the place you may earn a living from home on-line, then you can also in all probability afford to turn out to be a co-owner of a cruise ship. Most fashionable ships have satellite tv for pc Web service accessible 24-7.

Working a cruise ship is pricey. The bills embody the price of gas, labor, upkeep, repairs, spares, meals, port costs, insurance coverage, technical administration, shore administration, registration, and the opposite prices of working the ship. At first look these prices could appear costly, however in actuality the price of dwelling at sea is definitely a cut price contemplating what you get based mostly upon what you pay. The perfect worth doesn’t at all times translate to the most cost effective worth. If the ship is effectively managed, the administration will search the very best high quality items, companies, and labor at the perfect international worth. If the house owners are dissatisfied with both technical or shore administration, they substitute them.

If there are lots of different co-owners of the ship to separate the working bills of the ship, it may be inexpensive for these with a reasonable degree of earnings, akin to a retirement verify. I do have particular working value figures however I will not bore you with that information. The underside line is that it will not be prohibitively costly for a middle-class common particular person to have the ability to afford to personal a fraction of a cruise ship and be capable of afford to stay on the cruise ship full-time in the event that they elect to take action.

For comparability functions it’s noteworthy that you’ve bills in land based mostly housing too. These bills embody property taxes, householders insurance coverage, upkeep and repairs, yard care, and utilities. Moreover you have got transportation prices and naturally meals prices. Most individuals additionally spend cash on leisure too. When these bills are added up the upkeep charges for dwelling aboard a ship are comparable.

There are literally some financial savings ensuing from dwelling aboard a ship. The ship’s govt chef buys meals and kitchen provides in bulk for the ship and might get higher costs than the typical shopper. Different financial savings consequence from the big freezers and the mobility of the ship giving the meals service administration the flexibility to top off on provides in nations the place costs are low. Some crew and house owners could select to fish for leisure. This could provide some recent meals at even decrease prices to the house owners. Labor financial savings are realized when the crew is employed based mostly upon the perfect international labor charges. The legal guidelines of provide and demand drive costs down in some locations on the planet. Correct ship administration can capitalize on these disparities. All of the financial savings could be handed on to the cabin house owners leading to a cost-effective value of dwelling just like what you may count on to spend with a standard dwelling. Ship administration ought to have accounting transparency will all books (monetary data) open and accessible for any proprietor to examine. Additionally ship administration ought to submit all monetary data quarterly to an out of doors auditor for the peace of thoughts of the house owners. Anyone within the chain who spends any of the ship’s operational funds must also be periodically audited. For instance, a great way to audit the chief chef could be for a number of of the live-aboard co-owners of the ship to go to the meals market district of every port of name and they need to attempt to haggle and get a greater worth for a similar meals than the worth the chief chef was capable of purchase. If the chief chef can’t discover higher offers than the ship’s co-owners, then the chief chef ought to be given his strolling papers. The chief chef place is an important place on a cruise ship. This can be a place of belief as a result of he’ll invoice the meals he buys to the ship. He mustn’t ever be tempted to just accept bribes from distributors or suppliers. Due to this fact, he ought to know that he will likely be routinely audited and any substandard efficiency will end in termination of his employment.

The largest worth of all onboard cruise ship is in labor prices. The higher cruise ships are usually labor intensive, offering passengers with unrelenting consideration and indulgent pampering. The resort workers on all cruise ships offers the fundamental companies together with meals preparation and serving, laundry, cabin stewarding, leisure, on line casino operation, magnificence store operations, That is one space the place I would like to not scrimp due to the excellent worth in these companies as a result of low value of worldwide labor. I would like to transcend the extent that almost all cruise ships go within the space of spas. Land based mostly luxurious and specialty resort spas are very costly, however the very same degree of service, professionalism, talent, and coverings might be offered on a cruise ship at extraordinarily low value. Labor is the important thing and the first purpose for many of the expense of spas. Labor is an incredible worth on a cruise ship as a result of the cruise ship managers can select employees from the worldwide market the place it’s straightforward to get the perfect worth for the cash.


Spa remedy is personalized for every shopper. Spas generally provide companies akin to:

Soothing therapeutic massage therapies, pores and skin and physique therapies drawing from European and Japanese rules, professional hair and nail companies, and a full menu of therapeutic therapies using a deep-cleansing facial initially of this system, in addition to a sequence of cleansing and contouring wraps, lypo-reduction wrap, in addition to marine mud and herb wraps. Therapeutic massage Therapies together with: Swedish Therapeutic massage, Shiatsu Therapeutic massage, Deep Tissue Therapy, Maternity Therapeutic massage, Therapeutic Foot Therapeutic massage (Reflexology), French Hydrotherapy Therapeutic massage.

The therapeutic therapies embody quite a lot of massages, reflexology, facials, firming and lots of different physique therapies. Plus all kinds of companies and wellness applications specifically designed to satisfy the person’s wants and wishes. A full service salon affords all method of hair therapies (together with an authorized colorist), in addition to quite a lot of manicures, pedicures, and ‘facelifts’ in your fingers. Intensive skincare consists of: Age Administration Therapies together with, Glycolic Facial, Anti-Growing old Facial Peel, Microdermabrasion; Facials together with: Aromaplasty Facial, Teen Facial, Gentleman’s Facial, Nutrisource Facial, Regulating Zits Facial, Vitamin “C” Pores and skin Renewal Facial; Physique Remedies together with: Decleor Sauna Masks, French Hydrotherapy Therapeutic massage, Andromeda Salt Glow, Mummy Mud Masks, Seaweed Physique Wrap, Secure Solar Therapy, Natural Wrap; in addition to numerous hair and nail therapies.

Moreover, spas can also facilitate weight discount applications, and even administer bodily remedy. In brief, you might be handled like a king, on the finances of a pauper.

Labor Prices – Worldwide competitors offers essentially the most worth to the ship house owners.

On paper it appears to make good sense to man the ship with a Philippine crew. I like the Philippines. I’ve been there a number of instances. English continues to be broadly spoken and normally spoken fairly effectively. The persons are normally pleasant and comfortable to see international vacationers. A big proportion of ships worldwide are manned by crews from the Philippines. The Philippine authorities has a fairly good construction and system to facilitate the export of Philippine labor. Despite how enticing it appears on paper, I might advocate NOT hiring a crew from the Philippines. Philippine employees are usually envious of others, and particularly of everyone else’s wages. They have a tendency to suppose they’re getting the uncooked finish of the deal. It’s uncommon to discover a Filipino who’s comfortable along with his employment. Whereas I’m positive there are lots of good workers from the Philippines, there are extra who’re dissatisfied than glad with their employment. There appears to be a cultural anomaly within the Philippines the place individuals really feel that employers are unhealthy guys. I might hesitate to advocate a crew from the Philippines despite the obvious benefits on paper.

My advice (for what it’s value)

I do know one thing about what I’m writing about right here. I’m the previous President of Journey Spa Cruise. My recommendation isn’t just uninformed ranting. Again to the purpose now, the second greatest manning nation for a ship is India. I extremely advocate India for the medical workers and the whole resort workers, together with the spa, and each different place besides the deck and engineering. The labor prices in India are very enticing. I might additionally advocate utilizing an Indian based mostly manning company. It’s best if the ship’s house owners do not need to take care of each worker challenge or concern. The manning company takes the stress off the ship’s administration, and their service could be very cheap. Indian workers are likely to make higher workers than do Filipinos. Indians additionally communicate English, albeit not fairly in addition to Filipinos. I do know Individuals are likely to get all labored up when somebody makes use of a broad brush to color a complete ethnicity. I like the individuals from the Philippines, however as workers they are usually extra problematic than do Indian workers. I notice that this assertion is politically incorrect, and today that may get me thrown in jail. I normally don’t worry a lot about being politically right. I name it the best way I see I and I let the playing cards fall the place they could, and hope I can keep out of jail for talking my thoughts.

All deck and engineering positions ought to be full of an all Ukrainian crew. The ship will notice essentially the most worth for the cash with Ukrainian deck and engineering workers. The Ukraine has an extended maritime historical past and custom. Maritime coaching and requirements within the Ukraine are among the many greatest on the planet. Ukrainian deck and engineering workers are nearly as good as or higher than some other, however the price of their labor is an excellent worth. The labor for deck officer and engineering workers are ruled by worldwide agreements, together with STCW (Requirements of Coaching, Certification and Watchkeeping for Seafarers).

Placing a cruise ship into service

After buying the ship, it would require some extra funding to place it into service. At this level the joint house owners might want to attain some agreements on many factors. The price of placing a cruise ship into service as a megayacht (very massive non-public yacht) is far lower than placing the ship into business service. Nonetheless, for those who can afford to purchase a ship can simply meet SOLAS 2010 necessities, and might afford to flag and register it as a business ship then you should utilize the ship commercially to supply earnings and ROI (return on funding).

There are numerous advertising and marketing choices for a business cruise ship. If the house owners use not more than half the cabins, then that can go away adequate means to supply sufficient income to no less than pay for working prices, and presumably produce a revenue above working prices. I’ll simply briefly contact on a number of the choices accessible for advertising and marketing cruise ship capability.

1. Standard cruises. There’s a trade-off right here. You may produce income by offering standard cruises. This can require that the ship have an itinerary that fits the business cruising market.

2. Freight and cargo. Some cruise ships have sufficient cargo capability to supply some income by reserving freight.

3. Assisted dwelling. A cruise ship is effectively fitted to assisted dwelling, together with crew and amenities. The going charge for assisted dwelling within the common metropolis in America is increased than the typical value of a cruise of the identical period.

4. Timeshares. That is an possibility not accessible to traditional cruise ship operators however could possibly be facilitated in case your co-owners comply with one of these advertising and marketing to fill cabins not utilized by co-owners. I can’t go into the figures right here, however timeshares are usually excessive revenue gross sales. There’s a good probability that if the joint house owners use not more than half the ship’s cabins for their very own private use, the remaining cabins may simply produce greater than the overall quantity all of the joint house owners mixed have invested.

Ships that may simply meet SOLAS 2010 are likely to value a bit extra money to purchase up entrance, and price extra to place into service. So I offers you couple of examples.

The Orient Venus is one in every of my favourite high-end ships. The specs:





GRT: 21,884 TONS

DWT: 4,863 TONS ON 6.50 M

LOA x B x D : 174.0×24.0x8.7 M




FUEL TANKS CAPA: IFO 1,500.Four M3 /MDO 87.30M3

GENERATOR: 1,600KWxAC450Vx60HZx Three SETS








OWNERS PRICE USD 22 MIL internet right here

My private evaluation of the Orient Venus

It’s a late mannequin and exquisite ship. It has many extremely fascinating attributes for a residential ship. It’s a excessive finish luxurious cruise ship with a very excessive tonnage to passenger ratio. This is essential for a residential ship. Extra lounge and extra space per passenger is much extra important for a residential ship than for a standard cruise ship. When passengers are solely on a ship for a short while, they will tolerate cramped dwelling quarters, however once they stay year-round on a ship, the additional house is kind of helpful. The house owners have been making an attempt to promote this ship for $22,000,000. That will look like a excessive worth, however if you divide it by the variety of cabins (195) the asking worth per cabin is $102,564. This worth is consistent with what you’ll count on to pay for a condominium. The final phrase I received from the house owners is that they’ll promote the ship for $18,000,00Zero now ($92,307 per cabin). The cabins are all “outdoors” cabins and are massive. The ship can accommodate 606 passengers and a crew of 120, for a complete of 726 individuals.

A number of ship brokers have this ship listed. I normally don’t discuss to ship brokers. I favor to speak instantly with the ship house owners. I’m in touch with the house owners of the Orient Venus. I may in all probability get this stunningly lovely ship for lower than $15,000,00Zero at the moment, and get some concessions and extras thrown in besides.

One other instance of a excessive finish ship that may make do effectively as a business cruise ship, plus accommodate 100 or so full-time stay aboard co-owners is the Dream Princess, initially named Music of Norway.

GRT: 22,945

Max Draft: 6.7 M in sea water

Size: 194 M.

Whole No. of Cabins: 538

Whole No. Of Beds + Berth: 1280

Exterior Cabins: 346

Inside Cabins: 192

Cabins dimension vary: SQ. M: 11 -18.

Principal Engines: Four Wartsila Sulzer – 18,00Zero HP.

Service Pace: 16 Knots.

Public Rooms:

Principal Dinning room – “King & I”- about 500 pax.

South Pacific Lounge about 400 pax.

My Honest Girl Lounge about 500 pax.

Bars- 5

Self Service Restaurant on the swimming pool deck

Massive Swimming pool


On line casino

Responsibility Free Outlets

Health club

eight passenger decks

intensive outside areas

Ship was redecorated / refurbished extensively throughout 2005.

The asking worth on this ship is $31 million USD. Divide the asking worth by the variety of cabins and the typical value per cabin could be $57,620. After all some cabins are higher than others so co-owners must agree of the shared utilization earlier than agreeing to the acquisition.

I’ve some unhealthy information for the ship house owners and a few excellent news for you. This ship is not going to promote for the asking worth.


Ship gas is cheaper than car gas for a number of causes. There are not any highway taxes on ship gas after all and in addition it’s completely different gas. Ships most important engines normally run on IFO180 or IFO380. Generator engines are usually extra finicky and generally require diesel (MDO), which continues to be cheaper than automotive diesel. IFO 180 and 380 prices a lot lower than MDO, normally about half the worth. Ships eat a whole lot of gas. So gas value is a serious concern. I’ve some strategies. If I had been a co-owner of a ship I might be keen to speculate a bit extra within the ship to extend gas effectivity, and thus decrease working prices. There are numerous issues that may be finished to extend gas effectivity. I might begin with hull resistance. There’s a new silicone-based paint from Worldwide Paints that when utilized to the hull reduces quantity of resistance within the water sufficiently to end in a Three to five% lower in gas consumption. An identical coating for the propellers additionally has been confirmed to extend gas effectivity.

Along with hull and prop coatings, there may be an much more promising strategy to obtain dramatic gas financial savings.

There’s a firm known as Kiteship that has developed and produces kites for racing sailboats. These crusing kites don’t require a mast. The kites fly excessive above the vessel, hooked up by cable and managed from the vessel. Dave Culp of Kiteship has finished a technical feasibility research on becoming a really massive kite onto a standard cruise ship. This is able to dramatically cut back gas consumption. It might convert a gas guzzler to a “inexperienced machine.” That is tantamount to changing a powerboat right into a sail boat. The design of a cruise ship limits the quantity of sail {that a} standard ship can safely accommodate. A cruise ship lacks the ballast of a sail boat. If used along with the primary engine(s) the kite will enhance gas effectivity. If the kite is used to tug the ship with the primary engines shut down the ship’s pace will likely be diminished considerably. Nonetheless, on this case, not solely would the ship save IFO (most important engine gas) but in addition save MDO (generator engine gas). If the kite had been pulling the ship unassisted by the ship’s engines, then the propellers could possibly be used to propel the ship’s mills with out firing up the diesel generator engines. Even when the ship had been touring very slowly within the water, the propellers would flip in reverse if free of the primary engines. This can be a quite simple and straightforward job for the ship’s engineer to perform. In different phrases, the ship might be pulled by the kite, and that movement will push the ship’s propellers offering energy to supply electrical energy and energy the air-conditioning with out utilizing any gas. The trade-off is a lack of pace and in addition some tacking is required, additional decreasing precise pace. What is the rush? Why not go for optimum gas financial savings? The salient level is {that a} excessive flying massive kite can pull a cruise ship. If I had been a co-owner of a cruise ship I might hope to search out like minded co-owners who could be receptive to utilizing such state-of-the-art applied sciences to save lots of gas.

There are tons of of cruise ships in the marketplace however I’ll simply point out another right here. This cruise ship has RO/RO (Roll-On, Roll-Off) functionality. This is able to be very handy for stay aboard house owners who need to deliver their “toys” with them. The storage deck will accommodate 6 to eight vehicles, or 60 to 80 automobiles. That converts to a whole lot of co-owner toys akin to motorhomes, journey trailers, campers, cabin cruisers, ski boats, jet skis, sailboats, houseboats, bass boats, bikes, ATVs, automobiles, and vehicles.




SOLAS 2005/2010 FITTED








GRT 12637


























Value per cabin based mostly on asking worth, $71,739. This ship will promote for lower than asking worth. It’s already SOLAS 2010 compliant. It might value little or no to place into business service.


Turning into a co-owner of a cruise ship isn’t a far fetched thought. It’s sensible and possible if you’ll be able to discover like minded individuals who could be keen to share the bills.

Source by Arthur Wyss