In design terms, the superyacht industry is better than ever with younger, eco-conscious, first-time owners venturing in with 90 m+ yachts, looking for real innovation. But the supply of shipyard slots exceeds demand.
Roberto Giorgi, Executive Chairman & CEO of Fraser Yachts since September 2014, and Honorary Chairman of V-Ships, notes »The supply[ds_preview] of shipyard slots still exceeds demand. As a result a number of shipyards have recently announced they are closing their doors. This has happened in the past but in many cases the same shipyards re-open or re-merge under new ownership or with new investors a few months down the line – in some cases successfully, in others simply running into the same problems shortly thereafter. Large clients favour the traditional players, tried and tested solutions with a proven track record and solid financial background. There does appear to be a need for greater consolidation looking at the global order book, number of deliveries and new contracts«.
Dick Mulder, CEO of Mulder Shipyards – at the smaller end of superyacht construction, its largest launch being the new Claydon Reeves designed 34m, plumb-bowed »Solis« – says: »We see a lot of new players entering the market as builders, trying to win orders with low quotations. Our clients appreciate the older yard, existing for several generations, but one that innovates and invests in infrastructure. Our facility is almost at capacity.«
Peter Wilson, founding Director of Marine Construction Management (MCM) notes differences in different segments, stating: »The order books at the large shipyards are looking quite healthy, one of the major Dutch motor yacht builders told me they are at pre-2008 levels. At MCM, we are seeing a few sectors still struggling such as the 40–50 m sailing yacht market, which is fairly sparse right now. We have noted a keen interest in carbon, lightweight, high-performance sailing yachts in the 30–35 m range. This seems to be an exciting area of growth as owners are looking to sail fast and have fun«. »Doryan«, from Baltic Yachts, whose build was managed by MCM, fits that description. Wilson adds: »There has been a recent thinning of available shipyards, based on market forces. There are some exciting new builders emerging and maturing in countries such as Turkey for example and it will be fascinating to watch them grow and succeed. A few long-standing yards are not quite as robust as in years past and it will be interesting to see how this all shakes out«.
Michael Koppstein of Royal Huisman (fifth generation family business, established in 1884) says: »If you look at some of the consolidation that has been happening in the market there has to be an increased appreciation for the brand. Too many companies have tried, failed and gone away leaving customers standing on the dock. These customers are saying ›who is going to finish my yacht?‹ Some have even called us for help with tones of regret! It is terrible for the customer, employees and industry. For Royal Huisman we are about long-term commitment and value engineering. I am selling reputation, integrity and the knowledge that makes these very complex machines work properly over the long run.«
There are two lines of thought and new shipyards are not necessarily doomed from the outset. Designer Miguel Queda of CQS, with a 106 m refit’s interior 90% built and being assembled in Greece, says: »Established brands are a guarantee of high standards of quality and safety, however new players may introduce features that sometimes the establishment misses«.
Designer Ken Freivokh says it is seldom up to the designer to decide on the yards but »the trend is still to go with the established blue chip shipyards who have healthy order books. Opportunities are being lost with less well-known but equally capable smaller shipyards«. Freivokh notes that the main interest seems to come from new owners »who straight off are interested in building a 90 to 100m yacht as their first venture into yachting!«
Mike Reeves of Claydon Reeves says: »Yes, there are a lot of new builds over 100m LOA but equally we see a move towards more ›human-sized‹ boats offering intimacy – the 34-metre ›Solis‹ is a fine example. The known brands are doing well but some have gone down. There are new players and Asia Pacific builders worth looking at. One observation is that even the builders of bigger custom superyachts do tend to look to share platforms giving an economy saving where they can«.
Enter Silver Yachts (ex Hanseatic Marine) – a good example of a successful new brand, the reasons being, according to the ubiquitous naval architect Espen Oeino who has designed all their yachts: »The shipyard started with a blank sheet of paper, went back to first principles, made it environmentally friendly by redistributing volumes (against the current trend of more volume through higher & wider vessels). The biggest enemy of power is hull resistance, which is weight and beam related. The 77m ›Silver Fast‹ can cruise at 18 kn using under 400 l/hr. She has transatlantic range at 22 kn! The actual yacht design is what made the yard successful, creating a niche for itself when European yards were reluctant to take on. The Australians had good skills in building lightweight aluminium structures. The brand is associated with sleek, fast motor yachts.« Oeino also notes a trend for exterior spaces that can be converted to interior in colder climates and younger clients looking for »activity« boats (he flicks up a video of Octopus’ submarine, discovering a sunken treasure haul on a wreck, on his wall display as he talks!).
Andrew Winch Designs (AWD) probably noted the appeal of »Silver«, the first from Hanseatic, when the large team designed »Madame Gu«, which Winch describes as the largest Feadship and »a great example of a total custom creation with this sleek and striking concept, that can attain 24 kn«. AWD also notes »an increase in 80–100m bespoke yachts – clients want a more unique and personalized yacht«. An 88-metre, named »Intensity« is currently on the drawing board, resembling the Starck/Francis-designed »A« – but with more windows. Winch states »inspiration is taken from the military hence the look of a submarine. It is aimed at the next generation of client in a less formal environment. It has low draft so therefore it can explore more places and is a low volume boat so more fuel efficient«.
Richard Hein, former owner of Oceanco, who has built a large number of large superyachts, notes: »We are seeing trends towards larger boats, although not necessarily with more guests but more facilities and larger spaces – both interior and exterior. Providing extensive but safe interaction with the sea via platforms, floodable docks, balconies, tenders and water toys is always a strong theme.
Our experience with Passenger Yacht Code vessels shows that the costs, complexities and limitations of carrying more than 12 passengers have to be carefully understood by all parties before any decision to proceed with such a project is taken. However, if carefully managed, spectacular results can be obtained, such as the V853-NB691 project we recently completed with Kusch Yachts.
We are placing emphasis on design details – greater availability and affordability of composite materials, which allow complex shapes and form without weight penalty; use of large glass and water, to provide points of interest without affecting feelings of light and space. Outside open decks and landing capabilities also play an important role in the initial design. We carefully monitor developments of environmentally friendly and cleaner technologies for incorporation into designs and specifications: where sufficiently mature technology provides clear benefits for the immediate users or wider society, or where necessary to meet current and future legislation. For example diesel electric propulsion for improved load management, ballast water treatment and exhaust gas cleaning already feature in our yachts; hybrid propulsion, battery bank energy storage, gas fuels and Direct Current electrical distribution have all been studied as possible options.«
Lürssen’s 91 m project »Orchid« by Reymond Langton Design (a mere half the length of the Lürssen-built »Azzam« launched in 2013!), has successfully and quietly completed sea trials, with final delivery scheduled for the end of the summer, as we go to press. Having built eight of the Top 20 and 25 of the Top 100 yachts, and remaining in the hands of the 4th generation of the Lürssen family, her workforce of 1800 is feeling secure. Celebrating 140 years in 2015, this is one brand that should certainly be building large yachts as she reaches 150 years. Innovation and investment in infrastructure and people, combined with working with top designers is the way for builders, old or new, to stay afloat. Vassilas Fotillas, Commercial Director of Fraser Yachts, echoes that in the brokerage world, combining innovation with tradition: »We are constantly looking to improve our services; we have to! Our clients are very demanding and the world of yacht brokerage and services is highly competitive. Two interesting developments this year were the establishment of VF Yachts. VF Yachts specialises in New Build Project Management in collaboration with V.Delta; a well-known and long established marine engineering company in commercial shipping and part of the V.Group. The V.Group is a minority shareholder of Fraser Yachts. The second development was the opening of two offices in Thailand and Malaysia to complement our Singapore office. Working closely with our Monaco office Fraser Yachts has established itself as a »quiet force« in the region. Singapore is one of the world’s most important shipping centres. Perhaps due to our traditional clientele and shareholders (V.Ships) Fraser Yachts has always been close to the shipping community.«
Design trends and innovation
Innovations in the sailing market are fast-moving, largely thanks to the competitive nature of many owners who enjoy superyacht regattas. Koppstein says: »Innovations in the pipeline for Royal Huisman include ultra-high-speed electric winches, variable-speed/variable-output generators, low-friction piping. We are always looking at how to do the same thing better – what some might call ›lean manufacturing‹. We see Cradle-to-Cradle (C2C) regenerative design as an approach to the design of products and systems and an imitation of the models, systems, and elements of nature for the purpose of solving complex human problems. Bill Joy, for whom we built ›Ethereal‹ introduced it to us as ›biomimicry‹ and the client for the recently delivered ›Elfje‹ progressed it to C2C. Just look at Velcro and you know the approach is also not on the distant horizon. There is a lot more to come out of this field.«
Malcolm McKeon Yacht Design has quickly built up a strong client base since setting up two years ago (as announced in HANSA) with a 33m composite performance sloop and 32.5m carbon-fibre high-performance sloop in build at Green Marine, the latter with Remi Tessier interior, and a 72m aluminium performance sloop in the final negotiation stage with shipyards with the plan to lay the keel by the end of the year. McKeon takes an environmentally-friendly green approach to all designs.
Mike Reeves believes that on the innovation front »Claydon Reeves’ 46 m EXO sailing yacht, developed in partnership with Dykstra naval architects, is a good example of ›biomimicry‹, optimizing structures, reducing the amount of materials used and gaining a performance advantage, through studying nature«. Claydon Reeves was one of the founder Partners signing up to Prince Albert II Foundation.
Freivokh is thinking along the same lines and »exploring new directions, both in terms of new materials, such as structural glass and new structural concepts such as geodesic or space-frame structures for maximum rigidity and strength with minimum weight«, noting »there is interest in green technologies, including DynaRIG sailing yachts over 100m. Efficient plumb bow or reverse bow yachts seem to have become the norm«.
Green is now de rigueur. »Yersin« – which is a multi-purpose explorer, with »green credentials« paramount from the outset (her owner, François Fiat, is the Yacht Club de Monaco’s first Ambassador of »La Belle Classe«) represents a true desire to combine yachting with »doing good« through adventure, scientific research and education. Finishes are modest and by no means opulent, however, as well as two laboratories there is a swimming pool/Jacuzzi forward of the yellow funnel, inspired by the owner’s love of 1950s cruise liners. »Yersin’s« hull plating is not faired as it is not considered necessary, involves extra weight, and the lack of it makes repairs simpler. She is Ice-Class and built to full SOLAS with two 22-man self-propelled orange lifeboats very visible.
Fraser Yachts’ Giorgi gives a ›corporate‹ viewpoint of the future: »We see a greater challenge with stricter more complex rules and regulations. We therefore also see a greater need for expertise to help clients with new build construction, new build supervision, operational and crew management.«
Marine Construction Management’s Wilson states »MCM remains nimble and has focus on a number of different types of vessel. MCM is in the development stage of a 58m aluminium performance motor yacht and is managing the build of a 15-metre motor launch, a 21-metre carbon pre-preg, rotating wing-mast, catamaran and a 39 m carbon racer-cruiser – amongst others.
Variety is the spice of life it is said!« The variety of brands, sizes, innovative architecture and superyacht materials and design, inside and out, combining fun with a sense of eco-consciousness has never been so complex or exciting. Time is short for today’s global-aware entrepreneurs and they are pushing for »activity« boats more than status symbols.
Nick Jeffery
