Cost of a Mega Yacht
There are several factors to consider when owning a mega yacht. The yacht’s size is the most important factor, followed by the types of amenities, age, condition, maintenance, and crew salaries, including the captain’s wages.
The average cost of a mega yacht is between $50 and $200 million. Remember, this is just an average price. According to Forbes, a 100-meter mega-yacht with 25 knots speed and 50 crew members can cost around $275 million.
A yacht that has at least a size of 60 meters or 200 feet is a mega yacht. This means that a mega yacht with a length longer than that will have a different price. So, the yacht size impacts the overall cost. Obviously! Here is a quick overview of the prices of popular mega yachts:
| Yacht | Length | Cost/Price |
| SOMNIO | 222 meters or 728 feet | $600 million |
| REV | 182.9 meters or 728 feet | $500 million |
| Azzam | 182 meters or 597 feet | $600 million |
| Fulk Al Salamah | 164 meters or 538 feet | $500 million |
| Eclipse | 163 meters or 534 feet | $590 million |
| Dilbar | 156 meters or 512 feet | $800 million |
| Al Said | 155 meters or 509 feet | $600 million |
Factors Affecting the Cost of a Mega Yacht
Many factors influence the cost of a mega yacht. You must understand these factors when buying a yacht. If you can’t afford it, the other option is yacht rental in Dubai. So, if you rent a yacht for a day, expect to pay between $3000 to $6000. Remember, this price is for a super/mega yacht. A smaller yacht’s rental price is $490 to $1,500. Here are the factors affecting the cost of a mega yacht.
- Materials
- Design and manufacture
- Marina fees
- Insurance
- Maintenance/repairs
- Crew salaries
- Depreciation
Mega Yacht Materials
Mega yachts are usually made of steel or fiberglass. The use of material depends on the owner’s preferences. Fiberglass is a lightweight and robust material. Steel is more durable than fiberglass, offering more structural integrity. Some mega yachts even have aluminum components for a more contemporary look and additional strength. So, the choice of materials affects the cost of a mega yacht.
Design and Manufacturing
Research shows that the design of a normal yacht cost between $3000 and $30,000. However, it should not exceed 20% of the overall manufacturing. So, what does this mean? This means a mega yacht’s design and manufacturing costs are even higher.
In addition, a fully custom yacht allows you to customize every aspect of the vessel. However, this luxury of a mega yacht comes with a price. Custom yacht designs require more time and effort from naval designers and engineers.
Mega yacht’s engineering and mechanical systems, such as propulsion, stability, electronics, structural rigidity, and hydrodynamics, can increase the costs. Moreover, yachts can exceed prices of $65 per pound for highly complex and tailored designs.
Marina Fees
Marina fees for mega yachts vary depending on the size and location of the yacht. High-quality marinas, such as Dubai Marina near Palm Jumeirah, can cost $6 to $8 per foot per night in peak season. Marina fees can even increase during prime-time events, such as New Year. The bottom line is that these elements also contribute to the yacht’s cost.
Insurance
Mega yachts are very expensive because they are large. So, it makes absolute sense that its insurance is costly. Rates vary by country and insurance company. Therefore, I recommend shopping around different companies, especially if you are in Dubai. An independent agent can assess your situation so you find the best insurance for your mega yacht.
Maintenance and Repairs
The general rule of thumb is that a mega yacht owner can spend 10% to 20% of the initial purchase price to maintain and run their yacht. For example, a $200 million yacht will cost around $40 million yearly to run and maintain. Some of the largest yachts can cost $50 to $60 million annually.
Moreover, diesel is one of the most significant costs in running a mega yacht. A 150-foot yacht cruising at 12 knots will consume 150 gallons per hour. So, this is around $500 per hour. So, if you cruise or charter your yacht for 500 hours per year, expect to spend $250,000 on the engine fuel.
Refits and upgrades can significantly impact the costs of a mega yacht. For example, repainting the hull costs between $320,640 and $1,068,800. Installing an LED lighting system costs between $160,350 and $534,450. Replacing a mega yacht’s furniture can cost $53,440 to $267,275.
Crew
A 150-foot yacht usually has a crew of eight members. It costs more than $650,000 per year in salaries, including payroll taxes, uniforms, food, health insurance, and travel for vacation. So, keep that in mind before purchasing a yacht. On the other hand, you can rent a mega yacht to fulfill your chartering requirements.
Depreciation
A yacht depreciates from 5% to 10% per year. However, this depends on brand, age, condition, and market demand. The depreciation varies with the yacht’s size. For example, a 30 to 40 feet yacht loses 19% of its value. If you have a mega or superyacht, it will depreciate value between 9% and 19%. The first three years will experience 21% to 33% depreciation. The depreciation is about 45% after 7 years.
Should You Buy or Rent a Mega Yacht?
Renting a mega yacht is better than buying it because it has lower costs upfront. Likewise, you can rent different sizes and types of mega yachts from time to time. You don’t need to worry about storing the boat in the offseason.
