Saturday 30 August 08 - 17:04
 

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BW launches marinas investment guide

British Waterways (BW) recently published a guide aimed at leisure companies, developers, investors and canal side landowners outlining the potential for marina investment and development on the UK's canal and river network.
Froomberg: critical shortfall in berths
Froomberg: critical shortfall in berths

According to BW, over 11,000 new marina berths are needed over the next decade to meet an acute shortage of waterways moorings. This, they say, represents investment opportunities of £100m to £150m over the period.

The Inland Marina Investment Guide sets out the size of the market and its projected growth, as well as possible investment returns of up to 18% from large marinas. Areas around the UK suitable for marina development are also identified, along with the part BW can play in assisting the development process.

"Boat ownership is increasing by 2.4% year on year and there is a critical shortfall in the number of inland marina berths, " said BW commercial director, James Froomberg.

"We hope that developers of all sizes see the potential that exists and that the guide helps them put schemes in place."

The BW guide points out current marinas vary from 50 to 600 berths and offers typical development costs, quoting a 250 berth marina at around £2.5m. That marina, says BW, could deliver EBITDA (earnings before interest, tax, depreciation and amortisation) of around £300,000. A 350 berth marina on a 10.5 hectare site, says BW, would cost around £4m and deliver EBITDA of around £500,000.

A specialist new marina team will offer advice and guidance to prospective developers.

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Froomberg: critical shortfall in berths

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