Buy a Cruise Ship Cabin for a Surprisingly Reasonable Price
It’s essentially a timeshare, but they prefer “fractional ownership” vs. “buy part of a cruise ship” – The UK-based company, Fractions Abroad, has plans to build a $30 million, luxury yacht complete with “expansive private balconies, multi-jet shower in the privacy of a marble lined bathroom, private seating area, 40” flat screen TV, DVD, a well-stocked bar and personalized stationery and a suite butler that can supply anything from room service items to a laptop.” Common areas include a casino, piano bar, pool, library, spa, and more fancy stuff. Each owner will get two weeks per year on board.
This is the pricing structure according to Cruise Industry News:
Cost of ownership: ( $81,056)
Annual operating cost to owner: ($8,200) per year for 15 years
Total estimated cost over 15 year life: ($204,056)
Net sales proceeds each after sale: $22,400
Guaranteed annuity repayment: $156,600
Total proceeds from sale: $179,000
Net Cost: ($25,056)
This translates to $1,670 per year, or $119 per couple or $60 per person per day.
I don’t really understand the math… back of the envelope (34 units @ $80k * (52 weeks / 2 week stints) = $70 million for a $30 million price tag ship?
And what is this $156k “guaranteed annuity repayment?” If anyone cares to explain, I’m all ears.
Anyway – I promise that I will never write another post with this many numbers… unless I’m describing our bar tab on the Carnival Imagination next weekend for Jan’s bachelor party cruise (Departing Miami on August 5th).
So… enough math. Go and buy part of a cruise ship. For my brokerage fee, I’ll take a ride to Cabo.
