Grand Banks Yachts buys Florida marina for US$1.9m

Malaysian boatbuilder Grand Banks Yachts has entered into a sale and purchase agreement to acquire 458 SW Salerno Road, a marina and yacht service yard located in Stuart, Florida, USA, for US$1.9m.

The 458 SW Salerno Road site sits opposite Grand Banks group’s Stuart yard, which serves as its USA headquarters as well as a one-stop shop for customer enquiries, support and warranty requirements.

Grand Banks says the proposed acquisition will allow the group to enlarge its footprint in the US, enhance service capabilities and generate new revenue streams.

With a land size of approximately 13,000 sq ft (1,208 sqm) and a built-up area of 2,864 sq ft (266 sqm), 458 SW Salerno Road has berthing for up to nine boats. The property is currently the residence of sellers Gregory Burdick and Nancy Burdick.

The acquisition will be satisfied through a US$10,000 deposit and approximately US$500,000 to pay off the sellers’ lien at closing date. The remaining US$1.4 million will be paid over a period of 15 years starting from 1 July 2024 at a fixed interest rate of four per cent per year.

Grand Banks, which builds Grand Banks, Eastbay and Palm Beach boats, said the proposed acquisition will also allow the group to service more boats simultaneously, to meet growing demand for post-sale services, while strengthening branding within the USA — the group’s main market.

The proposed acquisition is expected to be completed on 12 December 2022.

Mark Richards, CEO of Grand Banks, says: “Grand Banks has built a strong reputation as a reliable boat builder, and providing top-quality service and support to our customers is especially crucial when selling luxury motor yachts.

“The acquisition of 458 SW Salerno Road will further strengthen the group’s image and branding as a premier luxury yacht builder, build a strong foundation for us to enhance our services and generate new revenue streams, which in turn adds long-term value for shareholders.”