Boatslips Wanted ~ Why So Scarce

November 19, 2009 -- Though not a new concept, marinas with boat slips for sale, commonly known as dockominiums, have seen a rapid rise in value in recent years. Treated the same as real estate, dockominiums can be sold, rented, or even willed. Wet slips in desirable areas can now sell for more than the cost of a single family home. A new development in John's Island, S.C., near Charleston, sold out a new offering of slips at $4,000 per foot immediately after putting them on the market. In the southeast and particularly Florida, mom and pop marinas have become a thing of the past. Increasing taxes and insurance for waterfront property have forced many to sell out to the highest bidder, typically condominium and hotel developers. As the number of registered boaters throughout the country is rising, access to marinas has declined. According to Boat U.S., decreasing public access to the water is the single largest issue facing the boating industry today.
By purchasing a slip, ownership turns the monthly drain of rent into financial assets and protection from increasing rates and decreasing slip space. Rental rates in the Hilton Head area for slips now average more than $12/ft. on a monthly basis and there are often waiting lists for those slips. Slip buyers are not only purchasing slips for their own boats, but also investing in additional slips to place on the rental market. The monthly income offsets their costs and prices continue to escalate for future resales. While home sales are currently soft, boat slips are a rare and increasing valuable commodity.

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