Three Decades of Wealth Evolution Focus on Private Yacht Marinas

Editorial unit: Guangzhou Deli Yacht Marina Engineering Co., Ltd.

Edit date: May 6, 2016

Every leader is looking for a harbor of their own. Zhang Chaoyang created an internet harbor for a new generation in China. Wang Chuanfu found his harbor in new energy vehicles. Ma Huateng built an IT harbor where hundreds of millions of people can communicate online at the same time. But where is your harbor?

Three decades of wealth evolution has brought private yacht marinas into focus.

If the number of masts in an urban port reflects the development of a maritime city, then the number of private marinas reflects the maturity of its wealth leaders. A marina, as an ultimate symbol of wealth, reveals the real life state of those who possess it. Over the past 30 years, China has never lacked people with wealth and business intelligence, but it has lacked a lifestyle that matches that wealth. In recent years, China's yacht industry has therefore entered a period of strong growth. Yet one fact must be recognized: every wealth leader who competes in the business world hopes to own a harbor where the mind can come to rest, while high-quality coastlines suitable for private marinas are extremely scarce. According to the 2010 Hurun Wealth Report, by the end of 2009, excluding Hong Kong, Macao, and Taiwan, mainland China had 875,000 individuals with assets above RMB 10 million, an increase of 6.1 percent from the previous year, and 55,000 billionaires, an increase of 7.8 percent. Compared with this rapid pace of wealth creation, the premium coastlines available for enjoying wealth have shrunk toward scarcity within just a decade. In the eyes of visionary people, private yacht marinas reserved for a very small group are not only safe harbors for wealth, but also prosperous ports where wealth can continue to grow.

Whether in the world or in China, yachts represent one of the highest forms of enjoying life's wealth.

Yachts have long been seen as exclusive possessions of wealthy celebrities, and European royal families often own private yachts that match their status. For them, in an era where taste and refinement help define identity, a yacht has gone beyond the meaning of a vessel. It is more like a fine work of art through which leadership, knowledge, and taste can be fully expressed. As a result, yachts have become a way to distinguish status among the wealthy. In a sense, without a luxury yacht, it is difficult to sail into the harbor of the ultra-rich.

Similarly, many Chinese entrepreneurs who berth at Langqi believe that the sea allows people to feel both breadth and momentum, helping them move with greater ease in business and life. At Langqi Yacht Club, the lifestyle has a familiar connection with Hong Kong. Owners gather with family and friends aboard their yachts, and they can also handle business on board. Compared with villas, many wealthy people on both sides of the border prefer yacht parties within elite circles, prefer arriving at high-end business meetings by yacht, and prefer sharing the best moments of life at sea with family and close friends under gentle sunlight and sea breeze.

Private marina berths are difficult to secure, and Shenzhen may become the next Hong Kong.

People in Shenzhen and Hong Kong both have a strong affection for marine life, but Hong Kong's yacht capacity is nearly saturated. More than a dozen yacht clubs and thousands of private yachts and sailboats already fill the available berths, while the average annual value growth of yacht berths has reached 20 percent. Take the Aberdeen Marina Club in Hong Kong, founded in 1984, as an example. Its membership price has risen from HKD 150,000 to more than HKD 2 million. Its yacht berths have increased in value by several hundred times, reaching market values of HKD 20 million, yet owners still rarely sell. The phrase "a berth is hard to find" has become a real description of Hong Kong's wealthy circles.

Looking back to Shenzhen, just across the water from Hong Kong, the city's marine passion is clearly being released under Hong Kong's influence. In recent years, Shenzhen has accounted for a large share of China's newly added private yachts each year, including many luxury yachts over 60 feet. Behind Shenzhen stands a Pearl River Delta circle of wealth leaders that is even larger than Hong Kong's. After the State Council's No. 121 document of July 23, 2010 on implementing key tasks for accelerating tourism development, the yacht industry became a sector supported by national policy. Once the long-suppressed enthusiasm for yachting is triggered, Shenzhen's yacht industry is likely to respond with explosive growth. Shenzhen may become another Hong Kong.

Do you already have your own marina?

Today, Langqi Yacht Club remains a maritime retreat in the hearts of China's yacht community. Its members include Wang Shi and other influential business leaders, while BYD, Huawei, Foxconn, and Sina are among its founding members. China's wealth leaders gather at Langqi, and they do not hide their appreciation for its yachting lifestyle. Its unmatched location, open waters, pure yacht community, privacy, and natural setting make it difficult to find another club like it in China. With a 12-year record of achievement, Langqi is also the only yacht club in Shenzhen authorized to sell marina berths, and most of Shenzhen's yachts and sailboats are berthed there. The existing private marina berths at Langqi can no longer meet demand, so only a very small number of private berths are released each year. According to recent news, Vanke will soon invest several hundred million yuan and work with world-renowned architect Zaha Hadid to build a landmark international clubhouse and a super five-star private resort hotel for Langqi. Once completed, marine elites from around the world will gather there. By then, it may be even harder to purchase such a private marina berth. The question "Do you have a marina?" may become one of the most closely watched topics among China's top wealthy circles.