Maritime life floats Dubai's boat

Dubai: From the shoreline, Dubai has residential buildings in the foreground and the much taller edifices behind, appearing through what is often a haze over the city.

When one looks the other way, facing the sea, it's not just the blue waters one sees, with a series of impressive developments under construction.

The high demand for waterfront property inspired developers such as Nakheel to look to the seas. It seems the maritime lifestyle is making a grand return for Dubai.

Taking the example of Dubai Maritime City, which will be an authority in the city for all maritime companies, Amer Ali, chief executive, said: "A lot of companies from outside Dubai are willing to set up their offices [here]."

Luxurious properties go hand in hand with yachts, the tool for marine living. "There are 2,500 boats in Dubai and 50,000 boats are expected to visit Dubai in the next five years," said Ali.

With the rise in boat use, the need for berths is obvious. Facing a shortage of berths for two years, Dubai will soon catch up with the demand.

"Nakheel projects will be adding more than nine marinas," said Saeed Hareb, director of Nakheel Marinas and managing director of Dubai International Marine Club. He said the marinas would grow by 70 per cent in the coming years.

"We are adding about 500 berths, so there will be plenty of marinas and berths for small, medium and mega-yachts," he said.

The company has announced almost 51,000 berths in the planning stage of all its projects.

"Between now and 10-15 years there is a well-developed plan to keep up with the marina demands," he said.

According to Hareb, the marine industry is seeing about Dh100 million in annual revenues.

Infrastructure and water treatment firms also play a part in marina development.

High growth

"The market has exploded in line with the real estate boom in the coastal developments," said David Heffernan, chief executive of Septech Holdings, a company dealing with wastewater infrastructure and engineering. "Marine industry revenues have increased [sharply] to about $150 million this year, and we believe could increase to over $300 million in the next three to five years."

High investments are needed in the marina industry. "Depending on the size, the cost to develop a marina is Dh400 million to Dh1 billion," said Hareb, speaking of Nakheel's projects.

To support the marine lifestyle, having a personal yacht might seem essential, but there are ways around making a huge investment.

Some clubs offer members access to boats without having to buy them outright. "For an annual fee, members can use a fleet of yachts in a number of locations worldwide, including the eastern and western Mediterranean, Caribbean, Red Sea and Arabian Gulf," said Piaras Moriarty, vice-president of IFA hotels and resorts.

"It's a hassle-free way of enjoying yachting in multiple destinations without the worries of maintenance, insurance etc," he said.

Another option is fractional ownership of a yacht, where a group of people can share the ownership and have exclusive use for a few months annually.

"Companies offering fractional ownership have been around for a few years now, and the number will only increase," said Hareb.