Commissioned by a Russian billionaire and ultimately delivered to a powerful, Middle Eastern family, the 110-meter Radiant did more than just mezmerize anyone who sees it. Its build and subsequent sale became a breakthrough public case and enlightened many as to the actual costs in building a megayacht and the processes of selling one.
In early 2004, the late Boris Berezovsky, one of Russia's most influential billionaires, set out to build a 110-meter yacht at Lurssen to be called Darius. After some negotiation, Berezovsky decided to build the yacht, which would cost him €148,540,000, which were payable by installments plus interior fitting costs.
Whereas the size and volume of the yacht is impressive, the most fascinating element of Darius' story lies in the fact that due to public litigation that followed, it became actually known, how much does it cost to build a 110 meter superyacht at Lurssen, a figure that had previously only been estimated and hypothesised. Understandably, every project of this scale is different, however, even a range was difficult to obtain at the time.
As the economic crisis hit, Berezovsky was unable to pay his seventh installment of €23,890,421 in May 2008 and decided to put the yacht on the market as a yacht that was still in construction. The Russian billionaire then contacted brokerage firm Edmiston to sell the yacht and a target of €300 million net of commission and fees was set for the sale.
Whereas in today's economy selling a yacht for nearly double its original building cost may seem to be unreasonable, at the time, it was a common occurrence. Yachts that were ready immediately were considered more valuable than those that still had to be built. This led to many speculation builds and an era of yacht flipping that was sunset by an oversupply as of the early 2010s. In the megayacht market this still exists as one would have recently seen with the sale of the 134-meter Serene to a Saudi Prince for an amount higher than building costs by Russian billionaire Yuri Scheffler.
As is common in the yachting sector, Edmiston contacted Merle Wood, another powerful yacht broker, to help them find a buyer for the 110-meter yacht still under construction. In turn, Wood contacted the captain of a yacht owned by the Al Futtaim family for him to offer this deal to his employers. The captain agreed to do this, asking for a €3 million commission should the deal go through.
Whilst such a number may appear unreasonably high for a simple introduction, it is common in the yachting industry, which works mostly on commission, to have every middlemen involved in the transaction get a percentage of the deal. In this case, €3 million would equate to less than one percent of the total, advertised sales price. For the sale of smaller yachts, brokers routinely take a 10% cut of the total amount.
In July 2008, the Al Futtaim family decided to seriously consider a purchase of the yacht, which led to Edmiston meeting with Berezovsky and agreeing on a 2.5% commission if a net price of €300 million was achieved. After visiting the yard, the Al Futtaims, however, decided that they would rather not deal with brokers and that they would rather deal directly with the owner.
In situations with such high sales prices, it is not uncommon for sellers and buyers to want to deal directly with each other as opposed to with brokers and save on fees. When the broker was the one to introduce the client, this becomes, however, more complicated as to how commissions should be given out. A case that the Darius sale set a precedent for.
At the end of August, the Al Futtaim made an offer of €210 million for the purchase of the yacht. After negotiations, the final price went up to €240 million. By October the deal was closed and the €240 million paid. As these negotiations were held directly between the buyer and seller, Berezovsky decided that Edmiston was not entitled to a commission, a point with which the brokerage firm did not agree.
As a result, Edmiston initiated proceedings in UK courts in 2010, through which the details of the construction and sale of Darius became known, shedding a light as to how such processes take place. In July 2010, UK courts ruled that Edmiston was in fact entitled to a commission of €7,2 million, ie 3% of the sales price. An amount, which Berezovsky appealed.
In trying to assess whether a 3% commission was a fair market rate, more interesting evidence from the yacht brokerage world emerged. Berezovsky had also engaged YachtZoo and Royal Oceanic to find buyers for Darius at rates of 3% and 2.5% respectively. It was also disclosed that a commission of 4% was paid for the sale of Pelorus, a sistership to Darius, which sold for $150 million in October 2003.
The proceedings helped clarify for the industry as a whole the effective broker commission on the sale of larger superyachts, as opposed to the common 10% on the sale of regular sized yachts in the sub €10 million range. On the sale of the 78m Princess Mariana, for example, a 4% commission was paid. In the end, the court agreed to a 2.5% commission for Edmiston for a total of €6 million on the sale of Darius.
A close sistership to the 110-meter Pelorus, famously acquired by Roman Abramovich, Berezovsky's former business partner and the 110-meter Ona, built for Alisher Usmanov, Project Darius remains one of the most significant yachts on the water to this date. The series built on this 110 meter platform remains one of the most successful and emblematic for the German shipyard, which has since been able to build even larger yachts.
Few elements are known as to what amenities Darius, or Radiant as it is now named, has on the inside. Exterior photos show a helipad up on the aft of the yacht's fourth deck as well as an extensive lounging area aft of the yacht's third deck. A beach club and swimming platform can also be found aft of Radiant's lower deck.
Historically one of the most influential and powerful Russian oligarchs, the late Boris Berezovsky started his business career selling Soviet-made cars and foreign cars in 1989 after initially working in scientific research. He first built up an equity in Russian car producer, AvtoVAZ and later gained control of ORT Television, one of Russia's most popular television channels. Together with prolific yacht owner, Roman Abramovitch, he acquired a majority position in Sibneft, a Russian oil company, which constituted the bulk of his net worth.
Valued at $3,3 billion by Forbes, Abdulla Al Futtaim is the owner of the Al Futtaim Group, which is operated by his son, Omar. The exclusive distributor of Toyota and Honda cars in the UAE, it also owns the country's largest insurance company, Orient Insurance.
Check our Timeline platform to get the full access to our analytics platform, that offers you a detailed report on the timeline of each superyacht, real time market view to see the yacht market developing and much more!
Napoli-based shipyard Arcadia Yachts has delivered the second hull in the builder’s 105 series, the winner of World Superyacht Awards 2019 for Best Semi-displacement or Planing Motor Yacht.<blockquote class="instagram-media" data-instgrm-permalink="https://www.instagram.com/p/BxwjwWYAzZd/" data-instgrm-version="12" style=" background:#FFF; border:0; border-radius:3px; box-shadow:0 0 1px 0 rgba(0,0,0,0.5),0 1px 10px 0 rgba(0,0,0,0.15); margin: 1px; max-width:540px; min-width:326px; padding:0; width:99.375%; width:-webkit-calc(100% - 2px); width:calc(100% - 2px);"><div style="padding:16px;"> <a href="https://www.instagram.com/p/BxwjwWYAzZd/" style=" background:#FFFFFF; line-height:0; padding:0 0; text-align:center; text-decoration:none; width:100%;" target="_blank"> <div style=" display: flex; flex-direction: row; align-items: center;"> <div style="background-color: #F4F4F4; border-radius: 50%; flex-grow: 0; height: 40px; margin-right: 14px; width: 40px;"></div> <div style="display: flex; flex-direction: column; flex-grow: 1; justify-content: center;"> <div style=" background-color: #F4F4F4; border-radius: 4px; flex-grow: 0; height: 14px; margin-bottom: 6px; width: 100px;"></div> <div style=" background-color: #F4F4F4; border-radius: 4px; flex-grow: 0; height: 14px; width: 60px;"></div></div></div><div style="padding: 19% 0;"></div> <div style="display:block; height:50px; margin:0 auto 12px; width:50px;"><svg width="50px" height="50px" viewBox="0 0 60 60" version="1.1" xmlns="https://www.w3.org/2000/svg" xmlns:xlink="https://www.w3.org/1999/xlink"><g stroke="none" stroke-width="1" fill="none" fill-rule="evenodd"><g transform="translate(-511.000000, -20.000000)" fill="#000000"><g><path d="M556.869,30.41 C554.814,30.41 553.148,32.076 553.148,34.131 C553.148,36.186 554.814,37.852 556.869,37.852 C558.924,37.852 560.59,36.186 560.59,34.131 C560.59,32.076 558.924,30.41 556.869,30.41 M541,60.657 C535.114,60.657 530.342,55.887 530.342,50 C530.342,44.114 535.114,39.342 541,39.342 C546.887,39.342 551.658,44.114 551.658,50 C551.658,55.887 546.887,60.657 541,60.657 M541,33.886 C532.1,33.886 524.886,41.1 524.886,50 C524.886,58.899 532.1,66.113 541,66.113 C549.9,66.113 557.115,58.899 557.115,50 C557.115,41.1 549.9,33.886 541,33.886 M565.378,62.101 C565.244,65.022 564.756,66.606 564.346,67.663 C563.803,69.06 563.154,70.057 562.106,71.106 C561.058,72.155 560.06,72.803 558.662,73.347 C557.607,73.757 556.021,74.244 553.102,74.378 C549.944,74.521 548.997,74.552 541,74.552 C533.003,74.552 532.056,74.521 528.898,74.378 C525.979,74.244 524.393,73.757 523.338,73.347 C521.94,72.803 520.942,72.155 519.894,71.106 C518.846,70.057 518.197,69.06 517.654,67.663 C517.244,66.606 516.755,65.022 516.623,62.101 C516.479,58.943 516.448,57.996 516.448,50 C516.448,42.003 516.479,41.056 516.623,37.899 C516.755,34.978 517.244,33.391 517.654,32.338 C518.197,30.938 518.846,29.942 519.894,28.894 C520.942,27.846 521.94,27.196 523.338,26.654 C524.393,26.244 525.979,25.756 528.898,25.623 C532.057,25.479 533.004,25.448 541,25.448 C548.997,25.448 549.943,25.479 553.102,25.623 C556.021,25.756 557.607,26.244 558.662,26.654 C560.06,27.196 561.058,27.846 562.106,28.894 C563.154,29.942 563.803,30.938 564.346,32.338 C564.756,33.391 565.244,34.978 565.378,37.899 C565.522,41.056 565.552,42.003 565.552,50 C565.552,57.996 565.522,58.943 565.378,62.101 M570.82,37.631 C570.674,34.438 570.167,32.258 569.425,30.349 C568.659,28.377 567.633,26.702 565.965,25.035 C564.297,23.368 562.623,22.342 560.652,21.575 C558.743,20.834 556.562,20.326 553.369,20.18 C550.169,20.033 549.148,20 541,20 C532.853,20 531.831,20.033 528.631,20.18 C525.438,20.326 523.257,20.834 521.349,21.575 C519.376,22.342 517.703,23.368 516.035,25.035 C514.368,26.702 513.342,28.377 512.574,30.349 C511.834,32.258 511.326,34.438 511.181,37.631 C511.035,40.831 511,41.851 511,50 C511,58.147 511.035,59.17 511.181,62.369 C511.326,65.562 511.834,67.743 512.574,69.651 C513.342,71.625 514.368,73.296 516.035,74.965 C517.703,76.634 519.376,77.658 521.349,78.425 C523.257,79.167 525.438,79.673 528.631,79.82 C531.831,79.965 532.853,80.001 541,80.001 C549.148,80.001 550.169,79.965 553.369,79.82 C556.562,79.673 558.743,79.167 560.652,78.425 C562.623,77.658 564.297,76.634 565.965,74.965 C567.633,73.296 568.659,71.625 569.425,69.651 C570.167,67.743 570.674,65.562 570.82,62.369 C570.966,59.17 571,58.147 571,50 C571,41.851 570.966,40.831 570.82,37.631"></path></g></g></g></svg></div><div style="padding-top: 8px;"> <div style=" color:#3897f0; font-family:Arial,sans-serif; font-size:14px; font-style:normal; font-weight:550; line-height:18px;"> Посмотреть эту публикацию в Instagram</div></div><div style="padding: 12.5% 0;"></div> <div style="display: flex; flex-direction: row; margin-bottom: 14px; align-items: center;"><div> <div style="background-color: #F4F4F4; border-radius: 50%; height: 12.5px; width: 12.5px; transform: translateX(0px) translateY(7px);"></div> <div style="background-color: #F4F4F4; height: 12.5px; transform: rotate(-45deg) translateX(3px) translateY(1px); width: 12.5px; flex-grow: 0; margin-right: 14px; margin-left: 2px;"></div> <div style="background-color: #F4F4F4; border-radius: 50%; height: 12.5px; width: 12.5px; transform: translateX(9px) translateY(-18px);"></div></div><div style="margin-left: 8px;"> <div style=" background-color: #F4F4F4; border-radius: 50%; flex-grow: 0; height: 20px; width: 20px;"></div> <div style=" width: 0; height: 0; border-top: 2px solid transparent; border-left: 6px solid #f4f4f4; border-bottom: 2px solid transparent; transform: translateX(16px) translateY(-4px) rotate(30deg)"></div></div><div style="margin-left: auto;"> <div style=" width: 0px; border-top: 8px solid #F4F4F4; border-right: 8px solid transparent; transform: translateY(16px);"></div> <div style=" background-color: #F4F4F4; flex-grow: 0; height: 12px; width: 16px; transform: translateY(-4px);"></div> <div style=" width: 0; height: 0; border-top: 8px solid #F4F4F4; border-left: 8px solid transparent; transform: translateY(-4px) translateX(8px);"></div></div></div> <div style="display: flex; flex-direction: column; flex-grow: 1; justify-content: center; margin-bottom: 24px;"> <div style=" background-color: #F4F4F4; border-radius: 4px; flex-grow: 0; height: 14px; margin-bottom: 6px; width: 224px;"></div> <div style=" background-color: #F4F4F4; border-radius: 4px; flex-grow: 0; height: 14px; width: 144px;"></div></div></a><p style=" color:#c9c8cd; font-family:Arial,sans-serif; font-size:14px; line-height:17px; margin-bottom:0; margin-top:8px; overflow:hidden; padding:8px 0 7px; text-align:center; text-overflow:ellipsis; white-space:nowrap;"><a href="https://www.instagram.com/p/BxwjwWYAzZd/" style=" color:#c9c8cd; font-family:Arial,sans-serif; font-size:14px; font-style:normal; font-weight:normal; line-height:17px; text-decoration:none;" target="_blank">Публикация от Ocean Drive (@oceandrive_yachting)</a> <time style=" font-family:Arial,sans-serif; font-size:14px; line-height:17px;" datetime="2019-05-22T08:50:32+00:00">22 Май 2019 в 1:50 PDT</time></p></div></blockquote> <script async src="//www.instagram.com/embed.js"></script>The 32-metre yacht was christened Sea Coral II and delivered to charter broker OceanDrive. The yacht will be available for charter cruises around Amalfi, Sardinia, Corsica and the South of France starting from this summer. Based on the same platform as the Arcadia 100+, both exteriors and interiors of Arcadia 105 were developed in collaboration with Italian design studio Hot Lab. Sea Coral II comes as the second hull in the series, after the 2018 RJ.The 199-GT semi-planing superyacht has been constructed with a fibreglass hull onto a beam of 7.76 metres.The model is trademarked with glass walls between the aft-deck and main salon and openable floor-to-ceiling windows creating a fluid indoor-outdoor space.Thanks to the convertible 35-square-metre skylounge, a fully enclosed third deck can be protected against bad weather or open to enjoy the breeze and the scents of the sea.Accommodation on-board is provided for up to 10 guests within two doubles, two twins and one convertible cabin, along with the staff capacity for six. The yacht is equipped with games room, dining room and a private lounge.Toy storage of Sea Coral II comprises a Castoldi tender stored aft, two paddleboards, two Seabobs, a Kayak, wakeboard and water skis. Powered by two MAN V8 1200HP engines, the yacht cruises at 12-14 knots under reportedly low fuel consumption.As to other projects by the yard, with ten units now under construction, it has recently revealed the first Sherpa XL, that is approaching her completion.
May 23, 2019
The 54.3-metre Amels superyacht 4You, previously owned by co-founder of Russian real-estate development company PIK Group, Kirill Pisarev, has been sold with both the buyer and the seller represented by Edmiston.The second hull in Dutch shipyard Amels' successful Limited Editions 180 line, 4You was commissioned by her previous owner and launched in 2012. She has undergone several refit and maintenance works in 2016, 2017, with the latest one held in April 2019.The yacht features exterior design by UK-based Tim Heywood and interiors by Italian studio Laura Sessa. She is trademarked with a large sundeck and six staterooms for accommodation of up to 12 guests. Similarly to her sisterships Astra and Apollo, 4You features a timeless light grey hull and white superstructure.Propelled by MTU 12V 2000 M70 engines, 4You can reach a top speed of 15.5 knots and cruises at 13 knots. At the time of sale, 4You was asking €29,500,000.In 2016, the yacht’s previous owner Kirill Pisarev (net worth estimated at $6.1 billion, Forbes) won a law suit against Moran Yacht & Ship over a claim on commission over his previous yacht, also named 4You. The 47-metre 2009 Hessen could accommodate 10 guests in 5 cabins and was said to be too small for the owner’s family. Mr Pisarev therefore decided to sell the yacht and to commission a 55m yacht from Amels. Following the sale, Mr Pisarev ended up in court after the brokerage agency who managed and crewed the yacht, Moran Yacht and Ship, argued they were owed a £615,000 commission on the deal, 4% of the sale price. Their claim was dismissed by the High Court in 2014, and on February 11th 2016 Lord Justice Christopher Clarke dismissed the motion once again, reaffirming Mr Pisarev's victory in this legal dispute.
May 23, 2019
German builder Abeking & Rasmussen has revealed its 80-metre superyacht project Excellence, formerly known as Project 6505. The mammoth superyacht set to become the yard's sixth largest vessel, was rolled out of her shed earlier this morning. The yacht had been built to a steel hull at the Szczecin shipyard in Poland, moved to Germany in February 2018. The UK-based design studio Winch Design was responsible for Excellence’ both exterior and interior designs.The yacht’s framework bases on the same technical platform as that of the 81-metre Grace (ex. Kibo). She features a 12.6 metre beam and a maximum draught of 3.5 metres. Still, key trademarks of Excellence include vast expanses of glass on the three upper decks and a double-height effect, blurring the distinction between the upper deck and the panoramic skylounge. Excellence will offer accommodation to up to 14 guests.The yacht was commissioned by an experienced owner, with her delivery expected on time for the summer season, after completion of outfitting on-board and the official launch. Meanwhile, the most recent launch of a 70-metre-plus vessel was conducted by Abeking in 2018, with 75-metre Elandess.
May 22, 2019
On 14th May 2019, the Port of Amsterdam finalised the acquisition of the former Holland Jachtbouw shipyard in Zaandamm. Subsequently, Dutch builder Royal Huisman has moved into the facilities on a long-term agreement, strengthening its business position in Amsterdam.Jan Timmerman, CEO of Royal Huisman highlights: Extending our facilities in the Amsterdam region, we will be able to properly meet the growing demand among current and new customers. This second shipyard will, over a longer period of time, serve as an excellent addition to our existing site in Vollenhove, both for new builds and for refits.The new facility will add extra 12,000 sqm to 58,000 sqm of new build and refit space, combined together to 70,000 square metres under the Huisfit brand. The company aims to generate high-quality jobs in, as well as bring innovation and craftsmanship to the Amsterdam region.Koen Overtoom, CEO at the Port of Amsterdam, explained to Superyachtnews:Our acquisition of the shipyard and the decision to lease it to Royal Huisman is a boost to the manufacturing industry, which adds significant value to our port. The arrival of Royal Huisman to the Amsterdam port region is one step further towards fulfilling our goal of becoming a superyacht hub. The Amsterdam area is highly sought-after by yacht manufacturers owing to its highly skilled workforce, international airport and the celebrated Dutch sense of enterprise.Meanwhile, the port of Amsterdam is gradually enhancing the region as a superyacht hub, with not only Royal Huisman, but also Feadship officially opening new facilities in Amsterdam earlier this month.The Amsterdam location will become the third one operated by Royal Huisman, alongside its facilities in Vollenhove and Emden. The recent projects by Royal Huisman included the refit of two of the world’s largest sailing yachts, Eos and Athena, with 93m EOA relaunched earlier this year.
May 22, 2019
Last week, British builder Princess Yachts launched the new 15.5-metre F50 flybridge yacht, the fifth one in the F Class line. The F Class range is conceived by the builder as vessels with innovative use of space, alongside with focus on design, manufacturing quality, stellar performance and sea-keeping.The yacht designed by Princess Design Studio and the builder’s long-time collaborator, naval architect Bernard Olesinski, will feature a top speed of 36 knots thanks to two Volvo IPS 800 engines.The design concept was developed with on-deck living in mind, allowing guests move easily between exterior and interior areas. The yacht offers accommodation for up to six guests below deck, within a full-beam en-suite master stateroom, a forward en-suite cabin and a twin. Natural light fills all of them from the sweeping hull glazing. The F50 is trademarked with spacious cockpit seating area connected to the aft galley. Forward of the galley, there lays the saloon with a U-shaped sofa and a dining table for six. The latter can also convert to a comfortable berth in the dining area when needed. The F50’ spacious foredeck boasts a luxurious sunpad, perfect for reclining and relaxing in a secluded bay. Techno wise, the dual-station instrumentation and latest Volvo-Garmin navigation and control systems enable helming the yacht from both the main deck and flybridge for precision manoeuvring. Princess X95The F50 joins the F45, F55, F62 and F70 in the all-new line-up of Princess Yachts’ F Class. The line will soon also be joined by the brand’s newest concept X95, the so called "luxury SUV of the seas".
May 22, 2019