Private equity groups have been taking a consistently growing position in the marina space over the past few years. They’ve figured out that marinas can deliver reliable income and add a layer of diversity to a real estate portfolio that isn’t tied to traditional sectors. The appeal comes from recurring revenue, appreciation in property value, and the opportunity for growth. Many marinas operate in markets with limited competition and significant barriers to entry, which adds to the long-term value. Unlike individual buyers, who may be motivated by lifestyle or the desire to own one property, these groups tend to focus on scalability, standardized processes, and systems that can be repeated across multiple facilities.
Along with that, they expect a level of financial clarity and operational reporting that exceeds what many marinas currently produce.
If you’re thinking about selling to or partnering with a PE group, it’s not just about a conversation through a broker and handing over your financials. It’s about the story those numbers tell. Are your occupancy rates calculated the same way every time? Do your expenses track with what’s typical in the industry? Can you point to clear trends in revenue per slip foot, fuel margins, and ancillary income? You may know those answers, but putting them into a format that mirrors industry expectations can be the difference between a conversation and a signed term sheet.
This is where a professional operational review can save you time and a significant amount of stress. We’ve worked with owners who had run strong, profitable operations for years but still needed help organizing their data into a format that clicked with buyers. In one case, simply having the reports, contracts, and operational history assembled before the first meeting meant the buyer could move from initial offer to closing without hesitation. Without that preparation, the same deal might have slowed to a crawl, leaving room for delays, second thoughts, and shifting priorities. “Time kills all deals” is more than a saying; it’s reality when dealing with a willing buyer. Private equity groups have a running cost for their equity. Waiting is a cost that they are aware of and calculate as part of their investment. If you’re ready to go while someone else is still scrambling to assemble documents, you’ve just moved yourself to the front of the line.
The financials matter, but PE groups are looking at more than the balance sheet. They want to see that the business can keep running smoothly after the papers are signed. They are considering several factors, including your staffing levels, adherence to a consistent set of practices, and the strength of customer relationships that a change in ownership may disrupt. Demonstrating a solid operational foundation and a clear plan for future growth can significantly enhance your property’s attractiveness. Growth might mean boosting occupancy, adding services, or improving retention. Whatever the strategy, a buyer who can see the upside is more likely to make a stronger offer and provide more flexibility on terms.
The numbers open the door. The way you are able to showcase them and connect them to your operation’s history, stability, and growth potential is what gets the deal done.
If you’ve ever wondered how your marina would stand up to that kind of close inspection, a straightforward, unbiased review now can give you the answers, without the pressure of being under a deadline. Feel free to reach out, and we can discuss your thoughts and how to position you for success.
Written by J Jeremy Parks