Cornering the market? Charter yacht operators fear price hikes if SUTL acquires Marina at Keppel Bay

[SINGAPORE] Yacht charter operators said that the proposed acquisition of Marina at Keppel Bay (MKB) by SUTL Enterprise would give the group control of the two key marinas used to serve the popular chartered trips to the Southern Islands.

SUTL already owns and operates One°15 Marina Sentosa Cove in Singapore.

This will allow the company the latitude to raise prices, which could increase cost pressures for an already-strained industry.

The Business Times spoke to owners of charter yachts, operators and brokers, which include those who have, or have had, vessels berthed at either, or both, marinas.

All spoke to BT under the condition of anonymity and the names used here are pseudonyms.

“If (SUTL) takes over Keppel, there is nothing stopping it from increasing charter boat berthing costs at will… It will have the latitude. There is no way we can operate from any other marina,” said a chartering broker.

Andrew, an owner-operator of charter yachts, noted: “Ninety-five per cent of charters operate from these two marinas. If (SUTL) takes over both, it can charge whatever it wants.”

Another owner-operator, Benjamin, said: “I don’t think we can charge more to our customers. Business is quite bad, and we may have to quit if (SUTL raises prices).”

Mainboard-listed SUTL develops, owns and operates marinas. According to its website, it has seven marinas in five countries: Singapore, Malaysia, Indonesia, China and the US.

Sailing large

Jonathan Sit, SUTL Enterprise’s regional general manager of its marina division, said: “We understand the concern, but it would not be accurate to characterise this as a monopoly.”

He added that One°15 does not own or control charter operators or vessels, and companies remain free to choose where they berth and how they operate.

Last December, it announced the planned acquisition of MKB, having entered into a S$40 million put-and-call-option agreement with Keppel Bay, the private limited company that is the current owner.

SUTL said the acquisition will be completed in the second half of 2026 and the 166-berth facility will be renamed One°15 Marina Keppel Bay.

The company will upgrade the marina with improved infrastructure, services and amenities, including wellness and lifestyle concepts and new retail spaces.

Combined, the two marinas will make the company the largest owner-operator of integrated marinas in Singapore.

In response to BT’s queries, the Competition and Consumer Commission of Singapore (CCS) said that SUTL had informed it of the proposed acquisition, as part of the formal notification process for mergers.

CCS conducted a public consultation on the matter and interested parties submitted their views by Mar 18, 2026.

“CCS is currently reviewing the feedback received from third parties alongside the parties’ submissions as part of our assessment process,” it said.

Uncharted waters ahead?

According to industry observers, there are around 60 charter yachts, 30 owner-operators and 20 charter companies that offer short-term chartered services. These include independent owner-operators and companies, as well as brokers, who do not own vessels but facilitate bookings.

Singapore has six marinas where yachts can berth: MKB, One°15 Marina Sentosa Cove, Raffles Marina, the Republic of Singapore Yacht Club, SAF Yacht Club and Marina Country Club.

Industry figures in the yacht-charter business told BT that, while there are other marinas in the Republic, the proximity of MKB and One°15 Marina Sentosa Cove to the Southern Islands means that SUTL’s move creates what is effectively a monopoly on berthing and services available for charter yachts that visit the islands.

“Of course I want (CCS) to reject the acquisition. Every charter boat in MKB – around 20 of us – will hope or pray for this, and some private boats also,” said Benjamin.

Chartered trips typically go to Lazarus Island and St John’s Island, two of Singapore’s southern islands that are next to each other.

While other islands are open to charter yachts, they are not suitable for leisure activities due to various factors. For example, Pulau Hantu is seldom visited due to its proximity to the Pulau Bukom refinery, and because of strong currents.

A charter broker said that the majority of chartered trips here last for four hours, which include two hours of leisure time at the destination.

Trips to Lazarus Island and St John’s Island are most viable from MKB or One°15 Marina Sentosa Cove, as they take only around 30 minutes and 15 minutes from these points, respectively. Other marinas are too far from the islands, making them unsuitable for short visits.

For example, chartered trips from Raffles Marina would require at least six hours in total, while those from the SAF Yacht Club in Admiralty would take 10 hours.

The Republic of Singapore Yacht Club is about an hour from Lazarus Island, but it has a limit on the number of charter vessels allowed to berth there.

“Essentially, nobody charters yachts from the other marinas, because it is not economically viable,” pointed out Andrew.

SUTL’s Sit said that while Sentosa and Keppel are popular due to their proximity to the Southern Islands, Singapore has multiple marinas and waterfront facilities, and operators continue to assess trade-offs between location, pricing and service levels.

Berthing pains

Operators fear that with both marinas under one owner, costs could go up – making an already-difficult business even harder.

Charles, an owner of charter yachts who has vessels at both marinas, noted: “Keppel did not offer this (as an) open tender. There could have been other better players to challenge this deal, and it would have been more transparent. There are a lot of disgruntled charter owners in both marinas.”

He added that berthing costs are significantly higher at One°15 Marina Sentosa Cove and have increased steadily over the years.

A berth is a parking space for a yacht. Vessels pay a fee for berthing based on size, and they also pay for other services such as the supply of fuel, water and electricity.

For members or those with contracts, berthing fees at MKB start from S$31.20 per foot per month compared with S$36.84 at One°15 Marina Sentosa Cove.

There is an additional 100 per cent charge for charters at One°15 Marina Sentosa Cove, compared with 50 per cent at MKB.

Therefore, a typical 65-foot charter yacht’s berthing cost is around S$3,800 a month at MKB, compared with around S$8,000 a month at One°15 Marina Sentosa Cove.

Operators added that fees for fuel, electricity and other services are also higher at Sentosa.

“There is an element of prestige at One°15 Sentosa, of course: It has the best location, it’s on Sentosa, it’s a prime zone to park your boat. But because of that they are charging more – an extravagant amount,” said a chartering agent.

He added: “One concern is that now there is already little room for negotiation (at One°15 Marina Sentosa Cove)... Berthing spaces are limited at both marinas, with waiting lists that can be six months or more. If you lose your berthing, that’s it.”

SUTL’s Sit said that it is too early to comment on specific pricing, and that “there is no intention to simply align pricing across marinas, as each location serves different customer segments and operates within its own market dynamics”.

“Pricing will continue to be guided by market conditions, customer expectations, and the broader competitive landscape in Singapore,” he noted.

There are also concerns that if SUTL acquires MKB and raises prices, it could increase difficulties for an already-struggling industry.

“We are already struggling. Covid was the best time for us, but after that we never recovered. Now, we are earning the lowest in all these years, but prices and costs keep going up,” said Andrew.

“We are sure we are going to (be affected by) higher prices. But where else can we go? We are at their mercy.”