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Sutton Lake Marina 1734 Bee Run Rd, Sutton, WV 26601

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PRICE: $3,000,000 2018 Net Operating Income: $369,182 Cap Rate: 12.3%

Thriving and profitable marina with multiple streams of income is now available for purchase. The business operates on 35.68 acres consisting of a 6.48- acre dry dock storage area plus 29.20-acre marina location. The 29.20-acre marina location is leased from the U.S. Army Corp. of Engineers. A qualified buyer will either assume the current lease or take on a new lease with the Corp. The sales price includes the 6.48-acre dry dock storage area plus marina assets - all furniture, fixtures, equipment, 3 trucks, work barge, all docks, all rental boats plus trailers, all floating structures (Ship's Store, picnic area, bathrooms, cottage/shower, shop, laundry/storage building), plus all store inventory (approximately $30,000). Fuel inventory in the 10,000 gallon storage tank is not included in the sales price and will be sold at cost. Current owners will assist with a smooth transition to a new buyer. To schedule a viewing appointment or request additional information, call or text Rella at 304.765.5433.


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EXECUTIVE SUMMARY

Sutton Lake Marina is located on Sutton Lake, a U.S. Army Corp of Engineers flood control lake in the Mountain Lakes Region of central West Virginia. The lake is approximately 1500-acres, 14 miles long, and has 44 miles of shoreline. A unique feature of the lake is that there is zero development around the lake. All a boater sees is blue sky, green trees, and pristine waters. The marina is operated on a 29.2-acre parcel, pursuant to a Lease with the Corp of Engineers. Lease payments of 2.4% of gross receipts are made quarterly. The existing 25-year lease has approximately 20.5 years remaining and will expire December 31, 2040, with the option to renew for an additional 25-years.


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The marina is conveniently located just three miles off Interstate-79 at the Flatwoods exit (Exit 67). The geographic location of our customers is diverse, with most seasonal slip holders living within 100 miles of the marina. Houseboat and other boat rental customers come from all over the country. In addition to the marina, the sale includes a 6.48 acre tract of land referred to as “dry dock”. This commercial tract is uniquely located adjacent to the entrance of the marina. The significance of this location is that large houseboats can be transported here for storage without the need for DOH wide load permits, etc. Dry Dock is improved with two 3,000 square foot Quonset huts. One of these Quonset huts has a concrete floor and is currently used for storage of Sutton Lake Marina rental boats. The second Quonset hut is made available to slip holders for covered boat storage. The property is served with electricity and city water. A county approved pump and haul sewage system is in place for future expansion. Sutton Lake Marina has ten different revenue streams, most of which have significant upside potential. Current ownership made the conscious decision to concentrate on expanding and upgrading the rental fleet, and most of the capital investments over the last three years have been in this area. As a result, this is the area currently showing the most revenue growth. HIGHLIGHTS

16,000 Facebook followers, www.facebook.com/Sutton.Lake.Marina

1,200 Instagram followers, www.instagram.com/suttonlakemarina

Multiple streams of income - Slip rentals, boat rentals, fuel sales, Ship's Store, boat storage, and more.

Seasonal business (open Mid-April to mid-October) with year-round income.

Over $100,000 in revenue received between Jan. 1-Feb. 28 from pre-paid slip rentals and boat rentals.

http://www.facebook.com/Sutton.Lake.Marina

http://www.instagram.com/suttonlakemarina


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PROFIT CENTERS 1. Seasonal and Transient Slip Rental Stable revenue totaling $180,000- $200,000 per year. The marina has 230 slips, including 100 slips serviced with city water and electric. Almost $200,000 was invested in 2014/2015 to upgrade the electric to be in full compliance with current marine standards.


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2. Pontoon Rentals Rental revenue of $170,000 in 2018 versus $127,000 in 2017 (34% increase). We attribute a sizeable portion of this increase to the addition of a 3rd double deck pontoon boat with water slides, plus ongoing upgrades to the rental fleet in general. The rental fleet includes 14 pontoon boats. Additional rental potential is available targeting fishing boat rentals.


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3. Houseboat Rentals Rental fleet includes three luxury houseboats, 59’ long x 14’ wide. The Marina is currently the only houseboat vacation destination in West Virginia. Rental revenue of $130,000 in 2018 versus $109,000 in 2017 (19% increase). This increase is primarily due to a change in pricing structure that reduced rental rates in underperforming rental periods (late May and late August). These periods are now the first rental dates to book. Additional upside houseboat rental revenue is possible with the addition of a smaller houseboat for couples/small groups. Also, there is currently no overnight lodging in or around the lake and significant demand exists. The addition of stationary houseboats, similar to floating cabins, could fill this need, with limited investment required.


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4. Fuel Sales Stable revenue of $50,000-$55,000/year. Fuel sales prices were lowered by current ownership in 2015 and have remained the same for the last four years. Upside potential exists if fuel pricing is adjusted. The marina sells 4-grades of ethanol free fuel and has a 10,000 gallon fuel storage tank.


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5. Ship’s Store – Apparel, fishing supplies, live bait, snacks, etc. Stable revenue of $50,000-$55,000/year.


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6. Jet Ski and Craig Cat Rentals Rental revenue of $43,000 in 2018 versus $28,000 in 2017 (53% increase). Jet ski and Craig Cat rentals have grown each year since being introduced in 2015. Sutton Lake Marina is the only jet ski rental destination in West Virginia. Rental fleet includes 3 jet skis and 2 Craig Cats (2-person power boats).


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7. Boat storage – Stable revenue of $25,000-$30,000/year. The majority of this revenue is from outside boat storage. There is potential for increased revenue if covered/indoor storage is added. In addition, there is demand for mechanic services and boat repair. With no boat mechanic currently on staff, there is upside potential in this area. 8. Other Rental Revenue – Includes Kayaks (9), Paddle Boards (6), Paradise Pads-large floating water mats (6), and Tour/Dinner Boat (57’ boat with men’s/ladies restrooms). Revenue from these rentals totaled $26,000 in 2018 versus $20,500 in 2017 (26% increase). In addition, renters insurance is offered on all rentals and generates revenue of $10,000-$12,000/year.


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9. Restaurant Sutton Lake Marina offers for sale Hunt Brothers Pizza, hamburgers, hot dogs, hand dipped ice cream, etc. Stable revenue of $20,000-$25,000/year. The marina has a floating picnic and fish feeding area. 10. New and Used Boat Sales – In 2018, boat sales were zero. Under previous ownership (years of 2013 and 2014), boat sales totaled over $200,000/year. Significant upside is available should a future owner have an interest in selling boats, trailers, etc. STAFFING Experienced dock manager and store manager are in place.

Dock Manager – Responsible for all aspects of on the water operation, hauling, and storage.

Store Manager – Responsible for Ship’s store, ordering, and rental boat scheduling.


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Boat Rental Brochure


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Houseboat Rental Brochure

sutton lake marina - loopnet€¦ · sutton lake marina offers for sale hunt brothers pizza,...

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