Posted on August 21, 2020
Iconic boat manufacturer Bertram Yachts plans to move its headquarters from South Tampa to Port Tampa Bay’s property.
The marquee boat manufacturer entered a deal with the port on Tuesday to invest $25 million to add production facilities and move its headquarters to Pendola Point near Berth 21.
Bertram Yachts LLC started building leisure boats in 1960 from Miami. In 2016, Bertram Yachts bought the former Lazzara Yachts shipyard in South Tampa to establish its international HQ.
The decision to locate in South Tampa on 7 acres that year came tied with $700,000 in state and local financial incentives for its investment. However, the current site isn’t sufficient to support planned production growth beyond 2022, CEO Mark Paulhus said during the virtual port meeting.
The company wants to remain in Tampa due to the current workforce it has of 55 employees, Paulhus said. He said next year the company expects to create 106 jobs and by 2023 it will create 240 jobs.
“This is a huge boost for our economy right now,” Hillsborough County Commissioner Sandra Murman said during the meeting, stating how the Covid-19 pandemic has left many without jobs and there’s a strong workforce.
The company will now lease roughly 25 acres of land at South 50th Street and Pendola Point Road. Bertram would have the non-exclusive right to use Port Sutton Channel and easements for access and utilities.
The company will have the right to use the property to construct a manufacturing facility and corporate headquarters.
Customers pay $750,000 or more for a Bertram boat before it is customized and $1 million or more to have their boats serviced, according to previous reporting.
The company needs at least 200,000 square feet for its expansion as it is growing its portfolio to manufacture 14 different types of vessels, Paulhus said.
The initial term would be 20 years with three, 10-year lease extension options. For the first 18 months, rent at the port would be $17,500 per acre annually, which would be $656,250. Rent would be $35,000 per acre annually in the one-and-a-half to two-year period thereafter, or $875,000 per year. Rent would then be adjusted after the two-year mark.
The port would construct an access road and rail crossing. Bertram would reimburse the port for all costs of improvements over the initial term of the lease at a 6 percent annual rate, according to port records.
Bertram has not yet determined whether it will sell its current site or redevelop it. A decision is likely to be made next year, Paulhus said.
Source: The Business Journals
