Are the super-rich feeling the pain of recent US economic upheaval? A few key indicators – yachts, private jets and watches – aren’t looking good.
The Bucket Regatta, a four-day boat race held every March in St. Barth’s, had its fewest entrants in years, with just 24 versus 30 in 2022 and 34 in pre-covid 2019, according to organizers.
Participation in the race – in which movie producer Brian Grazer last year posted an Instagram of himself and Disney CEO Bob Iger steering the winning boat, even as ex-Disney CEO Bob Chapek grappled with Florida’s “Don’t Say Gay” Law – isn’t cheap.
Boats must be at least 100 feet long to compete and the cost of putting each boat’s dozen or so crew members up on the island costs north of $1,000 per night per person, according to a source.
“It feels quieter this year,” a hotel manager on the island told On The Money. “There’s a buzz but people aren’t spending the kind of money they were spending in years past.”
Likewise, demand for private jet charters has slumped more than 16% year over year, according to data from Tuvoli. Not only are people flying less now than they were at the height of COVID, they’re flying less than they were before the pandemic – down more than 3% this year compared to the same period in 2019.
“The frank reality is that volume is on a downward trend … We can see it in the numbers here and I hear it echoed by the folks I talk with across the industry,” Greg Johnson, President of Tuvoli wrote in a note to clients reviewed by The Post. “Flight activity is softening to the point where charter rates are starting to come down.”
Johnson highlighted that “leisure destinations are seeing the biggest drops,” – the ultra-rich are either taking fewer vacations or choosing to fly commercial.
Elsewhere, Watchcharts, which measures the value of 60 watches made by the 10 most exclusive watch makers, has seen its index drop 24% over the last 12 months.
