Siegel-Gallagher Marina Improves Harbor Centre
The Sheboygan Harbor Centre Marina is operated under a multi-year contract by Siegel-Gallagher Management through their SG Marina Division. The company has contracts to manage seven marinas in the United States. The Sheboygan general manager is Matt Bauer.
In 2016, the marina saw an increase of $68,000 in its gross revenue derived from marina operations. Seasonal boat slip rentals increased from 161 slips last year to 182 slips sold this year. This produced an additional $36,000 and was the largest component of the revenue increase. The ship store at the marina produced an additional $12,000 of revenue that amounted to a 30 percent increase over last year. Fuel sales were also up for the year with 20,000 additional gallons pumped in 2016. In addition, the SG Marina staff also collects revenue at the city lakefront boat launch ramp and those revenues were positive with an increase of 38 percent last season.
The cost of goods sold remained flat and was within $50 of the 2016 Budget. Operating expenses increased slightly to tackle facility maintenance needs. Maintenance projects were performed on the marina building and the steel covering on the bottom of seven slips were repaired this year. The bottom line for the Harbor Centre Marina was a net profit of $102,000, which was an increase of $17,000 over last year and $10,000 above budget.
At the end of each boating season, a survey of marina customers is conducted. This survey measures the performance of SG Marina and provides ideas for improvement. Overall, the satisfaction rate of the customers surveyed was 94 percent and was up from the 2015 survey results of 92 percent. All boat slip renters are approached to renew for the 2017 season at the marina and at this time 132 renewals have been secured for 2017. This renewal rate is 31 renewals ahead of the pace from last year.
The city is the marina’s best asset when promoting to prospective marina boaters. The marina management works closely with the Sheboygan Squared Business District to promote local businesses and restaurants. The summer trolley route is a key amenity for transient boaters. The marina also hosts events to create a sense of community among the boaters moored at the marina. Some of the events are trivia nights, a wine tasting event and live music at the pool. All of these efforts promote longer tenant retention. The marina staff will continue their efforts to promote Sheboygan and the Harbor Centre Marina at several regional boat shows over the winter.
In 2014 and 2015, the docks at Harbor Centre Marina were subject to substantial damage due to excessive ice buildup during the winter months. The damage repairs amounted to $700,000 over the two year period. The city hired a consultant, Smith Group JJR, to analyze the problem. In hopes of minimizing and possibly eliminating this reoccurring damage, the city has installed the aeration equipment that was recommended by the consultant.
Ice will still form within the marina basin, but the aeration equipment will prevent ice from growing to a thickness greater than two inches. The formation of this thin ice is deemed unsafe to walk on or support weight of any kind. Ice fishing will not be allowed in the marina basin this year due to these safety concerns. The Department of Natural Resources (DNR) advises individuals not to ice fish on ice less than four inches thick. Signage will be placed at all access points to the marina basin. There will not be any access to the dock system this winter.
Mike Vandersteen is the mayor of the city of Sheboygan.