Tommys vs Malibu

[The Hulk]

1 hour ago, BLSousa said:

My assumption: There is likely a venture capitalist/private equity group behind tommy’s expansion that should have a 1st position deed of trust on everything except most of the floor plan boats. The VC will acquire all of Tommy’s assets and Malibu will likely work with them 1st to establish a new dealer, or who the VC chooses to sell to. The sweetheart building leases with the old owners will be canceled and replaced with new sub market leases. 
 

As part of the new deal, the new dealer will continue to sell the repo boats for the floor plan lender. From that point forward it is pretty much business as usual. 
 

The only thing I see messing this up is if Tommy’s has another senior lender or is valued at more than the VC/PE’s loans. 

If PE is involved then its all good as you said, if anything then just part of the plan to restructure for lower leases, better deals, etc. Then get a steal on purchasing these from the banks. PE is great at blending losses just as banks are. They can stink it up and come out smelling like roses! 

[shawndoggy]

5 hours ago, NWBU said:

With the noncompete voided…

In the seller owns the dirt and leases back to the buyer scenario a breach of the lease ought to void a seller noncompete. If seller was represented anyway. 

[windy1]

9 hours ago, IXFE said:

What if you sold that business, pocketed the proceeds, and could suddenly get back in for $0…? 

Still not interested…? 

Still a hard no

[JeffK]

32 minutes ago, windy1 said:

Still a hard no

Haha. I feel the same way. And one of my old businesses just happened to be owning a Malibu dealership. You couldn't write me a big enough check to do it, even if you asked me during covid sales boom, which is why I have so much respect for those that are doing it above board and doing it well. 

Edited May 6 by JeffK

[bwski]

14 hours ago, oldjeep said:

All I know is what I read;). It is in that paywall article mentioned above.  The part about their other bank issue. 

Who knows what the reality is, but Tommy's and their associated businesses own pretty much the entire "downtown" area of Walloon Lake Michigan.  The comments regarding personal property in Boyne City could be referring to these properties.

  They pretty much rebuilt the entire Walloon Lake downtown in northern Michigan.  Walloon as a very upscale lake for the area and the downtown area was very run down and not a destination other than the lake until around 2013, when Tommy's opened.  They dumped a TON of $ into the area.  They own 2 great restaurants and a very nice hotel.  They just completed an upscale condo building and another is about 75% completed, both with retail areas.  The area they developed is incredibly nice and we visit often, we are hoping all of this does not have a negative effect on that area!   

[Slayer]

28 minutes ago, bwski said:

Who knows what the reality is, but Tommy's and their associated businesses own pretty much the entire "downtown" area of Walloon Lake Michigan.  The comments regarding personal property in Boyne City could be referring to these properties.

  They pretty much rebuilt the entire Walloon Lake downtown in northern Michigan.  Walloon as a very upscale lake for the area and the downtown area was very run down and not a destination other than the lake until around 2013, when Tommy's opened.  They dumped a TON of $ into the area.  They own 2 great restaurants and a very nice hotel.  They just completed an upscale condo building and another is about 75% completed, both with retail areas.  The area they developed is incredibly nice and we visit often, we are hoping all of this does not have a negative effect on that area!   

I agree that what they developed there is outstanding.  You're right, prior to that development, there wasn't anything there other than the water.  

[IXFE]

9 hours ago, bwski said:

Who knows what the reality is, but Tommy's and their associated businesses own pretty much the entire "downtown" area of Walloon Lake Michigan.  The comments regarding personal property in Boyne City could be referring to these properties.

  They pretty much rebuilt the entire Walloon Lake downtown in northern Michigan.  Walloon as a very upscale lake for the area and the downtown area was very run down and not a destination other than the lake until around 2013, when Tommy's opened.  They dumped a TON of $ into the area.  They own 2 great restaurants and a very nice hotel.  They just completed an upscale condo building and another is about 75% completed, both with retail areas.  The area they developed is incredibly nice and we visit often, we are hoping all of this does not have a negative effect on that area!   

Sounds like they were burning cash on just about everything…

 

 

… except the boats they collected money on

 

[NWBU]

49 minutes ago, IXFE said:

Sounds like they were burning cash on just about everything…

 

 

… except the boats they collected money on

 

Some of that low rate commercial debt rolled over?

[SodaBay]

The dealer we purchased our boat from closed a year after our purchase.  We have been using Tommy’s in Rancho Cordova, CA and have an appointment tomorrow to have our screens replaced (under warranty) along with normal service. 

What I find interesting is when you go to find a dealer on the Malibu website and type in our zip code, we get No Results.    We are in Northern California.  Find it hard to believe the site would not direct me to a dealer, even if it is 300 miles away.

I will post an update tomorrow after our boat is dropped off. Thanks to all who have posted informative updates on the current situation. 

[Mystic]

We have a deposit in with Tommy's on a new build. Manager said the bank now owns our boat under receivership. We would like our deposit back and buy a used boat elsewhere. What are the chances of getting that deposit back?

[dshack]

57 minutes ago, Mystic said:

We have a deposit in with Tommy's on a new build. Manager said the bank now owns our boat under receivership. We would like our deposit back and buy a used boat elsewhere. What are the chances of getting that deposit back?

From some FB posts, there have been others in your situation that have had luck reaching out to another nearby dealer. They may be able to advocate on your behalf. And I'm sure they'd like to make the sale!

[Slayer]

6 hours ago, SodaBay said:

What I find interesting is when you go to find a dealer on the Malibu website and type in our zip code, we get No Results.    

Same here.

 

[Bozboat]

10 hours ago, Slayer said:

Same here.

 

😳However, there are eight dealers listed in Texas under the View Dealer list tab.

Edited May 7 by Bozboat

[Woodski]

So what is the Tommy’s business empire?  From the above post much more than 16 Malibu dealerships.

[Sparky450]

8 hours ago, SodaBay said:

    We are in Northern California.  Find it hard to believe the site would not direct me to a dealer, even if it is 300 miles away.

It is my understanding that 

VS Marine Atascadero, is now our dealer ICBW

If so, that is a wonderful thing. Kris and his crew are AWESOME!!  

They are worth the 3 three hour drive for me. 

[Craig98]

On 5/3/2024 at 9:50 AM, familyfun said:

As of this morning, the Lewisville location is staying open, and in fact I was told that the Fort Worth techs are transferring over.  This could obviously change at any time, so I imagine there is some risk.  And again, if they don't have the necessary parts in stock locally, I doubt they will be able to do the repair.

So to piggy-back on this, yes, the FW store contact numbers will go directly to Lewisville BUT they still can't order parts.  But, if the parts are there, they can work on boats.  I will say the guys are trying to help out as much as possible.  It sounded like the employees were in the dark as much as customers.  I hope everyone who had boats at any of the Tommy's locations were able to get them before they were locked!!  Apparently, new ownership is in the works, but how long that will take is anybody's guess.   

[23LSVOwner]

13 minutes ago, Craig98 said:

So to piggy-back on this, yes, the FW store contact numbers will go directly to Lewisville BUT they still can't order parts.  But, if the parts are there, they can work on boats.  I will say the guys are trying to help out as much as possible.  It sounded like the employees were in the dark as much as customers.  I hope everyone who had boats at any of the Tommy's locations were able to get them before they were locked!!  Apparently, new ownership is in the works, but how long that will take is anybody's guess.   

I imagine Malibu would still send them parts for warranty situations.

[bwski]

11 minutes ago, 23LSVOwner said:

I imagine Malibu would still send them parts for warranty situations.

While I'm not sure how it exactly works in the boating world, typically the dealer has to purchase the parts, even if warranty.  After the repair is made the dealer applies for warranty reimbursement, which would incude the parts and the labor.  If the bank owns their boat inventory, chances are they, or another bank owns the parts inventory.  The banks may not be interested in taking on any new inventory even if under warranty.  The only other option is operating capital, which there may not be much!

[Slayer]

2 hours ago, Bozboat said:

😳However, there are eight dealers listed in Texas under the View Dealer list tab.

Yes, same result here.  There are 2 other Malibu dealers in Michigan.  Yet this is the same result when I enter the state, or my zip code.

 

[23LSVOwner]

37 minutes ago, bwski said:

While I'm not sure how it exactly works in the boating world, typically the dealer has to purchase the parts, even if warranty.  After the repair is made the dealer applies for warranty reimbursement, which would incude the parts and the labor.  If the bank owns their boat inventory, chances are they, or another bank owns the parts inventory.  The banks may not be interested in taking on any new inventory even if under warranty.  The only other option is operating capital, which there may not be much!

I'd say the situation probably merits them taking a track different from the norm in order to get retail customers taken care of.

According to my source.

[dizzygti]

1 hour ago, Slayer said:

Yes, same result here.  There are 2 other Malibu dealers in Michigan.  Yet this is the same result when I enter the state, or my zip code.

 

The dealer locator says enter a postal code, not a state.    It works for me if I put in a ZIP code.   

[Slayer]

14 minutes ago, dizzygti said:

The dealer locator says enter a postal code, not a state.    It works for me if I put in a ZIP code.   

I tried several zip codes in my region and received the same message.

 

[Hemmy]

16 minutes ago, dizzygti said:

The dealer locator says enter a postal code, not a state.    It works for me if I put in a ZIP code.   

Tommy's probably wasn't your local dealer which is why you are locating one.

[dizzygti]

2 hours ago, Slayer said:

I tried several zip codes in my region and received the same message.

 

 

2 hours ago, Hemmy said:

Tommy's probably wasn't your local dealer which is why you are locating one.

Don't shoot the messenger, was just saying if I put my state in I got nothing.   I put my ZIP in and it worked.  I checked other ZIPs and got dealers.   Whether or not Tommy's was a dealer in those ZIPs, I have no idea.    

[eubanks]

Tommy’s closed in Forth Worth. And Malibu is telling me my north Texas dealer is Texas Malibu…about 3.5 hour away. No thanks.