Sumerset Houseboats Up For Sale

---

LCNN - 2-7-2010 at 01:30 PM

Commonwealth Journal Somerset — A once-booming local houseboat manufacturing plant has shut down and is up for sale.

Sumerset Houseboats, which opted to undergo an extended summer production shutdown in July of last year, didn’t reopen in November as was planned — and now Citizens National Bank is looking for someone to purchase the plant’s building, property and equipment.

Steve Lochmueller, former president and CEO of Sumerset Acquisition, LLC, said he and the board of Citizens National Bank came to a friendly agreement, after extensive discussion, to “deed (Sumerset Houseboat’s) assets back to the bank in lieu of foreclosure.”

Both Lochmueller and CNB president Don Bloomer agree that the recent economic downturn is to blame.

“We shut down production in July, hoping to build a backlog of business for the spring boating season,” Lochmueller said. “From August to November, we really tried to do that, but the sales just aren’t there — and what sales were available weren’t good sales. ... People just are not buying luxury items.”

Lochmueller said he tried to negotiate with CNB to find a solution that would help Sumerset Houseboats “weather the storm,” but, in the end, the two parties “couldn’t come together on financing.”

Bloomer is confident the plant won’t be closed permanently, referring to the issue as a “delay in regards to the reopening of the plant.” He also said it’s possible that, when the plant reopens, it will retain its name.

“We’re in the process of working with parties interested in purchasing and reopening the plant,” Bloomer said. “We’re in negotiations at this time.”

Lochmueller said only a couple individuals were employed at the plant when the decision to sell came in November. The majority of employees had been laid off in July when production stopped.

Amidst the news of the sale of Sumerset Houseboat, there is a glimmer of hope for those whose jobs were lost.CLICK HERE FOR REST OF STORY

---

Captain Bob - 2-7-2010 at 01:38 PM

Sorry to hear this. Sumerset (and the Sharpe family) practically invented houseboating as we know it.

Is the the beginning of the end? ..or just the end of the beginning? One has to wonder about the future of this industry.

---

Phoenixdh04 - 2-7-2010 at 01:52 PM

I own one of their boats, I would hate to see them disappear from the market altogether. Maybe someone will buy them, when and if the economy gets better.

---

barryt - 2-7-2010 at 06:50 PM

I would predict one of the existing companies puchase the facility and start building once more.
Wouldn't be surprised to see an announcement at the EXPO!!

---

Awakening - 2-7-2010 at 06:58 PM

When I was houseboat shopping last year I noticed that boats that were for sale that were built by a manufacturer that no longer existed (example: Jamestown) were always substantially less money. Are boats like that less money because of quality or because the manufacturer no longer exists or both? I am just curious what kind of an impact of any this will have on current Sumerset resale values. My gut tells me that it will, maybe not immediately but in the coming years it will..... which stinks because Sumerset is a great boat.

---

WaterWings - 2-7-2010 at 11:26 PM

Quote:

Originally posted by barryt I would predict one of the existing companies puchase the facility and start building once more. Wouldn't be surprised to see an announcement at the EXPO!!

This is probably just a co-incidence... but a few weeks ago a huge semi-trailer and pickup with Sumerset clearly marked on the sides were in a vacant parking lot next to Stardust in Monticello. I was told by someone that should know that one of the owners of Stardust and Mr Lochmueller were good friends and they had just allowed them to store stuff there. Hmmmm

I do think there is huge brand name recognition with the Sumerset name and someone will pick up the name and run with it when the economy turns around.

---

quickiemonster - 2-8-2010 at 10:11 AM

It has always been my understanding that Steve Lochmueller was only the face of this company and that the investors were Mashburn, Mercer and Pitino.

---

yeahbuddy - 2-9-2010 at 08:40 AM

It just gets you to wondering who else is on the brink of collapse. The sad fact is that until the economy does turn around, many companies will teeter on the brink or fall off. I wonder if any of these companies are candidates for economic stimulus money? At any rate, lets all hope for the best.

---