Crescent Seas Cancels Charter Conversions, Shifts to Newbuild Ocean

Crescent Seas has canceled its plans to charter and convert two Norwegian Cruise Line Holdings (NCLH) ships into residential cruise vessels, opting instead to focus on a purpose-built newbuild, Ocean, targeted for delivery in the fourth quarter of 2031.

The residential cruising start-up, founded by real estate magnate Russell W. Galbut, said buyers who placed deposits tied to the charter plans will receive full refunds and will be given priority access to purchase residences on the new ship.

Charters terminated for Seven Seas Navigator and Oceania Insignia

Crescent Seas had been preparing to launch its residential concept using Seven Seas Navigator from Regent Seven Seas Cruises and Oceania Insignia from Oceania Cruises. Those charter arrangements are now off, and both ships will remain with their current brands, according to the companies.

NCLH disclosed in an SEC filing that lease agreements signed in March 2025 were terminated before Sept. 30, 2025, and that NCLH received a nominal fee. The agreements were structured as 10-year charters with an option to purchase at the end of the term.

Buyer feedback drives pivot to a newbuild

Crescent Seas said the shift followed extensive discussions with prospective purchasers and reflected growing demand for larger residences and deeper customization earlier in the design process. In an emailed statement, a Crescent Seas spokesperson said: “Through hundreds of conversations with potential buyers, it became clear that demand for larger, more customizable residences far exceeded expectations.”

Galbut said the work required to retrofit operating cruise ships into kitchen-equipped residences, along with broader structural and layout changes, ultimately made a newbuild the more practical path. “It was just more logical to build brand new,” he told Seatrade Cruise News, citing cost and long-term stability considerations.

Crescent Seas CEO Thatcher Brown also pointed to buyer interest in directly participating in the design process and to the challenge of offering a wide mix of residence types on a converted ship. Galbut said some buyers wanted multi-bedroom configurations, while others wanted to combine multiple adjacent units for multi-generational use.

What the conversion plan looked like before it was scrapped

Crescent Seas’ initial strategy centered on retrofitting Seven Seas Navigator (built in 1999) and Oceania Insignia (built in 1998) through extensive drydock work, with retrofit budgets described as more than $50 million per vessel. Crescent Seas was to lead marketing and residence sales, while NCLH would continue technical operations under the charter structure.

For Seven Seas Navigator, Crescent Seas had planned a handover in October 2026 and a residential relaunch in December 2026 after a major refit. Project details included reducing the ship’s accommodations to create larger residences. In prior descriptions of the concept, Navigator was to shift from 248 suites to 189 residences, with pricing cited as ranging from $750,000 to $8 million; Crescent Seas had also described the expected pricing span as stretching from the mid-six figures into the multi-million-dollar range. In an October 2025 interview on Bloomberg Businessweek Daily, Galbut said design work for Navigator’s conversion had been completed and that 39 of 189 condos had been spoken for at that time.

Oceania Insignia was expected to follow, with a handover previously planned for November 2027. Crescent Seas had described a similar rebuild approach, with units expected to range from under $1 million into the eight-figure bracket.

Ocean: larger platform, wider customization window

With the two-ship charter approach dropped, Crescent Seas is positioning Ocean as the primary platform for its residential concept. The company has described Ocean as a 55,000-gross-ton newbuild with 300 residences and more than 200,000 square feet of salable inventory, compared with about 100,000 square feet of salable inventory that had been associated with the Seven Seas Navigator conversion concept.

Crescent Seas has said residences on Ocean are expected to range from $3.5 million to $30 million, with pricing discussed by Galbut of roughly $7,000 to $9,000 per square foot. The company has also said the larger platform could lower per-unit maintenance costs through economies of scale, even as individual residences are priced higher.

Galbut has framed the longer lead time as central to the product promise. “This late delivery date allows us the time we need to customize units so everyone can have their dream come true,” he said, describing a multi-year process in which purchasers can shape layouts, finishes, and in some cases combine units.

• Scale: Ocean is planned at 55,000 gross tons, compared with Seven Seas Navigator at about 28,800 gross tons.
• Inventory: Ocean is planned with more than 200,000 square feet of salable space across 300 residences, versus about 100,000 square feet of salable inventory previously cited for the Seven Seas Navigator concept.
• Operating economics: Crescent Seas has said the larger ship can reduce per-unit maintenance costs through economies of scale, even if residences carry a higher price per square foot.

Sales interest, financing thresholds, and partners

Galbut said more than 2,000 people have inquired about the residential concept. He also described a sales threshold often used in real estate development, estimating that about 40% of residences, or 120 units, would need to be sold to support construction and export credit financing.

On the supply side, Galbut said Crescent Seas is in discussions with two shipyards and is working toward a letter of intent as design development advances. He also said that moving away from NCLH-managed vessels means Crescent Seas will need a new technical-management partner for the ship once it is built.

On the hospitality side, Galbut said Crescent Seas plans to continue working with The Apollo Group as its hospitality concessionaire. Crescent Seas has marketed onboard services and amenities including private butler service, dining, wellness and spa facilities, Starlink connectivity, dedicated co-working space, pickleball, and a golf simulator.

While Crescent Seas had earlier hinted at plans for a fleet of five residential ships, Galbut has said a second newbuild remains a possibility. “No shipyard order is ever a one-off,” he said.

What happens next for the two NCLH ships

NCLH has said Seven Seas Navigator and Oceania Insignia will remain in the Regent Seven Seas Cruises and Oceania Cruises fleets, respectively. An NCLH spokesperson said: “We are thrilled that these beloved ships will continue to deliver the highest standards of world-class service and personalized signature hospitality that define both brands.”

Regent has also communicated directly with guests about Seven Seas Navigator’s future. In a letter dated Nov. 5, Jason Montague, Regent Seven Seas Cruises’ chief luxury officer, wrote that Navigator “will stay with Regent” and is scheduled for a “multi-million-dollar drydock” in late 2026 before continuing service, adding that updated itineraries would be shared once they open for sale.

Deployment schedules outlined by the companies keep both ships in Europe for the near term. Navigator is currently deployed through October 2026, while Insignia is deployed through November 2027. Navigator is described as the oldest and smallest ship in Regent’s fleet, with capacity for 490 guests; Insignia has capacity for 684 guests.

Crescent Seas has said its immediate focus is progressing Ocean from concept to a shipyard commitment while processing full refunds for buyers tied to the terminated charter plans and offering them priority access to the newbuild’s residences.

Frequently Asked Questions (FAQs)

Will Crescent Seas refund deposits for the Seven Seas Navigator and Oceania Insignia residence plans?

Yes. Crescent Seas said buyers who placed deposits tied to the two chartered-ship plans will receive full refunds and will be offered priority access to purchase residences on Ocean.

Why did Crescent Seas cancel the charters and conversions?

Crescent Seas said prospective buyers wanted larger residences and deeper customization earlier in the process, and the company concluded that retrofitting existing ships to meet those expectations was impractical. Galbut said, “It was just more logical to build brand new,” citing cost and long-term stability.

When is the newbuild Ocean expected to be delivered?

Crescent Seas is targeting delivery in the fourth quarter of 2031.

How many residences are planned on Ocean, and what pricing has Crescent Seas discussed?

Crescent Seas has described Ocean as having 300 residences across more than 200,000 square feet of salable inventory. Galbut has said residences are expected to start around $3.5 million and reach into the $30 million range, with pricing discussed of roughly $7,000 to $9,000 per square foot.

Are Seven Seas Navigator and Oceania Insignia leaving their current cruise line fleets?

No. NCLH confirmed both ships will remain in the Regent Seven Seas Cruises and Oceania Cruises fleets, respectively. Regent has said Navigator is scheduled for a multi-million-dollar drydock in late 2026 before continuing service.