OPINION AND ORDER
This matter is before the Court on: (1) motions of claimants, City of Key West, Florida (“Key West”) and Branch Banking and Trust Company (“BB & T”), to dissolve the arrest of and dismiss the in rem claims against the U.S.A.F. General Hoyt S. Vandenberg (“Vandenberg”) for lack of subject matter jurisdiction; and (2) motion of Plaintiff, Colonna’s Shipyard, Inc., (“Co-lonna’s” or “Plaintiff’), for interlocutory sale of the Vandenberg. 1 As to the first motion, Colonna’s filed a response in opposition, and Key West and BB & T failed to file rebuttal briefs. As to the second motion, a response in opposition was never filed by any party or claimant in this action. On October 8, 2008, the Court held oral argument on these and other matters and further permitted the filing of certain supplemental briefs. For the reasons set forth herein, the Court DENIES claimants’ motions to dismiss and GRANTS Plaintiffs motion for the interlocutory sale of the Vandenberg.
I. Factual Background 2
The City of Key West is the current owner of the Vandenberg, a former Navy vessel first commissioned in the early 1940s. Constructed as a steam powered vessel, the Vandenberg now is indisputably an obsolete ship that was struck from the register of active Navy vessels more than two decades ago. Not only has the Van-denberg sat idle in the James River Ready Reserve Fleet for many years, but it is now unable to navigate under its own power and it is not commercially feasible to update the Vandenberg to do so.
The Vandenberg’s obsolete status is illustrated by the fact that ownership of the ship was recently transferred from the United States to the State of Florida, and subsequently to the City of Key West, as part of the “ships to reefs” program so that the Vandenberg could be transformed into an artificial reef and sunk off the coast of Florida. 16 U.S.C. §§ 1220-1220d (2000). After Key West obtained ownership through such program, it contracted with Artificial Reefs of the Keys, Inc. (“Artificial Reefs of the Keys”), a non-profit corporation, to transform the ship into a reef. Artificial Reefs of the Keys then en *865 tered into a contract with Reefmakers, LLC (“Reefmakers”) who, in turn, entered into a subcontract with Colonna’s Shipyard in Virginia. Suсh subcontract is the subject of the instant lawsuit.
Pursuant to the subcontract between Reefmakers and Colonna’s, the Vanden-berg was removed from the James River Reserve Fleet and towed to Colonna’s Shipyard where it was modified and repaired, certain components were removed, and the ship was readied for towing from Virginia to Florida. According to Colon-na’s complaint, Colonna’s completed the repairs as required by the subcontract, but Reefmakers failed to pay the outstanding balance of $1,639,457.97. Intervenor plaintiffs W3 Shipyards LLC (“W3 Shipyards”), Venture Dynamics Enterprises, Inc. (“Venture Dynamics Enterprises”), and Canadian Artificial Reef Consultants, Inc. (“Canadian Artificial Reef Consultants”), like Colonna’s, all claim to be owed money from Reefmakers for services associated with the modification and repair of the Vandenberg. Although it is clear that even after repairs the Vandenberg will never again sail under its own power, the Vandenberg is now capable оf being towed from Virginia to Key West, Florida, a distance of approximately 1,000 miles. During the voyage to Florida, the Vandenberg is to travel across open water and a “riding crew” is to be on board during towing. Additionally, the proposed sinking plan indicates that the Vandenberg will transport explosives from Florida to the sinking site where it will be temporarily anchored for two to three weeks as final preparations are made for sinking.
II. Procedural Background
Colonna’s instituted the instant breach of contract action against Reefmakers, in personam, and the Vandenberg, in rem, on April 3, 2008, based on Reefmakers’ purported failure to pay Colonna’s all that was due pursuant to the subcontract discussed above. On that same date, an order of arrest for the Vandenberg was signed by District Judge Walter D. Kelley, Jr. and an admiralty warrant was issued. 3 Pursuant to such warrant, the Marshal arrested the Vandenberg and maintained custody over the ship until an agreed order was entered transferring custody to Colonna’s. On April 25, 2008, intervening complaints were filed by W3 Shiрyards and Venture Dynamics Enterprises. On May 8, 2008, Colonna’s complaint, along with a summons, was purportedly delivered to Reefmakers via certified mail at Reefmaker’s Moorestown, New Jersey address. Reefmakers challenges the validity of the attempted service and has yet to file an answer, or seek leave of court to file a late answer, to Colonna’s complaint.
On June 11, 2008, Colonna’s filed a motion for interlocutory sale of the Vanden-berg as security was not posted for the release of the ship during the two months following the ship’s arrest. Five days later, on June 16, 2008, Key West filed a claim of owner for the Vandenberg and BB & T filed a claim of interest. On that same date, an intervening complaint was filed by intervening plaintiff Canadian Artificial Reef Consultants. On June 25, 2008, Reefmakers filed a motion to compel arbitration based on the arbitration clause contained in the subcontract. Two days later, Colonna’s filed a motion for default judgment as to Reefmakers bеcause Reef-makers failed to file an answer or other responsive pleading. On July 3, 2008, Key West and BB & T filed motions to dissolve the arrest of the Vandenberg and to dismiss the in rem claims against it for lack of subject matter jurisdiction.
*866 On October 8, 2008, after the motions were ripe for decision, the Court conducted oral argument, permitting all parties and claimants the opportunity to be heard. The Court declined to continue such hearing based on a purported conflict of interest regarding Key West’s counsel’s representation of both Key West and BB & T as such conflict was identified to the Court only one day prior to the scheduled hearing. The Court did, however, afford any new counsel that was retained by Key West or BB & T subsequent to the hearing two weeks to submit supplemental memo-randa commenting on the matters addressed at oral argument. However, no such memoranda were filed.
III. Discussion — Motion to Dismiss
A. Standard
When a federal court’s subject-matter jurisdiction is challenged through a motion to dismiss pursuant to Federal Rule of Civil Procedure 12(b)(1), the plaintiff bears thе burden of establishing jurisdiction.
The Piney Run Pres. Ass’n v. The County Comm’rs of Carroll County, MD,
B. Admiralty and Maritime Jurisdiction
Federal courts have original and exclusive jurisdiction, over “[a]ny civil case оf admiralty or maritime jurisdiction.” 28 U.S.C. § 1333(1);
see
U.S. Const, art. III, § 2, cl. 1 (“The judicial power shall extend to ... all Cases of admiralty and maritime Jurisdiction.”);
Norfolk Southern Railway Co. v. Kirby,
C. Dead Ships
Although a contract to repair a “vessel” is indisputably maritime, there exists a classification of watercraft, labeled as “dead ships,” over which federal courts have “no admiralty jurisdiction and for that reason there [can] be no maritime lien” on such watercraft.
Hercules, 214
F.2d at 68
&
n. 1;
see Amoco Oil v. M/V Montclair,
A key element in determining whether a watercraft that was indisputably a vessel at some рoint in the past is now a “dead ship” is whether such watercraft is
permanently
withdrawn from navigation.
Hercules,
The jurisdictional issue prompting Key West and BB & T to file the instant motions to dismiss centers on whether the Vandenberg, sitting idle in the reserve fleet for many years, was a “vessel” at the time Reefmakers and Colonna’s entered into the subcontract. If the Vandenberg is deemed a “vessel,” then the repair subcontract is clearly maritime, whereas if it is deemed a “dead ship,” the subcontract for services to such non-maritime object falls outside of this Court’s admiralty jurisdiction.
Compare Hercules,
As outlined in
Stewart,
the Vanden-berg’s status as a “vessel” turns on whether it is “practically capable of maritime transportation, regardless of its primary purpose or state of transit at a particular moment.”
Id.
at 493,
Colonna’s opposition to the pending motion to dismiss presents both substantive and procedural arguments. Considering first the procedural challenge, that Key West lacks standing to object to this Court’s admiralty jurisdiction because it failed to timely file a verified claim, such contention fails for two reasons. First, subject matter jurisdictiоn cannot be waived expressly or impliedly by failing to follow a procedural rule or through any other means, as this Court is a court of limited jurisdiction that “has a duty ... to examine its jurisdiction sua sponte.”
Adams v. Allied Chem. Corp.,
D. Definition of “Vessel”
In
Stewart v. Dutra Construction,
thе Supreme Court concluded that a large floating dredge with little ability to move on its own qualified as a “vessel” pursuant to 1 U.S.C. § 3, which sets forth the “established meaning [of the term vessel] in general maritime law.”
Stewart,
In order to synthesize the Court’s analysis in
Stewart
with prior Supreme Court precedent, the
Stewart
opinion held that a ship may qualify as a vessel even if it is not “in navigation” at the relevant time, although, as discussed above, ships withdrawn from the water or from navigation for an extended period of time
“may
lose their character as vessels.”
Id.
at 496,
E. Effect of Repair Contract on “Vessel” Status
At the heart of the issue before this Court is the question of whether a repair contract aimed at returning an obsolete ship to navigation is sufficient to “breathe life” back into the watercraft and reinstate its status as a “vessel.” Although several circuit court opinions have suggested that a shipowner’s subjective intent regarding future use of a watercraft impacts a ship’s “vessel” status, this Court finds that the rule dictated by
Stewart
is that the owner’s intent is irrelevant to the calculus.
Compare De La Rosa v. St. Charles Gaming Co.,
In determining
when
a former vessel long withdrawn from navigation again becomes a vessel, there are two possible outcomes: one, that the ship does not again become a vessel until after it is repaired and launched on a voyage; or two, that the signing of a contract to repair and reactivate the ship is enough to reestablish its vessel status. Adopting the first result, in
Robert E. Blake,
the Ninth Circuit held that a contract to reactivate a ship in the United States Ready Reserve Fleet was insufficient to reestablish the ship’s vessel status.
Robert E. Blake,
Although this Court agrees with the portion of the analysis in
Blake
concluding that the “mere decision” to reactivate a ship, which can occur entirely within an owner’s mind, is not enough to transform a dead ship back into a “vessel,” the Third Circuit’s analysis in
Hercules
is ultimately more compelling.
Blake,
although factually similar to the instant matter, is unpersuasive for two reasons. First and foremost,
Blake,
decided prior to the Supreme Court’s decision in
Stewart,
puts too much
*872
emphasis on the fact that a long-moored ship in need of repairs remains physically out of navigatiоn during the repair period.
See Robert E. Blake,
Accordingly, when affirmative steps that can be objectively measured establish that a long-moored ship will once аgain be used to transport persons or goods on water,
Stewart
requires that such ship be deemed a “vessel.” Such finding is mandated because once an individual or entity is contractually bound to repair a ship, it is no longer “merely a theoretical possibility” that the ship will again be used as a means of transportation on water. On the contrary, the contract evidences the practicality of such event.
Stewart,
Here, applying the standard articulated in
Stewart,
at thе time the subcontract between Reefmakers and Colonna’s was signed, the Vandenberg was a watercraft “practically capable of maritime transportation....”
Id.
at 497,
In considering whether the repair subcontract breathes life back into the Vandenberg, this Court has the same hesitancy to extend the scope of the dead ship doctrine as the Third Circuit had in
Hercules
and the Supreme Court had in
New Bedford. Hercules,
*874 F. Prior Seaworthiness Precedent
As discussed above, the parties fail to cite, and this Court is unaware of, any controlling precedent, decided before or after Stewart, that reaches the question of whether this Court has maritime jurisdiction over a repair contract touching a reserve fleet ship. The closest controlling cases relied on by movants are seaworthiness opinions from the Fourth Circuit and the Supreme Court. However, such cases are ultimately unpersuasive as none of the cases discussed admiralty jurisdiction or the definition of “vessel,” none involved repair contracts, and all were decided pri- or to Stewart and focused primarily on whether the ships, repeatedly referred to as “vessels” by both the Fourth Circuit and Supreme Court, were “in navigation.” 13
The key seaworthiness cases were all decided within a few years of each other and all nearly half a century ago. First, in
West v. United States,
After scrutinizing the analysis in
West, Noel, Roper,
and
Roper II,
this Court concludes that such opinions do not alter the analysis dictated by
Stewart
and illustrated by
Hercules
and
Buck Kreihs.
As discussed above, the seaworthiness cases not only involve an entirely different question of law than addressed here, they are distinguishable factually as none involved contracts to repair a vessel. Unlike the jurisdictional question of whether a watercraft is a “vessel,” a question that must be answered objectively without regard to the ship’s primary use or the owner’s intended use, the warranty of seaworthiness is an “implied warranty that the vessel is reasonably
fit for
its
intended purpose.”
T. Schoenbaum, Admiralty and Maritime Law § 3.9 (3d ed.2001) (emphasis added);
see Belle of Orleans,
*876 G. Self-Propulsion
Key West and BB & T suggest in their briefs that the Vandenberg is not a vessel due to its inability to operate under its own power. However, as discussed at length above, a vessel is defined as any watercraft practically capable of transportation of goods or persons on water. The fact that a barge, dredge, or damaged vessel cannot operate under its own power and must be towed does not make such watercraft any less of a “vessel” for jurisdictional purposеs, as it still may be used to transport goods or persons on water under tow.
United States v. Templeton,
Similarly, in
Miami River Boat Yard, Inc. v. 60’ Houseboat,
H. Summary
As set forth in detail above, the Court concludes that the Vandenberg is a “vessel” within the Court’s admiralty and maritime jurisdiction. Therefore, this Court has jurisdiction over the maritime contract and in rem claims since the subcontract at issue is properly classified as a “vessel” repair contract. Because the Court determines that jurisdiction is appropriate on such ground, it need not address Colonna’s alternative arguments purporting to establish maritime jurisdiction. Accordingly, Key West’s and BB & T’s motions to dissolve the arrest of the Vandenberg and dismiss the in rem claims are DENIED.
IV. Discussion — Motion for Interlocutory Sale
Colonna’s filed the instant Motion for Interlocutory Sale of the Vessel on June 11, 2008, more than two months after the Vandenberg was arrested, as neither Reefmakers nor Key West posted security following the ship’s arrest. In conjunctiоn with its motion, Colonna’s submitted an affidavit executed by Plaintiffs counsel asserting that the Vandenberg is a wasting asset, that storage costs are significant and continually mounting, and that Reefmakers and/or Key West have unreasonably delayed in seeking release of the vessel. Several months later at oral argument, Colonna’s represented to the Court that, during the more than six months that had then passed since the Vandenberg was arrested, storage costs had reached several hundred thousand dollars. Furthermore, as reflected in the agreed order entered July 2, 2008, the running total of storage costs continues to increase $1,250 for each additional day that the Vandenberg is stored at Colon-na’s. Notwithstanding the lengthy arrest period and mounting storage costs, no original party, intervening party, or claimant has filed a brief in opposition to Co-lonna’s motion seeking entry of an order permitting the interlocutory sale of the Vandenberg. 16 At oral argument, although all present were affordеd the opportunity to comment on Colonna’s motion, there was little said in opposition to a court-ordered sale of the vessel.
*878 Rule E(9) of -the Supplemental Maritime Rules states:
(9) Disposition of Property; Sales.
(a) Interlocutory Sales; Delivery.
(i) On application of a party, the marshal, or other person having custody of the property, the court may order all or part of the property sold — with the sales proceeds, or as much of them as will satisfy the judgment, paid into court to await • further orders of the court — if:
(A) the attached or arrested property is perishable, or liable to deterioration, decay, or injury by being detained in custody pending the action;
(B) the expense of keeping the property is excessive or disproportionate; or
(C) there is an unreasonable delay in securing release of the property.
(ii) In the circumstances described in Rule E(9)(a)(i), the court, on motion by a defendant or a person filing a statement of interest or right under Rule C(6), may order that the property, rather than being sold, be delivered to the mоv-ant upon giving security under these rules.
(b) Sales, Proceeds. All sales of property shall be made by the marshal or a deputy marshal, or by other person or organization having the warrant, or by any other person assigned by the court where the marshal or other person or organization having the warrant is a party in interest; and the proceeds of sale shall be forthwith paid into the registry of the court to be disposed of according to law.
Fed.R.Civ.P. Supp. R. Admiralty
&
Maritime Claims E(9). After careful consideration of Colonna’s unopposed motion, the Court GRANTS Colonna’s motion for entry of an order permitting the interlocutory sale of the Vandenberg. As significant storage costs have accumulated during the six-and-a-half months since the Vandenberg was arrested and no effort has been made to secure its release, and considering the relative value of the Van-denberg, the Court finds that Colonna’s has provided sufficient evidence to establish both that storage costs have become excessive and that there has been an unreasonable delay in securing the vessel’s release.
See Silver Star Enters., Inc. v. M/V Saramacca,
Colonna’s attached a proposed “Order for Interlocutory Sale Rule E(9)” with its motion seeking an interlocutory sale of the Vandenberg. However, Colonna’s acknowledged at oral argument that such order needed revisions as it improperly indicates that the Marshal is still in custody of the Vandenberg. As set forth below, the Court affords Colonna’s seven days from the date of this order to submit for entry a substitute order correcting such misstatements.
V. Conclusion
For the reasons set forth more fully above, the Court DENIES the motions filed by Key West and BB & T to dissolve the arrest of and dismiss the in rem claims against the Vandenberg because the Court finds that the Vandenberg is a vessel practically capable of maritime transportation.
The Court GRANTS Plaintiffs motion seeking entry of an order permitting the interlocutory sale of the Vandenberg as *879 storage costs have become excessive and there has been an unreasonable delay in securing release of the vessel. However, the Order permitting such sale and setting forth the conditions for such sale will be subsequently entered following submission of a corrected order by Colonna’s. Accordingly, Colonna’s is AFFORDED seven (7) days from the date of this order to submit a substitute order correcting any misstatement regarding the custodian of the vessel. The substitute Order for Interlocutory Sale to be submitted by Plaintiff should also be modified to reflect that the Vandenberg is to be sold on thirty (30) days public notice.
The Clerk is DIRECTED to send a copy of this Opinion and Order to all counsel of record.
IT IS SO ORDERED.
Notes
. There are two additional ripe motions before the Court, a motion for default judgment filed by Colonna's, and a motion to compel arbitration filed by Reefmakers, LLC. The Court withholds ruling on these remaining motions because, at the request of the parties, this matter has been referred to a Magistrate Judge for a settlement conference.
. There does not appear to be any dispute about the material facts relevant to the instant motions.
. Former United States District Judge Walter D. Kelley, Jr. presided over this case until he resigned his commission on May 16, 2008.
. Although courts and commentators have at times noted the disconnect between the rule that a contract to repair a ship is maritime, but a contract to build a ship is not, “the most
*867
important requirement of a jurisdictional rule is not that it appeal to common sense but that it be clear.”
Tagliere v. Harrah’s Illinois Corp.,
. The Supreme Court recently stated in
Kirby
that "[t]o ascertain whether a contract is a maritime one” the courts cannot simply look to the place of formation or performance or whether a ship or vessel is involved, but "[¡Instead, the answer depends on the nature and character of the contract, and the true criterion is whether it has reference to maritime service or maritime transactions.”
Kirby,
. In determining whether the Vandenberg is a “vessel,” this Court need not interpret or apply the statutory definition of vessel provided in 1 U.S.C. § 3. However, the statutory definition and cases applying it remain directly relevant since the Supreme Court recognized that the statutory definition mirrors the longstanding definition of “vessel” provided by general maritime law.
See Stewart,
. Although federal cases from outside the Fourth Circuit have discussed the "dead ship” doctrine in the context of a repair contract, movants fail to cite, nor is this Court aware of, any pre- or post-Stewart cases from the Fourth Circuit or the Supreme Court addressing whether a contract to repair a “dead ship” is within the maritime jurisdiction of the federal courts.
. In
Cain v. Transocean,
. Owner's intentions are not only virtually impossible to measure but they "may change in ways never anticipаted.”
Belle of Orleans,
. The Ninth Circuit in
Blake
summarily distinguished
Hercules
by finding that the pertinent analysis was merely dicta because the Third Circuit indicated that the vessel was never withdrawn from navigation.
Blake,
. While in mothballs and with no prospects of future use, a ship that has the ability to transport goods or persons on water, but is unlikely to do so,
might
be deemed permanently withdrawn from commerce and therefore a dead ship outside of maritime jurisdiction. On the other hand, the fact that
Ready
Reserve Fleet ships are being
preserved
by the United States and can be reactivated if needed suggests that they
might yet
be vessels, even while in an idle state.
See Buck Kreihs,
. Movants submit an affidavit indicating that to repair the Vandenberg to an operational state would cost at least two million dollars. (Memo in Support Mo. to Dismiss, Ex. E.) Although potentially prohibitive repair costs may be relevant to the status of a ship in a scenario where a repair contract has yet to be signed, here, the cost is irrelevant because the executed contracts between Key West and Artificial Reefs of the Keys, Artificial Reefs of the Keys and Reefmakers, and Reefmakers and Colonna's, conclusively establish the practicality of the repairs to prepare the Van-denberg to carry a "riding crew” from Virginia to Florida. Regardless of whether mov-ant's expert labels repair costs as "high,” the Court cannot label the repairs as impractical if willing parties entered into contracts to repair a ship to a state where it will transport goods or persons on water, if only under tow.
. Both the Supreme Court and the Fourth Circuit repeatedly refer to the ships in the seaworthiness cases both as "vessels” and "dead” ships.
See Noel,
.
Roper II
and associated seaworthiness cases must now be read in light of
Stewart's
clarification that the true test for vessel status in
all
cases is whether a ship is
practically
*875
capable
of maritime transportation, not whether it is "in navigation” or whether its "primary purpose” is to transport goods or people on water.
See, e.g., Holmes
v.
Atlantic Sounding Co.,
. In the alternative, even if this Court read the seaworthiness cases as implicating the jurisdictional standard applicable at the time such cases were decided, the Court would still conclude that the Vandenberg is a vessel under the current jurisdictional standard as
Stewart
expressly holds that vessel status no longer turns on whether a ship is "in” or "out of" navigation. Under the framework established in
Stewart,
it plainly remains
relevant
*876
whether the Vandenberg was "withdrawn from navigation,” but even if it was, its status does not turn on such fact alone as this Court is required to consider, in "all cases,” whether a ship’s use as "a means of transportation on water is a practical possibility or merely a theoretical one.”
Stewart,
. The only filings which could be construed as opposing such motion are the claimants’ motions to dissolve the arrest of the Vanden-berg. However, no motions or briefs were filed to oppose the interlocutory sale in the event that the Court determined that it had jurisdiction over the Vandenberg.
