An improved lift boat includes a hull, a plurality of legs (preferably three), a plurality of pads, one pad attached to each leg, and a jacking mechanism for moving each upward and downward. Recesses in the hull receive the pads when the lift boat is underway. Preferably, the total bottom surface area of the pads is at least 30% of the surface area of the deck of the lift boat Preferably, the total bottom surface area of the pads is large enough such that, when the boat is loaded to capacity and is jacked up, the pads exert pressure of less than 7 p.s.i. on the sea floor. Preferably, the pads are partially recessed into the hull and extend laterally outward from the hull when the boat is underway to provide increased stability to the lift boat when it is underway.