by Michael Hannwacker, € uro on Sunday
It is a sunny spring afternoon on Munich’s Maximilianstrasse. The chestnuts stretch their blossoms into the sky, the trams rumble towards the Bavarian State Parliament or the National Theater with a few properly masked passengers, and the few passers-by on the noble mile no longer need coats. The German Bonhams official Thomas Kamm also shows a remarkably healthy complexion after weeks of home office in Rosenheim. And his mood is cheerful, in contrast to the presumably cloudy mood in the auction market.
But it’s not that bad. In times when the stock markets are at best volatile and even time-honored funds slide into the red, more and more investors are curious about so-called alternative investments. And indeed: Not only in the field of contemporary art do auction houses record ever higher surcharges, also wine and whiskeys, cars or watches achieve dizzying returns (acquired in good time and correctly).
It is precisely here, in the niche markets, that the world’s third largest auction house is often ahead of the two leading, Sotheby’s and Christie’s. We meet Thomas Kamm on the premises of the Bonhams branch in the Bavarian capital – and keep everyone’s distance.
€ uro on Sunday: Sotheby’s and Christie’s already had early April salary cuts, leave of absence and application for state subsidies on the corona– Outbreak responds. Bonhams too?
Thomas comb: We had to temporarily leave some colleagues in the UK, but so far there have been no layoffs. That means every department remains well staffed. Most of the work takes place in the home office, which works amazingly well. The European representatives all work, some of them already in the offices. And we have various video conferences every day.
Online auctions are now booming.
Will they replace the live business in the medium term?
Replace no. But I see a future in which both forms of auction exist side by side. Incidentally, online bids are also increasing significantly for level promotions.
How much lower are the surcharges for online auctions compared to hall auctions?
I can not imagine that there are big differences, even if you take into account that some older auction participants are not quite as fit on the PC. Of course, a good auctioneer is able to heat up the atmosphere in the hall. But if someone really wants something, he will stay online until his bid is successful, with the help of the boy next door.
Many auctions are currently being postponed. Can the business be made up for?
I guess so. Some market participants fear that there could be too many auctions in autumn, but I do not share this concern. Rather, I think people are waiting for it: I get calls from customers who are almost begging for the next auction because they think the prices are cheap now. But when three or four think so, it suddenly goes up. That is the advantage of auction goods: that there are no production chains, that they are unique, that their inventory is limited and that they are therefore much less susceptible to crises.
Can you even get a bargain now?
It could indeed be the case that things are now coming onto the auction market that might otherwise have gone to trade fairs and would have been priced significantly higher there.
New records for works by Monet, Warhol or Jeff Koons are constantly breaking through the media. In which other asset classes have there been blatant growth lately?
We are seeing significant increases in jewelry, watches, whiskey and, in some cases, cars. Porsche and Ferrari are very sought after. The so-called youngtimers are also strongly increasing, the six-nine (Mercedes 450 SEL 6.9, note d. Red.) For example. But bread-and-butter cars that no one would have wanted years ago are now becoming increasingly expensive. And, of course, celebrity-related vehicles will always get high prices – like the Dune Buggy auctioned at our Florida “Amelia Island” auction in March for $ 445,000, with the 1968 Steve McQueen Faye Dunaway in “The Thomas Crown Affair “rocked over the beach. Another typical Bonhams niche thing was our last auction on” California and Western Paintings & Sculpture “. There were seven world records in this auction.
And what about the classic departments, painting and sculpture?
We register high demand for good art. The 19th century has recovered splendidly, we had excellent old master auctions. A special feature: paintings that are in some way oriental have been experiencing an incredible boom for several years: every harem, every oriental with a turban brings in hundreds of times ten years ago.
Tell us a few hidden chapions on the alternative
Investments?
As an auction house, we never talk about “investments”. However, there are trends that we notice. Posters are an exciting topic. Chinese furniture from Huanghuali, the extremely rare Wood of kings are currently going through the roof. In the automotive sector, radiator figures are on the rise again. Or “Baby Bugattis”: I have a friend who collects them. He complains that his first copy cost 1,500 marks, “and now, Thomas, I’ve paid £ 28,000. Why did they get so expensive?” Well, because they are rare.
I have a classic car, a work by a major pop artist and a rare single malt. Which of these could I sell lucratively now?
Common question. You can’t go wrong with good whiskeys, they always go away. In post-war art, nothing has moved down either. And with classic cars, it was very important that the model. I don’t know of a 25-year-old who would buy a car from the 1930s today. However, this clientele, equipped accordingly, would not hesitate a minute for a Lamborghini Veneno Roadster for just under eight million.
A year and a half ago, Bonhams was listed by the London Private equity-Found Epiris II, which, with other investors, focuses on mid-sized companies under £ 500m. What has changed?
Fortunately, much for the positive. Of course they want to resell us in four to six years. But first the new owners made investments, renewed the infrastructure and hired more specialist staff. And, very important from my point of view: They enable the experts to be experts.
What can Bonhams do better than the top dogs Christie’s and Sotheby’s?
We are the house with the absolutely largest variety of offers worldwide. Around 60 departments include exotic products such as Aboriginal Art, Entertainment Memorabilia, Handbags & Fashion, Marine Works of Art, but also Natural History, Oak Furniture, Scientific Instruments and Space History. We are strongest in the middle market, in the range of £ 50,000 to £ 5 million. Every experienced collector trusts Bonhams here, or the specialist knowledge of our specialists.
Could you persuade your wife to put a substantial part of your personal wealth in a box of Romanée-Conti or a Rolex Daytona to be stuck?
Hardly in wine. I’m afraid not even in a watch. My wife – like me – is an art historian and would probably buy a beautiful painting or sculpture, a fancy piece of furniture or jewelry.
Vita
The expert
Dr. Thomas Kamm (60) worked in art history after completing his doctorate
initially for 15 years with the art trade magazine “Weltkunst” and since 2005 as deputy editor-in-chief of the trade magazine “Art and Auctions”. In September 2011 he moved to Bonhams, where he works as a Senior Representative Germany / Austria. Kamm is married and has two grown children.
Bonhams
Unique style
Founded in London in 1793 and taken over by the associated company Epiris for an undisclosed amount in 2018, Bonhams is the last internationally operating auction house in private British ownership. In 60 different categories, more than any competitor, it carries out around 400 auctions worldwide. Bonhams is number 3 in the industry.
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Image sources: Michael Hannwacker for Finanz Verlag
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