Who of you has heard of the Duemila Ruote Auction (“2000 wheels” in Italian)? Most likely not many of you.
While most of us are in a turkey coma over the Thanksgiving holiday, RM Auctions will auction off 450 high-end cars, 150 motorcycles, 60 boats, and countless pieces of automobilia in Milan Italy. The Sun UK calls this unprecedented, exclusive event “an automotive Aladdin’s Cave.”
This massive auction has crept up without much attention, but there is an aura of secrecy over where all these cars came from. It is rumored to be a “huge collection … seized from a single ‘businessman’ in Italy” by the Italian government. Some say the government is the sole beneficiary. I have heard other rumors. We can only speculate.
What we do know is around $100 million worth of metal will cross the auction block, there are no reserves, and you must be present in the room in order to bid!
HOW DOES THIS IMPACT THE CAR MARKET?
Regardless of how these cars came into the government’s possession, this is a significant event that not many folks know about in a time where there is a severe uncertainty in our industry. And while it’s interesting to talk about where these cars came from and other details behind the event, it’s more important to see how much these cars sell for.
We will see over 400 rare cars hit the market, all at once. This huge supply will decrease demand instantly, in an environment that has already seen demand dropping. The market has been softening for months. So will it bottom out or rebound?
How much will air-cooled Porsches and Ferraris go for? They are not selling for prices they got even six months ago, let alone two years. What is the market for an EB110 auctioned without reserve? Will a 2nd 599 6-speed achieve a silly price?
We will know this and more in less than a month. We should all be watching.
