Quote:
Originally Posted by Rhotchkiss
This card was purchased for about $5mm less than two years ago. Last night it sells for $7.2mm - a $2.2mm (44%) increase in two years, which is 22% per year. How on god’s green earth is that result a “failure”? It isn’t. Instead, there was a ton of hype and the result did not meet the hype. But the result was very good. The hype was BS. The BN Ruth was worth $5mm two years ago. Now it’s worth $7.2mm. Seems to me, that is pretty darn positive
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I’m not familiar with the terms of the private sale, but some of the other posts around here are quoting $6M for that private sale. Not sure which one is accurate or if any of us know for sure. But it seems like it would make a big difference in the gain to the seller, particularly if it was really $6M.
Second, some part of the $7.2M is going to the AH, and not to the seller. Even if it’s only 5% of the hammer, that’s $300K, which reduces the seller’s take a bit. Again, especially if the purchase price was $6M.
Third, $7.2M is only a disappointment when most of the talk in the press was for $10M+. Whether the consignor really expected to get that much is anyone’s guess. But if he bought into the National hype and publicity machine, then I’m guessing he feels like $7.2M is on the low end.
Finally, compared to everyone else who has been banking 100% to 300%+ gains over the last few years, 44% (or possibly less) probably feels like losing money.