Author: Michael Chappell

…and both Christies and Sotheby’s reflect huge decreases in revenue, Sotheby’s by half over the same period last year, while Christies would have declined almost identically if one were to exclude the successful Yves St-Laurent sale. Privately held Christies doesn’t release profit figures, but it can’t have been any further in the black, or to put it more appropriately, any less in the red, than its major competitor. Enormous staffing reductions, and an increased workload undertaken by those staff remaining, have allowed both salesrooms to hemorrhage a little less money. As I write this, Sotheby’s is trading at $16, about half its value of a  year ago, but up significantly from its 52 week low of $6.47 realized in early March of this year.

Although it is the performance at auction of English antiques that is my primary focus, for the salesrooms it is Impressionist and 20th century art that has been its mainstay. In spite of reduced revenue, the last year has elicited some bright spots- the aforementioned St Laurent sale being arguably the brightest- but, frankly, not much good material has flowed through the salesrooms. No surprise, of course, given that neither Christies or Sotheby’s have been offering any sorts of inducements, by way of either advances or guarantees, to winkle out prize consignments. And, of course, those who do not have to sell their better pieces are disinclined to do so in a world-wide recession wherein achieving top dollar is chancy at best.

With all that, the demand for the material that Christies and Sotheby’s markets has not evaporated completely. Mind you, this is not to ignore the bloodbath amongst art and antiques dealers that began a couple of years ago does not yet show signs of abating. The wisdom of what Sotheby’s and Christies sought to do, becoming a retail marketplace for the material that was formerly and almost exclusively the province of the antiques and fine arts dealer, is now an open question. That their efforts have contributed to the trade now being only a shadow of its former self, can the revenues and profits of the big salesrooms recover to anything like the levels they enjoyed prior to 2008.

We’ve had the great pleasure the last few days of hosting our godson, ours being his first stop during school holidays. As is so often the case, one only visits sites of local interest when escorting visitors, and I’ve absented myself from the shop to do just that. What I’ve noticed, and something that’s changed from this time last year, are the numbers of international tourists. That the exchange rate is sort of in their favor might have something to do with it, but the fact of their presence in such great numbers makes me believe that an economic recovery is well underway. True, airlines and tour packagers are offering some good travel deals, but no matter how inexpensive, unless one is possessed of a positive outlook long-range travel is not what one does.

From the general to the (English antiques dealer) specific- our gallery activity has been brisk. Sales activity? Not so much, but it has to start somewhere and the gallery visit precedes anything more remunerative.

I’ve termed this entry ‘dog days’ mainly because of the time of year, but, frankly, with the coolish temperatures over the last few days in San Francisco, it hardly feels like it. I suppose, with all the tourists in San Francisco and the concomitant increase in gallery traffic, we remain doggedly optimistic.

Partridge Fine Art, one of the cornerstones of the English antiques trade, has moved into receivership this week, with the receivers actively looking for a buyer. Its tragic existence over the course of the last decade saw it nearly fail, then rescued in an LBO financed largely by Christie’s, with the result that a fair amount of the company’s inventory was auctioned off in May, 2006. It has been tough sledding all along, with marketing efforts including increased fairs participation and adding jewelry to its product mix apparently not sufficiently profitable to offset the high cost of operating on Bond Street.

Sadly, it would not surprise me to see the demise of Partridge all together, with its premises taken over by yet another fashion retailer. Asprey, a near neighbor to Partridge Fine Art, might have met the same fate had it not been acquired by the Sultan of Brunei. Perhaps Partridge’s might find someone else whose pockets, or oil wells, are as deep.

We were pleased to have a dozen interior design professionals in the galleries this last Saturday, as part of a course taught annually by Diane Dorrans Saeks for the California College of the Arts. Diane and I chatted for the benefit of the attendees about English antiques and our own line of furniture, Contemporary Classics. Pleased to say, as well, the attendees seemed to enjoy the visit- or at least kept their yawns well stifled.

What Diane explicitly stressed was how important it is for design professionals to offer to their clients fine quality antiques in preference to even the best quality reproduction pieces. Clients must know that the reproduction pieces will be, her words ‘used furniture’ while the period pieces will always represent inherent value- if purchased from a dealer who offers value for money. And, she said, that dealer is probably the dealer whose primary market is not interior designers- but a dealer who trades primarily with collectors!

As often as I have had this discussion with the twenty or so devoted readers of my blog, and various and sundry others, it is cheering to fine someone of Diane’s stature making the point publically how important it is for designers to trade with accredited dealers who know their stuff. As Diane is, we are happy as well to provide designers with as much grounding in the antiques world as is necessary to assist them to do their jobs and properly serve their clients requirements.

In the current issue of Antiques Trade Gazette, columnist David Moss provides some outside the box thoughts about how to continue the fair that is an essential component of the international antiques and fine art trade. With fairs all over the world struggling, Moss’s suggestions, while specific to Grosvenor House, certainly have some implications for other fairs.

IRONICALLY, in its 75th and sadly final staging last month, the Grosvenor House Art & Antiques Fair reaffirmed its status as unquestionably the UK’s flagship antiques event.

And in a strange way its demise last week confirmed the respect and genuine affection in which it was held.

Talking to Grosvenor House exhibitors past and present it becomes apparent it is not just a hard but an impossible act to follow.
No existing fair can take on its mantle (the dealers to a man ruled out a move to Olympia). So the exhibitors are convinced they must do it for themselves, and one way or another reconstruct Grosvenor House to the same criteria of excellence but without the physical limitations of the Great Room in Park Lane or the financial constraints of working under a multi-national hotel group.

A new fair must be upmarket, strictly vetted and prestigious. But now there is the chance to combine all that with space and good design, the very reasons some top dealers left Grosvenor House for Olympia.

But the big, big question is where could such a new fair be held?

To emulate Grosvenor House it needs to be located in a central and upmarket area.

Another hotel is unlikely – the Great Room was the biggest space available and there was much comment every year on just how restricting it had become – while there is no exhibition hall sufficiently close to the West End to entice the coterie of clients who would only shop at Grosvenor House.

I recall when the Grosvenor House hotel was abandoned for a few years from 1980 due to the infamous chambermaids’ strike, it relocated to the Royal Academy’s Burlington House. However, these days the RA Summer Exhibition takes centre stage in June.

So we are back to a solution which has become ever more popular – the luxury tent. It might be imaginative to move Gillian Craig’s BADA fair in a tent in Chelsea to June and rebrand it under her continued leadership. I think that is an option.

But one event the antiques trade might learn from is Frieze, the cutting edge art fair that has made its home in Regent’s Park every October. Could the same be done in the same park for a more conservative fair in June? Yes it could.

By David Moss