The Chronicle Herald (Provincial)
Seinfeld knows how to pick ’em
NEW YORK — Jerry Seinfeld mingles with Porsche executives at a private launch event for the company’s new 911 Speedster. Seinfeld, a noted Porsche enthusiast, already has one of the 1,948 limited-edition Speedsters on order. Sticker price: $312,500.
We’re at the appropriatelyGerman Biergarten at The Standard hotel in Manhattan. On display alongside the new Speedster are a couple of highly collectable old Porsches from Seinfeld’s extensive collection: a white 1988 911 Speedster and a red 1959 356A 1600 Speedster.
The Comedians in Cars Getting Coffee star recently sold a small portion of his collection — 18 cars, including 16 Porsches — for US$22-million at auction.
Some cars are better than a blue-chip stock. Once they hit the bottom of their depreciation curve, prices start to climb. Some rise slowly while a rare few take off like a rocket. If you’re an enthusiast — or, indeed, an investor — cars can be an excellent place to grow your money.
After the Great Recession, the market for collectable cars took off. Cars are real, physical assets that you can enjoy while they rise in value. Of course, that’s the best-case scenario. Some cars never appreciate much, while prices for others can burst like a bubble. The market has cooled off since the post-recession boom. So, buyer beware.
Picking a car that will hold its value, let alone one that will skyrocket, is quite a dark art.
Even Andreas Preuninger, the man responsible for the creation of so many highly-collectable Porsches, isn’t quite certain why they become so collectable.
“I’m not a collector,” he says. “I always say don’t collect our cars, use them, drive them.” As head of the GT-model line, he’s responsible for many of the raciest cars in Porsche’s catalog: GT2, GT3, GT4, RS models, and limited-editions like the Speedster.
“I have so many customers who say, ‘a GT3 RS feels completely different from a GT2 RS, so I need both of them.’ Well, be my guest,” says Preuninger with a grin.
Brands like Nike and Supreme constantly release products in very small numbers, which drives up prices for fairly ordinary sneakers and sweatshirts. Preuninger insists it’s not about artificial scarcity for Porsche though. The value of old 911s has to do with their uniquely tactile driving experience, he says.
Still, when it comes to picking the next highly collectable Porsche — or any collectable car for that matter — rarity plays a big role, as does performance and historical significance.
John Pera keeps a close eye on the value of potentially collectable cars. He’s head of the central inventory team for the exotics and collectables at Pfaff Automotive Partners, a major Canadian dealership group.
“The highly collectable cars are the cars that had a very low production run,” he explains. “These cars will always maintain a strong value. Other cars that become collectables are cars that are produced as an anniversary or special edition.”
The new 911 Speedster ticks all those boxes. It was built to celebrate 70 years of Porsche sports cars. Power comes from the GT3’s high-revving flat-six, made even more exotic by the fitment of individual throttle bodies, which is a first for a road-going 911, he says.
Other old 911s that have done well on the collector market include the 1992 911 3.6 Turbo S, as seen in the movie Bad Boys.
“In immaculate condition with a full ownership history, low mileage and complete service records, one could be worth up to and over US$1-million,” says Pera.
The 2011 GT3 RS 4.0 is too young to officially be a classic, but it’s already more than doubled in value. “This car sold new for approximately $210,000$260,000 Canadian,” Pera says. “Today there are some selling for US$400,000-$500,000.” Both these cars are the best-ofthe-best, 911s at the top of the model range.
As he notes, the condition and history of a car play a big role in its value. Accident-free vehicles accompanied by a fat stack of maintenance receipts will always be worth more.
As for future collectables, well, that is the million-dollar question. Supercars like the Ferrari 458 and Lamborghini Murcielago SV are safe bets. The 458 is significant because it’s the last non-turbocharged example of Ferrari’s mid-engine V-8 cars, and that limited-edition Lambo is, well, it’s a V-12 Lambo. Be warned: you’ll need plenty of cash to buy one of those in the first place, and plenty more to keep it in top shape.
The classic-car insurance company Hagerty has started publishing a Bull Market List of top 10 cars their valuation team believes are on the move. The 2018 edition featured the 2000-2006 BMW M3, which, in just one year, rose 22 per cent in value. Examples in excellent condition are now worth US$35,286 on average, according to Hagerty.
On the 2019 Bull Market list are several late-model sports cars, including the firstgeneration Porsche Boxster, the 1996 Corvette Grand Sport, and rally-ready 2004 Subaru Impreza WRX STI. “The reallife versions of the cars we played in Need for Speed were too expensive for the kids who wanted them,” wrote Hagerty’s valuation team. Now those kids are adults with jobs and money, values of these cars should rise. One day, millennials will take over from boomers as the big movers and shakers in the classic car world.
As for the new 2019 Porsche Speedster, Pfaff’s John Pera is confident it will be highly collectable. “100 per cent it will,” he says. It appears Seinfeld has made yet another savvy Porsche purchase.