Former Lehman Brothers CEO Dick Fuld didn't get as much as was hoped for his art collection when he put it on the block at Christie's last year -- just $13.5 million, instead of the expected $15 million to $20 million, according to news reports at the time. But this weekend, you can snap up some of the prints and paintings that lined the halls of Fuld's defunct investment house for a fraction of that.
On Sunday, Freeman's Auctioneers in Philadelphia will be selling 283 works of art from Lehman's U.S. offices, including its Manhattan headquarters. Among the pickings: A print of the Statue of Liberty by pop icon Roy Lichtenstein (estimate: $15,000-$25,000), a lithograph of the Brooklyn Bridge by Louis Lozowick (estimate $6,000-$8,000), and a painting of the World Trade Center by Richard Haas (estimate: $1,500-2,500).
What gives with the (relatively) low estimates? For one thing, about 70% of the works are prints; multiples are more affordable than unique oil paintings. The wobbly art market, too, is playing a role: As the rest of the economy has tumbled, so have prices for collectible fine art. And some experts say the collection -- a typical corporate grab bag of black-and-white prints and colorful, abstract contemporary pieces -- just isn't that impressive. "This is decoration -- what you get when you have a lot of offices you want to fill up," says New York gallery owner Mark Borghi.
Freeman's has ensured that most of the art will go. "Everything estimated at under $10,000 does not have a reserve, so it must be sold," says Anne Henry, Freeman's vice president of modern and contemporary works of art. Only a few major pieces -- including the Lichtenstein -- are subject to a reserve, or minimum price below which they will not be sold. She adds that the company received an overwhelming number of advance written and telephone bids and requests for condition reports. "We knew the name would generate a lot of interest, but it has exceeded our expectations," she says.
While Lehman's creditors will reap the proceeds, Freeman's should benefit, too, from sales it believes will total $1 million. The firm adds a 25% premium, paid by the buyer, on the first $20,000 of each winning bid, and 20% on anything from $20,001 to $500,000.
