Patek Philippe Olive Nautilus Auction Price $490k

Koozy · 2021-07-23T08:12:17Z

Explore the Patek Philippe Nautilus 'Olive' Ref. 5711/1A-014 auction sale for $490k and its impact on the luxury watch market. Insights on flipping, ADs, and collector ethics.

Koozy

WPS member · Patek Philippe forum

37 replies6688 views0 photos

Koozy's original post ignited a passionate discussion among collectors regarding the secondary market for luxury timepieces, specifically the Patek Philippe Nautilus. His observations on the sale of a factory-sealed 'Olive' Nautilus for nearly half a million dollars at auction sparked a debate about the ethics of flipping, the role of Authorized Dealers (ADs), and the long-term health of the collector community. Koozy challenges readers to consider the implications of such transactions, questioning whether they signal a breakdown in traditional collecting values or a new, albeit frustrating, market dynamic.

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Not sure if I can provide a link but just read a story about an Olive Nautilus selling for $490k at Antiquorum.

The story indicates that the watch was factory sealed and it was easy to identify with serial numbers readily visible. This is so frustrating as the majority of us seem to be constantly having to jump through hoops to prove that we are worthy buyers, yet this careful selection process by the AD's still results in this blatant flipping where the vetted purchaser isn't seemingly interested in owning such a fine piece for the merits of the watch itself. I just can't work out which of the following scenarios we are in:

1. The seller decided that he doesn't care if he is blacklisted going forward and c.$400k profit is the price he puts on that

2. The AD doesn't care and will allow the seller to reinvest and go again

3. PP don't care because a strong secondary market buoys the primary sales channels

Either way, it's just so off putting and I can't see how it is healthy for the long term, but all the while there are people out there willing to pay c.$500k for a current production time and date only steel watch I see no end in sight. Interested in how others feel when they see such stories.

Koozy

Key Points from the Discussion

One contributor shared an anecdote about a Head of Sales at a Patek Philippe Salon who allegedly colluded with wealthy young clients to purchase inventory, hold it for a few months, and then resell it at auction or privately, splitting the profits.
The sale of personal items like watches for profit is considered miscellaneous income in the US and is subject to taxation. Failing to report such income can lead to serious legal consequences, including charges of tax fraud.
A hypothetical scenario suggests that an AD, nearing retirement, might have received a rare Patek Philippe as a parting gift, which was then resold by an adult child to support the parent's retirement, satisfying all parties involved.
The significant appreciation of certain watches on the secondary market has negatively impacted the collecting experience for some, making them hesitant to wear pieces whose market value far exceeds their original purchase price.
Patek Philippe's policy of requiring ADs to unseal watches before delivery inadvertently created a new category of rarity and value for 'still sealed' pieces, leading to extreme premiums for watches in their original packaging.
The 'Olive' Nautilus dial, despite its green hue, possesses a deep blue quality that makes it particularly appealing, leading some to wish for its inclusion in other references like the Patek Philippe Ref. 5740.

The Discussion

amanico

Jul 23, 2021

Crisis? What crisis? :)

@lberti

Jul 23, 2021

"Little-man-wanting-a-steel-patek-crisis". Only crisis i see here

APROchrono

Jul 23, 2021

While I know that it is a free market...

... i hate that this is happening. Frankly it has ruined the collecting experience for me. Whilst I don't watch secondary prices closely, it's tough not to get the gist of it. There are a couple of watches I have bought, which remain unworn because some part of me is OK wearing a $35k watch but not a $150k watch (same watch btw ). I know it's silly, but that's just me. I wonder if this is just me, or others are in the same boat?

Lankysudanese

Jul 23, 2021

+1.

I’d posted a share of Hodinkee article about this.

APROchrono

Jul 23, 2021

Please could you PM me a link - much appreciated!

Costa (aka Connie)

Jul 23, 2021

I am in your boat. I am not a speculator simply a collector.

I buy watches and wear them. I don’t follow prices and don’t really care. I enjoy watches for their history and mechanical artistry. It’s art for the wrist. Pure enjoyment.