Expectations were high at an April auction for a pair of Michael Jordan’s sneakers, which Sotheby’s estimated would sell for $2 million to $4 million. An anonymous collector had agreed in advance to pay an undisclosed amount for the used Air Jordans (an “irrevocable bidder” in auction parlance); the only question was how many people would try to top that existing price. The answer, it turned out, was zero.
The sneakers sold after one bid, presumably to that irrevocable bidder, for $1.8 million. With auction house fees, the total came to $2.2 million, squeaking past the low estimate but nevertheless a global auction record.
Welcome to the world of high-end collectibles in 2023, where healthy—sometimes even superlative—prices for cars, memorabilia, watches and handbags have failed to mask an uncomfortable reality: As interest rates rise and the economy falters, the overall market is slowing down.
