Over the past few months I have received numerous emails from collectors and neophytes asking me to comment on the prices asked for various Omega Constellation Grand Luxe models offered by on-line sellers, the occasional bricks and mortar retailer and, of course, the usual range of electronic auction marketeers on the web.
In this short post, I am going to offer some comments on the values of Omega Constellation Grand Luxes, and make the occasional snide remark at the audacity of some merchants in asking thoroughly indefensible prices for the over-hyped pieces they're trying to offload. Frankly, I have never seen such overt examples of avarice than that displayed by sellers who acquire GLs into stock: visual representations of dollar signs seemingly hijack their rational minds when confronted with even the least impressive example of a Grand Luxe. It’s almost like their brains have been invaded by nano-robots programmed to trigger millions of synoptic explosions that evoke the robber baron mentality.
The first counsel I would like to offer is PLEASE IGNORE THE 2007 OMEGAMANIA AUCTION and treat it as you would the pre-crash US housing phantasm, the Dutch Tulip Scandal, the South Sea Bubble, or pre-1987 stock prices. This was a mega-hyped ‘event’ designed to serve the purposes of both Omega and the auctioneer, and bears no relationship to the general reality of the vintage watch market. Forget the prices realised: they were artificial and simply reflected contrived mass hysteria.
I would like you to consider the following points, drawn from years of observing the supply and demand trends of GLs, researching various models and gathering data on off-line auction prices realised:
Generally speaking, the Omega Constellation Grand Luxe is not rare. They were sold in numbers, although far fewer than the mainstream models. They are about as common as the earlier Rolex Presidents. Some models in red and yellow gold are about as common as each other, whereas in other models they are not. White gold models are uncommon and only platinum jewelry models could be considered 'rare';
The movements in Grand Luxe models were no different to those in standard Omega Constellation models. They were not ‘luxury finished’ or more special than 'ordinary' Omega Constellations;
The gold content in a 7.5 inch wrist size grand luxe with solid gold bracelet of any model is worth from between 3400 USD to 3900 USD depending on weight, as at 2011;
Using a base gold value of 3900.00 USD for a braceleted GL, the premium on a domed dial model with either a 50x and 56x calibre movement should be around 1500 – 2000 USD, allowing for fewer numbers, gold dial and quality chronometer movement: so the base line worth of a Grand Luxe is roughly USD 5400 - 5900. Add 200 USD for a calibre 354 model; Add USD 500 for a pie pan model; Add another USD 500 for a stepped pie pan dial. This means that the worth of, say, a calibre 354 stepped pie pan model with solid gold dial is around the 6400 - 7100 USD mark, but this needs to be discounted for dial patina, bracelet stretch, bracelet finish, excessive case wear or movement appearance and quality;
Models with original silver or patched leather boxes and papers clearly are more valuable, and market forces will dictate the premium;
Don’t pay more than USD 3600 for a GL with a leather strap;
Reduce the valuations of various models as gold prices recede (if they do) from historically high prices.
I have seen dealerships and eBay sellers asking up to 30,000 USD for Grand Luxe models. I recommend that you view such instances charitably, but incredulously. Perhaps such outrageous demands on your pocketbook and belief in humanity are simply disguised appeals to subsidise their children’s orthodontic work, a unique way in which to solicit contributions to fatten their early retirement funds, a means to pick up the tab for their spouse's rehab, or to feed their cravings for excessive profit? Because, assuredly, the prices asked do not reflect market forces.
In the real world of 2011, use the yardstick of 5500 to 7000 USD as a fair price for an Omega Grand Luxe. and discount for wear, stretch and condition.
In the real world of 2011, use the yardstick of 5500 to 7000 USD as a fair price for an Omega Grand Luxe. and discount for wear, stretch and condition.
