When it comes to the investment in rare supercars and race cars, the most interesting models are still in development and bought prior to delivery. They are also known as build slots. Experience shows that those who want to make a big, quick profit, the decision to buy slots could be extremely lucrative.
My first build slot sale was back in 2003, the Rosso Corsa Ferrari Enzo.
The Ferrari List price was around €585,000, and I sold this car to a Swiss collector who took delivery of the car in 2004. The buyer paid €60,000 over the list price and today the car is worth IRO €2m.
Another great example is the LaFerrari Aperta (delivered in 2018); all 202 cars were sold in 2016. The manufacturer’s list price was €1.8m, but build slots were selling for more than double the price. Those who bought early slots at double the list price still made a handsome profit as the Aperta slots and early physical cars went on to make triple the list price.
Last year we sold on an Aston Martin Valkyrie (will be delivered in 2019) with a premium of €300,000 above the list price, recently we sold another for €750,000 over the list and by the time the car becomes physical in 2019, it’s likely to have a premium of double the list price. So both the seller of build slot makes a profit and so does the buyer.
And we predict the same thing will happen with the McLaren Speedtail (will be delivered in 2020) which we sold to a famous billionaire through our advert on JamesEdition.
It may be worth mentioning there are risks and a lot of fraud that surround the buying of build slots. It’s important that a buyer chooses a specialist company that will help him or her avoid both.
On many build slots, there is a short window of opportunity for buying and selling for a big profit, so timing is everything. Take the Ferrari F12 Tour de France that at its peak were selling for over £1m, but soon Ferrari will announce its replacement the Ferrari 812 Superfast TDF/GTO which will have a big impact on the F12 TDF with value of the car dropping by as much as 40%.
In recent years, we are selling to hedge funds and other investment companies. In 2017 we sold a 2015 Ferrari FXX-K to a Spanish Hedge Fund Company for €200,000 over list price and earlier this year we sold a McLaren Speedtail to a Private Equity Company for an undisclosed amount.
There is no calculation rate formula you can apply to build slots as all owners of allocations have their own ideas of what the build slot is worth.
Ferrari tends to outperform the value of premiums on these limited edition cars, but companies like Koenigsegg and Pagani are climbing the charts with their Regera and Huayra Roadster models.
Insider Tips: 4 build slots states for 2019/20 worth the investment
- McLaren Speedtail, 106 being built. McLaren List Price £1.85m GBP all sold. Delivery 2020. Resale premium IRO £2m GBP. Total Built Slot Price £3.85m GBP. Estimated Value once physical £6m GBP.
- McLaren Senna GTR, 75 being built. McLaren List Price £1.1m GBP all Sold. Delivery 2019. Resale premium IRO £300,000 GBP. Total Build Slot Price £1.4m GBP. Estimated Value once Physical £2m GBP
- Bugatti Divo, 40 being built. Bugatti List Price €5m Euros all Sold. Delivery 2020. Resale premium IRO €2m Euros. Total Build Slot Price €7m Euros. Estimated Value Once Physical €9m Euros
- Ferrari Monza SP1/SP2. 500 being built. Ferrari List Price €1.5m Euro. Delivery 2019/20. Resale Premium IRO €1m. Estimated Value when physical €2.5m.