Sotheby’s CEO says supply is catching up with demand ahead of $1.4B auction
Sotheby’s CEO Charles Stewart said the art market entered a new phase this fall, with supply finally “catching up with demand” after months of strong bidding activity.
Recent comments CNBCNew York’s major auction houses are preparing for sales expected to total more than $1.4 billion, up about 50% from last year and potentially a turning point after three consecutive years of decline.
November’s auctions will test whether new confidence from shippers and buyers can sustain the broader recovery. This season’s focus is on the estate of Leonard Lauder, whose 55 works at Sotheby’s are worth more than $400 million, led by Gustav Klimt portrait of elizabeth ledererestimated at more than $150 million, and two Klimt landscapes estimated at more than $70 million and $80 million. Sotheby’s will also offer six Matisse bronze sculptures and an Edvard Munch work midsummer eve.
Works from the Jay Pritzker and Cindy Pritzker collection were estimated at an additional $120 million, including a Van Gogh still life valued at more than $40 million.
Christie’s highlights include works by Monet water lily and David Hockney’s Christopher Isherwood and Don BachardiEach work is estimated at $40 million to $60 million, with the Mark Rothko estimate at over $50 million.
Advisors say a combination of scarce materials and stronger macroeconomic conditions – lower interest rates, a buoyant stock market and recent wealth creation – are helping to lure sellers back to auctions. “What we’ve seen lately is supply catching up with demand,” Stewart told CNBC. “There’s definitely been some changes in the past two months.”
Sotheby’s added momentum this week with the debut of its new world headquarters in the Breuer Building on Madison Avenue, which has attracted more than 10,000 visitors since opening last week. Stewart said shippers have responded to the increased visibility.
Still, there is significant pressure at the top of the market. Sales of works priced over $10 million fell 44% in the first half of 2025 compared with 2024, and are still 72% below the post-pandemic peak in 2022, according to data from Bank of America Private Bank. In the first half of this year, no auction price exceeded $50 million, which is lower than the 2022 auction price of 13 items.
In contrast, the lower end of the market continues to strengthen: Sales at dealers with annual turnover below $250,000 increased 17% last year, while sales at dealers with annual turnover above $10 million fell 9%.
Whether next week’s auction confirms a true rebound or just a brief correction, the divergence between the loot market and the booming lower market suggests the next phase of growth may not look quite like the last. Still, even a strong week can’t resolve the deeper question that hangs over this season: whether the future of the market belongs to trophy-chasing mega-collectors or to a rising group that is reinventing demand from the ground up.
