Shifting with the Times: A New Generation of Car Collectors Celebrate Modern Classics

By Shaun Tolson During the second and third weeks of January 2020, a quintet of 1995 BMW M3 Lightweights made the car-collecting world stop and take notice. The limited-edition German sportscars were only 25 years old at the time, but the prices they commanded on the auction block in Arizona signaled that a new generation of collectors had arrived. Selling for between $220,000 and $385,000, those ’95 M3s proved to be as valuable as (and sometimes more valuable than) a slew of established collector cars that crossed the block at other Scottsdale-based auctions on the same dates—cars like a 1939 Cadillac V-16 Convertible Coupe, a 1956 Porsche 356 A Speedster, a 1966 Jaguar E-Type Series 1 Roadster, a 1967 Shelby GT 500, and a 1972 Ferrari Dino 246 GTS. Record-setting auctions of cars like this 1995 BMW M3 Lightweight, which went for $385,000 in 2020, herald the arrival of a new breed of collectors. (PHOTO: BARRETT-JACKSON) This 2004 Acura NSX-T brought $154,000 at auction in 2020. (PHOTO: JASEN DELGADO COURTESY OF RM AUCTIONS) The M3s were from the estate of late Fast & Furious star Paul Walker. But experts say the Hollywood connection had little to do with the hammer prices. The cars themselves drove the auction prices. Call it the new nostalgia. As a young generation of auto enthusiasts comes of age, the dream cars they remember from their childhoods are reshaping the collecting landscape. “The cars that people always dreamed about and wanted eventually become collector cars,” explains Craig Jackson, the chairman and CEO of Barrett-Jackson, the auction house that handled the sales of the record-setting M3s. “And that ball will always keep moving.” THE NEW NOSTALGIA Suddenly, cars from the 1980s, ’90s, and even the early 2000s that weren’t considered collectible in their time—or even forecast to become so—have gained collector status thanks to an affluent audience of car enthusiasts now in their 30s and 40s. The new vanguard is searching (and pining) for the cars they aspired to own when they were teenagers. Take 34-year-old Angus Dykman, for example. Now a specialist at the California-based classic car auction firm Gooding & Co., Dykman recalls being smitten by a 2004 BMW M3. As a 16-year-old kid, he would go to BMW dealerships just to sit in that car—and he’s considered buying one for years. Until recently, he saw good examples for less than $30,000, but now the same cars are selling for $50,000 and up, depending on their mileage, authenticity, and original paint color, Dykman says. Modern M3s are far from the only models emerging as collector cars. In 2021, RM Sotheby’s sold a 1995 Nissan Skyline GTR for $235,200. In 2020, the auction house presided over the sale of a 1993 Toyota Supra Twin Turbo Sport Roof that exchanged hands for $176,000 and a 2004 Acura NSX-T that brought $154,000. In some cases, a modern classic’s popularity surges because a manufacturer has reintroduced the same model after a multiyear absence but with less-than- stellar results. Michael Lorber , licensed associate real estate broker for Douglas Elliman, has owned vintage FJ Cruisers, Ford Broncos, and Jeep Wagoneers over the years, but he didn’t stumble onto them by chance. Instead, the 42-year-old sought out the cars after first driving the newest iterations that had returned to the market. “The new ones are always a bit disappointing,” he says. “Everyone gets excited because it sparks an interest in getting the car that you always wanted, but it has no charm or history. That’s what’s drawn me to the vintage market.” One of Lorber’s most cherished automotive treasures is a 1997 Land Rover Defender 90—a model he says is always in demand, especially in markets like the Hamptons, Palm Beach, and Nantucket. “They are perfect, year-round beach cruisers,” he says. “In [beach] markets, they’re always the most sought-after car. I wouldn’t be surprised to see one selling for $200,000. My Defender 90 is probably worth about $157,000, but it has nostalgia currency. It’s actually my second one because I love them so much.” This 1993 Toyota Supra Twin Turbo in Renaissance Red with a sport roof recently sold at auction for $176,000 (PHOTO: JONATHAN OPPENHEIM COURTESY OF RM SOTHEBY’S) BUYING THE BEST Thinking of buying a modern classic? Experts advise prospective collectors to focus on two key factors: originality and mileage. According to Dykman, you’ll never go astray if you buy the very best example of the car that you can afford. “In the end, buying the thing that seems like a deal means you’re always going to be upside down,” he says. By contrast, “You’re always able to resell the absolute best. Those always command a premium.” Buyers should also give equal consideration to the interior and the exterior. Original paint jobs (in good condition), especially if they’re an interesting color, always command top dollar. Low-mileage vehicles carry the greatest value initially, though as a car ages, its mileage becomes a bit less important. Of course, some collectors don’t worry about the mileage their cars accrue, especially during the time in which they own them. Take Andrew Anderson , a licensed associate real estate broker for Douglas Elliman who recently moved out of Manhattan after living in the city for 20 years. For the better part of two decades, trucks and SUVs would catch his eye, but he knew he didn’t have the space or the ability to use them, so he never had the opportunity to enjoy the vehicles behind the wheel. Since moving to New Jersey four years ago, he has made up for lost time by buying vintage Range Rovers and Broncos (among other models) from the ’80s and ’90s, but with the intention of owning and enjoying them for just a few years. Then he sells them to make room for the next modern classic that’s on his list or catches his eye. “I don’t own a modern car,” Anderson explains. “My classics aren’t kept in a garage and babied; they’re my daily drivers. That’s how I enjoy them.” While younger collectors kickstarted the interest in modern classics, they aren’t the only enthusiasts contributing to the trend today. Established car collectors, too, are noting what’s in demand, and many are refocusing their interests accordingly. “Older collectors are getting hip to the fact that there is going to be a demographic shift, and maybe the cars from the 1930s aren’t going to be the height of collecting anymore,” says Dykman. As a result, those striving to keep their collections relevant for the future are realizing it’s wise to include modern classics. “From an investment standpoint, you want a diversified portfolio,” Dykman says. “You might love cars from the ’30s and ’40s or American cars from the ’50s, but you might decide that it’s smart to get some newer cars as well, as a future investment. People are always trying to spot the next big thing and get out in front of it.” The iconic Nissan Skyline GTR has become a classic. One 1999 example fetched close to $400,000 at auction (PHOTO: RON KIMBALLKIMBALL STOCK) FOLLOWING YOUR HEART Considering whether a collectible car’s value is likely to increase down the road makes good business sense. But Jackson discourages any enthusiast—experienced or novice—from using it as the primary factor when buying. “Don’t buy cars just because you think they’re going to make money,” he says. “Buy cars that you love. When people do it for the purist reason, they’re rewarded because their passion is guiding their instincts.” That approach has paid off well for Lorber. When you slide behind the wheel of a modern classic, “You learn what it’s like to drive a car from 1989 or 1971—the smell and the feel,” he says. “You get to see what it was like to drive a car from another era. It’s like a time machine.”