The Art Gallery Situation in LA

Suzanne Muchnicof the LA Times recently ran a good article stating the current status of the art market in Los Angeles. The Economy has taken its toll on dealers and galleries, yet many find a way to reduce exposure and risk and continue in business. I can attest to doing the same with my two antique galleries in Old Town Alexandria. Although sales of inventory has been very slow this summer, appraisal work and calls from potential clients has been strong.

There is some optimism in the LA Times article, noting that long time dealers with established reputations will be able to weather the current economic downturn. The article states several galleries are moving and expanding, so there is hope. The article also notes a Wall Street Journal quote that contemporary art prices have fallen close to 30%.

Muchnicof states Sales have all but dried up for many L.A. area dealers, quite a few galleries have closed and others have downsized. But in a period of retrenchment and reshuffling, solidly established dealers are soldiering on with tightened belts, and a surprising number of galleries are growing, with the help of reduced rent. Unsettling as the current economic climate is, the expansions seem to confirm the resilience of L.A.'s art scene. "It has been a tough time," says George Stern, a board member of the Art Dealers Assn. of California. "Clients sense that it's a buyer's market and rightly so. But I'm optimistic. Professional dealers who have been around for a long time seem to be weathering through this."

Muchnicof continues All this action doesn't mean the galleries are sailing through the recession unscathed. As veteran dealer Margo Leavin puts it: "This has been a big hit, a really big hit. There isn't an art institution that hasn't been affected."

Artscene, a monthly guide, lists more than 600 showcases in Los Angeles and adjacent communities, but dozens of galleries have moved or reorganized. At least 20 others have folded in the last year or so, including Ann Helwing, Lizabeth Oliveria and D.E.N. in Culver City; and Mary Goldman, Black Dragon, the Project and Mesler & Hug in Chinatown.

To read the full LA Times article, click HERE.