Detroit art collection worth more than $4 billion

Photo: Cubby T Bear

The city's bankruptcy case continues, as Detroit attempts to find ways to reduce its deficit. Artvest Partners, who were hired to evaluate the Detroit Institute of Arts' collection found that it is worth between $2.8 billion and $4.6 billion.

While that may sound like a lot in theory, though, selling it would be far harder challenge in practice, with many pieces donated to the museum. If only the 2,781 pieces purchased by city funds were sold on, it would raise between $454 million and $867 million. Even if the entire emount was sold, it would bring in just $900,000 to $1.8 billion, added Artvest.

Michael Plummer of the firm said that selling the most valuable assets quickly would contribute to the devaluation of the pieces, passing the returns and value onto third parties, who could sell them in a "strategic fashion over a multi-year time frame".

He also concluded that selling the museum's most valuable art could also spell the end of the institute, depriving it of its main attractions and "drastically [reducing] attendance".

The trial to determine Detroit's debt plan will begin next month in the USA. The case, though, is already costing taxpayers "millions" in legal and consulting fees, reports MLive.

Indeed, a May court filing shows that the first six months of the case, which started last year, has cost more than $36 million. One witness hired to evaluate the debt adjustment plan will add $500,000 to the bill - while Artvest alone carry a hefty fee of $112,500.