Falcon Fine Art Introduces Finance Borrowing Initiative Against Works Of Art
Tim Hunter the former Director of Impressionist and Modern Art at Christie's is spearheading Falcon Fine Art, a Fine Art subsidiary of the Falcon Group aimed at offering financial innovation to this under-utilised asset. The Falcon Group has established Falcon Fine Art (FFA) – a new division of the group aimed at enabling high-net-worth individuals to raise finance against works of fine art. In many cases FFA allows collectors to retain possession of their artwork.
Focusing on Old Master, Impressionist and Modern, and Post-War art, FFA leverages Falcon Group’s 20-plus years of structured financing and asset-based lending expertise to offer a unique formula for art financing that allows collectors to generate liquidity while eliminating the need to sell the work. Unlike many of its competitors, FFA finances art using its own balance sheet, doing so purely on an asset-backed basis. This means FFA does not influence or manage collectors’ portfolios.
“Art is a resilient and highly valued asset class,” explains Kamel Alzarka, Chairman of Falcon Group. “Many high-net-worth individuals have these assets – perhaps purchased as an investment, or simply for pleasure – hanging on their walls. FFA allows them, in most cases, to keep the art on their walls, but also tap its value. We are experts at taking individual clients and creating imaginative solutions to suit their needs. I am therefore very excited about what we can offer the art financing industry through FFA.”
Joining as Vice President of Falcon Fine Art Dr. Hunter was a Director at Gurr Johns Ltd – one of the UK’s leading art advisory firms. Previously, he had spent 16 years at Christie’s International Auction House, holding positions as Senior Director in the Old Master and British Picture Department, Head of 19th Century European Art, and Director of Impressionist and Modern Art. He regularly sits on the Reviewing Committee for the Export of Works of Art, and acts as an adviser to several national museums as well as the Arts Council. In 2014, Hunter was elected a Fellow of the Society of Antiquaries. Hunter brings his extensive knowledge of the art world to Falcon Fine Art – helping art collectors to maximize and enhance their portfolios.
“Through combining my knowledge of the art world with Falcon Group’s expertise in structured and innovative financing solutions, Falcon Fine Art is able to bring something new and sophisticated to the art market,” explains Hunter. “There is only one Falcon Group; and its unique approach to art financing is what makes Falcon Fine Art such an exciting company to join.”
Falcon Fine Art (FFA), is the trading name of a group of companies to be established to provide financing on a collector by collector basis. A division of specialist financier Falcon Group, it enables clients to raise finance against their art – generating liquidity while eliminating the need to sell the work. Falcon Group acts as an alternative source of innovative structured solutions for corporates and financial institutions globally. It develops bespoke structures to finance, supply chain or working capital requirements for its diverse customer base.
The Falcon Group, established in 1996, has developed a proven and respected track-record – providing in excess of US$7 billion in funding for its clients in the past five years. Falcon goes beyond off-the-shelf solutions – providing advice to facilitate and fund tailored and creative structured solutions. It uses a wide range of innovative structures for solving liquidity issues including credit risk, working capital and balance sheet concerns. Its expertise is in structuring bespoke solutions for its clients, which means it has no prerequisite structuring boundaries. Its solutions range from plain vanilla, to highly structured and complex transactions that utilize the Group’s many years of collective experience.