When is a new Ferrari worth four times its retail price?
When the proceeds go to charity.
Ferrari auctioned off the very first F12 Berlinetta over the weekend for $1.125 million – almost four times the list price of $315,888. The proceeds went to the American Red Cross to help communities affected by Superstorm Sandy.
Larry Roth, a philanthropist based on Long Island, bought the car at the Formula One Grand Prix in Austin, Texas over the weekend. (Read more: For Now, Rich Sit on Wallets in Sandy's Wake)
The F12 is the most powerful production Ferrari ever sold, with a V12 engine that helps the car reach a top speed of 211 mph.
Combined with contributions from dealers, clients and “friends” of Ferrari, the sale of the Berlinetta put the amount Ferrari, a division of Fiat, has raised for Sandy charities at more than $1.5 million.
Roth, who lives in Great Neck, NY, made his fortune from starting an eye-glasses business, which he sold in 2008. He said that he already owns two Ferraris – a 599 GTO and a 2013 458 Spyder he received a month ago.
He said he didn’t plan on getting another Ferrari, but had already planned to attend the Formula One race in Texas. When he found out that the Ferrari sale was benefitting Sandy victims, he felt he had to bid.
“I had no intentions of purchasing another Ferrari,” he said. “But I had so many friends and people I knew who were impacted, I thought this was a great way to help.”
He said that he originally planned to bid no more than $1 million, "but when I got in the auction, my wife and I decided we would bid whatever it took to win.”
Roth gets an added benefit with his gift. While other buyers of the F12 Berlinetta will have to wait two years for their cars, Roth will get his in the second quarter of 2013.
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He donated over a million dollars, got a Ferrari out of it but still a generous donation!
v1/comments/context/cff35135-1a8c-35a0-b3b8-1afd73f89acc/comment/1353443381879-b006a3d6-f48a-4248-8e43-f4b61d492490Buck E. Wheat •
I'm so sick of people always being so negative and saying something nasty instead of keeping their mouths shut. The guy obviously has the money to spend on a car like this and spent the extra money to help the victims of Hurricane Sandy. Even if he didn't lift a finger to do manual work to help these people he has done more then the majority of Hollywood stars and professional athletes out there.
I did not bid on it because I could not afford one months insurance on it.
Yahoo!, why say he overpaid for his Ferrari??? He knew how much it was worth and he knew it was for a good cause...
Overpaying for something sounds so negative, while this was for a good cause.
Yahoo!, please hire some REAL professionals...
The amount that he "overpaid" is about equal to the Red Cross CEO's salary.
GR, good comment.. I don't give them a thing, because of those mega-sals
"The very first F12 Berlinetta" serial number 0001 on the fastest production Ferrari ever built?
For you talking about the charitable 1%ers, you must not know much about cars. I ain't player hate'n! Good for him!!! And good for the cause!!!! but lets not make this into something it's not.
And how much of the 1.25 million will go to management?
After Katrina all the misspending by Red Cross came to light. Then everyone ignores it now, give them millions and they will build new offices. Salvation army has yet to be found that they misspend. They actually help in lot more locations, seems like they are the quiet angel.
v1/comments/context/cff35135-1a8c-35a0-b3b8-1afd73f89acc/comment/1353523958720-c42abde2-248f-4ad9-a277-02b3f03bcc25Road Rash •
By buying this Ferrari, he gets to keep the car and write the purchase off as a donation....(Smart guy)
Thanks Ferrari for your generosity in donating the car and all that went with it.
Hey, I could use some help dealing with Sandy too Larry. I'll sell you my 89 Olds and you can use it till your Ferrari comes in 2 years.. Thanks!
He still has to wait 6 months for the car? What about the car that was on display? lame.
Thank god for rich people. They're not all #$%$ you know
I want mine to have fangs on the front.
Oh, man, what a beauty, what a beautiful car, of course "italian" design,......when it come to automobiles and car-design there are only the "italians" and the "germans",......that's it !!!
To all you stupid people, No, He does not get to write the amount he paid for the car as a donation... When you get something "Of Value" in return for your donation, you cannot write it off... PERHAPS he will get to write-off the difference that he paid, and the car's FMV - as a charitable donation... BUT, BUT, that will send up all sorts of red flags at the IRS - BECAUSE to establish the FMV of an item, especially a one of a kind like this - others not to be available for two years, is nearly impossible - and the IRS often depends on what similar things bring at auction for establishment of their FMV... In this case, the full amount that he paid at auction... Good Job by Ferrari and by this buyer - hats off to both...
v1/comments/context/cff35135-1a8c-35a0-b3b8-1afd73f89acc/comment/1353458221666-44ef84c4-2847-4f93-b61f-9f2c115112b3Sports Fan •
Stupid question here, but since the auction was for charity... can he claim the bid amount as a tax deduction for charitable donations? I don't know how that would work with something this size... anyone a specialist in tax laws that would know the answer to that one?
v1/comments/context/cff35135-1a8c-35a0-b3b8-1afd73f89acc/comment/1353440560514-6d1b5dc9-7974-4bc1-879b-aeda7d82204fE rock •
That car is HOT!!!!!!!!!!!!!!!
v1/comments/context/cff35135-1a8c-35a0-b3b8-1afd73f89acc/comment/1353439182036-5ed81667-b552-4604-8ac4-c4beaa4a9534Steve G •
People need to understand where most of the money donated to the Red Cross goes. The majority goes to the CEO. Only 4.4 cents out of every dollar goes toward the actual cause. Pretty pathetic if you ask me. There are other charities out there that give close to 100% of the money to the actual cause. Later guys.
So, IRS is really mad that less tax could be collected from this guy. Dems are asking rich people to pay their fair share of tax. But you don't see rich people ask poor people to pay fair share of donation.