Spokane man hopes to make millions by selling rare nickel
Michigan
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Spokane, Wash. -- A Spokane businessman is hoping to get millions of dollars by selling a nickel: a rare 1913 Liberty Head nickel.
Bruce Morelan bought the coin, one of only five known to exist, nearly two years ago. He plans to auction it off Tuesday in Orlando, Fla., to raise money to buy other rare coins.
Morelan said the coin has spent the past two years in a bank vault in Spokane.
"I would never keep anything like that at home," said Morelan, chief executive officer of Sesco Northwest, an electrical contractor.
Morelan, 45, paid $4.15 million for the coin and hopes to sell it for as much as $6 million, he said.
"No 1913 has ever sold for less than it was purchased for," Morelan said. "If you know what you are doing and have patience, you can do quite well with rare coins."
The five Liberty Head nickels were minted in Philadelphia 1913 under mysterious circumstances. They were made by mint employees, possibly illegally, just as the transition was being made from the Liberty Head to the Buffalo nickel.
The five coins were kept together until the 1940s. "They were never circulated," Morelan said.
Tens of millions of Liberty Head nickels were struck from 1883 to 1912. They featured a representation of "Miss Liberty" on the front and the Roman numeral "V," for five, on the back.
The government switched to the Buffalo nickel, with an Indian on one side and a bison on the other, in 1913.
Of the five known 1913 Liberty Head nickels, two are in museums and three are in private collections. Morelan used to own one of the others, and sold it aswekk.
The nickel he owns is considered the finest specimen of the five, and in 1996 became the first coin to sell for more than $1 million.
The nickel is known as the Eliasberg Collection specimen, after one of its previous owners, and is considered one of the most famous coins in existence, according to auction documents.
Morelan, well-known in coin-collecting circles, said he is motivated more by interest than money.
"I am primarily a collector," he said. "I like the experience of owning great rarities."
Morelan, who has collected coins since he was a child, is a nuclear engineer by training and a former Navy officer. He worked at the Hanford nuclear reservation in the Tri-Cities before going into business for himself.
The auction will be held at the Renaissance Hotel at Sea World in Orlando, and handled by Stack's, a rare-coin dealer. Bidders can participate in person or by Internet, mail, or telephone.
Bruce Morelan bought the coin, one of only five known to exist, nearly two years ago. He plans to auction it off Tuesday in Orlando, Fla., to raise money to buy other rare coins.
Morelan said the coin has spent the past two years in a bank vault in Spokane.
"I would never keep anything like that at home," said Morelan, chief executive officer of Sesco Northwest, an electrical contractor.
Morelan, 45, paid $4.15 million for the coin and hopes to sell it for as much as $6 million, he said.
"No 1913 has ever sold for less than it was purchased for," Morelan said. "If you know what you are doing and have patience, you can do quite well with rare coins."
The five Liberty Head nickels were minted in Philadelphia 1913 under mysterious circumstances. They were made by mint employees, possibly illegally, just as the transition was being made from the Liberty Head to the Buffalo nickel.
The five coins were kept together until the 1940s. "They were never circulated," Morelan said.
Tens of millions of Liberty Head nickels were struck from 1883 to 1912. They featured a representation of "Miss Liberty" on the front and the Roman numeral "V," for five, on the back.
The government switched to the Buffalo nickel, with an Indian on one side and a bison on the other, in 1913.
Of the five known 1913 Liberty Head nickels, two are in museums and three are in private collections. Morelan used to own one of the others, and sold it aswekk.
The nickel he owns is considered the finest specimen of the five, and in 1996 became the first coin to sell for more than $1 million.
The nickel is known as the Eliasberg Collection specimen, after one of its previous owners, and is considered one of the most famous coins in existence, according to auction documents.
Morelan, well-known in coin-collecting circles, said he is motivated more by interest than money.
"I am primarily a collector," he said. "I like the experience of owning great rarities."
Morelan, who has collected coins since he was a child, is a nuclear engineer by training and a former Navy officer. He worked at the Hanford nuclear reservation in the Tri-Cities before going into business for himself.
The auction will be held at the Renaissance Hotel at Sea World in Orlando, and handled by Stack's, a rare-coin dealer. Bidders can participate in person or by Internet, mail, or telephone.
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Comments
I don't see any mention of Laura or Legend?
<< <i>The auction will be held at the Renaissance Hotel at Sea World in Orlando, and handled by Stack's, a rare-coin dealer. >>
I guess this pretty much assures plenty of 'Big Fish' will be in attendance
Lincoln set Colorless Set
<< <i>some nut. >>
Now that's just one third of the story, Jay
Ken
<< <i>Paid over 4 million dollars for 5 cents ! Geez, whats wrong with the guy ? >>
He couda had a bunch of 3-pc Gold sets, 3-pc Silver, 2006-W BU Gold and Platinum, instead of that fantasy 5 cent coin.
I'll bet he just wants to cash out so he can make a private deal on the 10th Platinum Sets!
Those type of speculators know where the action will be.
And now the precedent is being set - 2 years makes it a collectible, not a speculation. That's all I ever needed to know.
I knew it would happen.
<< <i>"No 1913 has ever sold for less than it was purchased for," Morelan said. "If you know what you are doing and have patience, you can do quite well with rare coins." >>
Hmmmm
Is that statement aimed at collectors? Investors? Speculators?
Sorry, of course I know it was aimed at collectors. Speculators only buy bullion.
<< <i>some nut. >>
Interesting to see some biography of this "nut". That is not at all the biography I had in my mind from his posts.
<< <i>Am I once again mis-informed? Isn't the 1913 Liberty Head Nickel an unauthorized Mint issue, and therefore not really a coin?
And now the precedent is being set - 2 years makes it a collectible, not a speculation. That's all I ever needed to know. >>
If these (counterfeit) things are so collectible...why doesn't anyone want to hold on to them?
If I only had a dollar for every VAM I have...err...nevermind...I do!!
My "Fun With 21D" Die State Collection - QX5 Pics Attached
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<< <i>
<< <i>Am I once again mis-informed? Isn't the 1913 Liberty Head Nickel an unauthorized Mint issue, and therefore not really a coin?
And now the precedent is being set - 2 years makes it a collectible, not a speculation. That's all I ever needed to know. >>
If these (counterfeit) things are so collectible...why doesn't anyone want to hold on to them? >>
I bet people would be more willing to hold on to them if other people didn't want to pay so much more for them. It's just human nature and happens with all kinds of possessions, not just coins. A better question is why are these coins appreciating so much.
<< <i>I got me a nickel in my pocket, maybe he'll pay me a lot for it too. >>
Put purdy colorful colors on it and your chances are better. Also, it can't be modern because investor / collectors don't buy moderns.
<< <i>If these (counterfeit) things are so collectible...why doesn't anyone want to hold on to them? >>
Sir I am shocked by your audacious question. Serious collectors always keep their prizes locked up in bank vaults. Not being able to enjoy them causes them such heartache that they are inspired to " set them free", like a little bird. If it comes back to them at some future date, then they know it was theirs all along.
Or maybe they realize they are holding a ticking time * bomm* and don't want to be the last one holding it. You need nerves of steel to hold something like that for any length of time.
<< <i>Paid over 4 million dollars for 5 cents ! Geez, whats wrong with the guy ?
Ken >>
That's a lot of money for cu/ni crap.
Author! Author!
Best of luck, Spokane man.
Morelan may have been misquoted but here's my "nickels worth." The McDermott nickel did indeed circulate.
Whoever is careless with the truth in small matters cannot be trusted with important matters.
Collector Bruce Morelan, who sold the 1913 Liberty Head, says he enjoyed a 45 percent compound return in only 18 months on that coin.
I guess that was his earlier 1913 nickel.
With all the games played in numismatics (doctoring, crackouts, etc.) anyone who differentiates between collector, investor and speculator is naive. You can't separate them.
<< <i>The McDermott nickel did indeed circulate. >>
That depends on how you define "circulate". He carried it around in his pocket and liked to show it to people, but it was never "spent" in commerce, which is how most would define "circulate".
Russ, NCNE
he's a real nut alright! the kind of nut that can pay over 4 mill for a coin and sit on it for 2 years and it might bring him 10 mill. what a nut!!!!!!!!! i'll call him savvy and one hell of a businessman.
An authorized PCGS dealer, and a contributor to the Red Book.
That depends on how you define "circulate". He carried it around in his pocket and liked to show it to people, but it was never "spent" in commerce, which is how most would define "circulate".
McDermott actually allowed his coin to "circulate" around the room passing from one hand to another. I wonder if anyone ever tried to pull a "switch" on him.
Whoever is careless with the truth in small matters cannot be trusted with important matters.
Bruce is one of the smartest collectors I've ever met. When he does a coin set, he really does it right.
As for the nickel, I think he thinks it's fun to own ultra rarities...but the focus of his efforts is on certain sets...and he is really good at immersing himself in a series, learning everything he can about the coins, and building a great collection.
Good luck to Bruce on the sale of his nickel!
hrh
David is right - my real passion in coins is doing a great set right. But for several years now I've been a nomad - nothing is calling to me. My other passion is owning classic rarities. So I've been biding my time between sets by putting my mark on a few great coins - the 1913 Liberty nickels, an 1876-CC twenty cent piece, an 1827 original quarter, etc. Can't afford to be the next Eliasberg, but the next best thing would be to have owned each great coin at least once.
It's fun, but it's not like doing a set - sooner or later, something will speak to me....
Complete Set of Chopmarked Trade Dollars
Carson City Silver Dollars Complete 1870-1893http://www.pcgs.com/setregistry/showcase.aspx?sc=2722"
Wow, the real McCoy. Hey Bruce, you have the experience that most of us can only hope to watch from afar. But good luck with your collecting.
I knew it would happen.
<< <i>Am I once again mis-informed? Isn't the 1913 Liberty Head Nickel an unauthorized Mint issue, and therefore not really a coin?
And now the precedent is being set - 2 years makes it a collectible, not a speculation. That's all I ever needed to know. >>
Input for your question may be in the following article;
1913 Liberty nickel sales for 3 mil.
Leo
The more qualities observed in a coin, the more desirable that coin becomes!
My Jefferson Nickel Collection
<< <i>Shucks!
David is right - my real passion in coins is doing a great set right. But for several years now I've been a nomad - nothing is calling to me. My other passion is owning classic rarities. So I've been biding my time between sets by putting my mark on a few great coins - the 1913 Liberty nickels, an 1876-CC twenty cent piece, an 1827 original quarter, etc. Can't afford to be the next Eliasberg, but the next best thing would be to have owned each great coin at least once.
It's fun, but it's not like doing a set - sooner or later, something will speak to me.... >>
Well maybe all of the holey holed coins TDN has been looking at lately have been speaking to him?
Such as the Norweb watch fob gold coin!
Perhaps he can do the finest holey holed coin set in the world?
Of course, Lordmarcovan's expertise will be an absolute must!
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Never want to be like papa
Working for the boss every night and day
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