By Richard Chang
NEW YORK, Nov 19 (Reuters) - Boyhood dreams of toy cars that used to cost less than $1 each are now going for enough money to buy the real thing.
A Dodge Wreck truck that toy maker Lesney Matchbox put out in 1965 sold for $6,936.38 on eBay (http://www.ebay.com) on Monday. The usual price for this 3-inch die-cast model is about $15. The real truck costs $2,000 to $3,000.
So why the big premium? The trademark BP (British Petroleum) green and yellow colors on the eBay item are reversed, and the toy has a rare gray hook instead of the common red one.
In the nostalgic world of collecting, where every little nuance draws "oohs!" and "ahs!" that counts big time. Many rare Hot Wheels models are worth $8,000 to $10,000.
Still, that's nothing compared to the record $70,000-plus that Bruce Pascal, a commercial real-estate agent in Washington, D.C., shelled out for a Hot Wheels prototype in 2000 (http://www.redlineprotos.com/home_page.htm).
"I believe Hot Wheels will grow as a hobby and what I paid will look small by comparison. I'm in it for the long haul," said the 42-year-old collector who doesn't plan to sell his Rear Loading Beach Bomb till he's in his 60s.
The pink "Rear Loading Beach Bomb" that Pascal bought is a van with a surfboard sticking out the back window, instead of the side as in the product that finally sold in stores in 1969.
This is the Holy Grail to collectors of Mattel's Hot Wheels brand, which features fantasy cars that have become part of the psyche of American boys' growing years.
"I can't tell you how exponential the enjoyment is of putting $5,000 into a die-cast car than it is to put $5,000 into a mutual fund," Pascal said. Counting the joys, he noted that his Beach Bomb is now on display in the Peterson Automotive Museum in Los Angeles (http://www.petersen.org), landing him a guest spot on "The Tonight Show with Jay Leno" on NBC-TV.
Jim Gallegos, owner of probably the world's largest die-cast car collection, says he has insured his more than 110,000 models for "seven figures." Not bad for toys that cost just 49 cents to 99 cents in the 1960s. Many new ones still retail for about $1, but thousands of older ones are regularly listed on eBay for much more.
"It's been a lot of fun," said Gallegos who, like most collectors, got hooked on die-cast cars as a child and still plays with them, along with his wife and son.
This pervasive social phenomenon began in 1953 when Lesney Products, a British partnership formed by ex-servicemen Leslie Smith and Rodney Smith, sold miniature vehicles in matchbox-sized boxes for 7.5 pence (18 cents). In 1956 Matchbox toys -- realistic versions of actual vehicles -- debuted in the United States and dominated the market until 1968 when Mattel Inc. launched the Hot Wheels brand for fantasy cars.
Lesney introduced its Superfast line to compete, and subsequently added the Rola-Matic Miniatures, Convoy, Sky Busters, Battle Kings and Sea Kings brands. Through several acquisitions, Matchbox became a Mattel brand in 1997.
As die-cast cars grew from being just toys to hot collectibles, especially in the 1990s, many rival brands popped up to satisfy the demand. Clubs sprang up all over the world.
Prices shot up and are still climbing for rare, older models, such as those from Matchbox's Regular Wheels series from 1953-69.
Charlie Mack, who runs the Matchbox USA Club (http://www.charliemackonline.com), recently sold a rare 1962 No. 30 six-wheel Matchbox crane in tan -- rather than the regular silver -- for $10,000 on eBay. A decade ago, it would have cost $600 to $700, estimated the author of "The Encyclopedia of Matchbox Toys" (Schiffer, http://www.schifferbooks.com).
A few months later, though, a less pristine sample of that tan crane sold for just $3,000.
"Condition matters," said Mark Curtis, who administers the member-run Matchbox Community Hall, the largest online message board on the brand (http://www.mboxcommunity.com). He warns that more fakes are showing up as prices continue to escalate for the most desirable models.
The market for new model cars has slowed in the past few years along with the U.S. economy. But manufacturers believe the innate drive among their customers may soon lead them out of the slump.
"It's nostalgia," said Mac Ragan, who manages the Johnny Lightning brand that Playing Mantis started in 1994 (http://www.johnnylightning.com). "We make cars that men from 35 to 60 years old remember when they were growing up. This is a way to bring them back to happier times in childhood."
(This column appears every other week. E-mail any comments to richard.chang(at)reuters.com).