Two prominent NYC art galleries close within days of each other

Two prominent New York art galleries announced their closures within days of each other this week, marking the latest chapter in a challenging period for the art world. Kasmin Gallery, a Manhattan institution for 35 years, and Clearing Gallery, which operated spaces in New York and Los Angeles for 14 years, both shuttered their operations citing different reasons but similar market pressures.

Kasmin Gallery announced its closure on August 6, with plans for its president Nicholas Olney and head of sales Eric Gleason to launch a new venture called Olney Gleason Gallery this fall. The gallery, founded by British art dealer Paul Kasmin in 1989, represented more than 100 artists during its run, including Joel Shapiro, Diana Al-Hadid, and the estates of Jackson Pollock and William N. Copley. According to Artsy, the decision was made "in close collaboration" with Kasmin's estate after conversations that began before the founder's death in 2020.ocula+2

One day later, Clearing Gallery founder Olivier Babin announced his gallery's immediate closure via Instagram, citing "no viable path forward" for the business. In an interview with The Art Newspaper, Babin said the gallery was "crushed by the overheads," pointing to rising costs for rent, shipping, and art fairs alongside declining revenues. The gallery's move from Bushwick to a more expensive Bowery space in 2023, just as the art market began slowing, proved particularly damaging.artsy+2

Market Downturn Hits Mid-Tier Galleries

Global art sales plummeted to $57.5 billion in 2024, representing a 12% decline from the previous year, with the high-end market experiencing particularly steep drops. Fine art works sold at auction for over $10 million fell by 39% in 2024, while overall auction sales decreased approximately 25% amid global volatility.theartnewspaper+1

The broader market contraction has disproportionately affected mid-sized galleries, which lack the financial cushion of mega-galleries like Gagosian or David Zwirner. Since 2023, New York has witnessed more than a dozen gallery closures, including establishments that had operated for decades, according to research by the legal blog Its Art Law. Venus Over Manhattan shuttered in July after founder Adam Lindemann announced his return to collecting, while Tim Blum closed his Los Angeles and Tokyo galleries, citing burnout rather than financial pressures.youtube+1

Industry Consolidation Continues

The closures reflect deeper structural challenges facing mid-sized galleries. Babin told The Art Newspaper that "everyone's suffering right now," describing the financial squeeze of rising fixed costs and plummeting revenues. The traditional gallery model has come under pressure from online sales platforms, reduced foot traffic, and the increasing dominance of mega-galleries with deeper resources.theartnewspaper

Despite the closures, some continuity remains. Olney Gleason Gallery will represent several artists from Kasmin's roster, though specific details haven't been disclosed. Babin, meanwhile, ruled out joining a larger gallery as a sales director, telling The Art Newspaper he wants to "stay a wild animal" rather than "become like a lap dog".artsy+1

The wave of closures leaves dozens of gallery workers unemployed and numerous artists seeking new representation at a time when fewer mid-tier galleries are able to take on new artists or maintain existing rosters.