Forbes: Raptors Worth $920M; 14th in the League

[Joey]

Eleven teams are now worth more than $1 billion, according to Forbes, including Mark Cuban's Dallas Mavericks. Last year, when Forbes valued his team at $765 million, he called it "way too low," saying that his basketball asset was worth more than $1 billion.

The Brooklyn Nets and the Atlanta Hawks -- two teams that are on the market -- are worth $1.5 billion and $825 million respectively.

Michael Jordan hasn't had an easy road as owner of Charlotte's NBA team, but the former great certainly is in a good position financially. What he paid $275 million for five years ago is now worth $725 million, according to Forbes.

Another team that has struggled on the court has also seen its value rise significantly. Josh Harris and his partners paid $280 million less than four years ago for the Philadelphia 76ers. Under his ownership, the team has gone 96-175 (.354), but Forbes said the team is now worth $420 million more than Harris paid for it.
Source

AVERAGE NBA Franchise Value: $1.106B ... WOW

#1 - LA Lakers $2.6B
#2 - NY Knicks $2.5B
#3 - Chicago Bulls $2.0B
#4 - Boston Celtics $1.7B
#5 - LA Clippers $1.6B
#6 - Brooklyn Nets $1.5B
#7 - Golden State $1.3B
#8 - Houston Rockets $1.25B
#9 - Miami Heat $1.175B
#10 - Dallas Mavericks $1.15

#11 - San Antonio Spurs $1B
#12 - Portland Trailblazers
#13 - OKC Thunder

#14 Toronto Raptors

Current value: $920 million
Revenue: $151 million
Operating income: $18 million

The Raptors qualified for the playoffs for the first time since 2008. The team's success fueled a 25% rise in TV viewership and 7% gain in gate receipts. Sponsor revenues moved up to seventh best in the league from 11th. The Raptors sold out season tickets for the 2014-15 season.

Source

.. at least we're worth more than Cleveland ...?

[S.R.]

Crazy that the Spurs, after all the winning they've done in the past 16 years, have essentially the same value as the Raps and are the least valuable of the 3 Texas teams. Championships and generational talents generally boost value, but that franchise is so unique. Marginal fans don't really care about Tim Duncan or the city of San Antonio.

[raptors999]

Crazy that the Spurs, after all the winning they've done in the past 16 years, have essentially the same value as the Raps and are the least valuable of the 3 Texas teams. Championships and generational talents generally boost value, but that franchise is so unique. Marginal fans don't really care about Tim Duncan or the city of San Antonio.

Its TV related

[Primer]

Crazy that the Spurs, after all the winning they've done in the past 16 years, have essentially the same value as the Raps and are the least valuable of the 3 Texas teams. Championships and generational talents generally boost value, but that franchise is so unique. Marginal fans don't really care about Tim Duncan or the city of San Antonio.

It's actually impressive how valuable they are considering how small and unimportant a market San Antonio is. Before you quote the population of the city, their Metro area is only the 25th largest in the country.

[planetmars]

Not sure how Forbes comes up with their estimates. Because you aren't getting the Raptors without also paying for the Leafs.. and in that case the value will be much higher.

[rocwell]

Not sure how Forbes comes up with their estimates. Because you aren't getting the Raptors without also paying for the Leafs.. and in that case the value will be much higher.

Yes, you are. Raps is company's asset, if MLSE decide to sell the Raptors - they'll sell it as an ASSET. Forbes say that this asset is valued at $920M.

[Mack North]

Considering the LA Dodgers sold for over $2B and the Clippers sold for $2B, isn't that what they're worth?

[rocwell]

Considering the LA Dodgers sold for over $2B and the Clippers sold for $2B, isn't that what they're worth?

There are numerous ways to value businesses.

Steve Balmer paid $400M more for the Clipps because of market potential + of course.. he was buying himself a toy.

[Primer]

I don't see an NBA team ever selling for less than the purchase price. Unbelievable investment opportunity if you have a few billion laying around.

[Letter N]

Looks like Rogers/Bell really ripped the teachers off with that deal

[raptors999]

I don't see an NBA team ever selling for less than the purchase price. Unbelievable investment opportunity if you have a few billion laying around.

You also need the cash flow to keep the franchise going until a sale if the team isn't competitive. Can't imagine Sacramento or New Orleans has positive operating budgets

[Primer]

You also need the cash flow to keep the franchise going until a sale if the team isn't competitive. Can't imagine Sacramento or New Orleans has positive operating budgets

You could easily get a loan to cover any budget shortfalls. Any lending institution would give the money knowing the franchise value increases over time regardless of success or anything else (e.g. Philly).
Don't think it would ever be an issue though, seems like the NBA makes sure the buyers are loaded before they let them buy the team. That's why we've been seeing all these Billionaires getting teams instead of ownership groups with a bunch of pathetic millionaires.

[raptors999]

You could easily get a loan to cover any budget shortfalls. Any lending institution would give the money knowing the franchise value increases over time regardless of success or anything else (e.g. Philly).
Don't think it would ever be an issue though, seems like the NBA makes sure the buyers are loaded before they let them buy the team. That's why we've been seeing all these Billionaires getting teams instead of ownership groups with a bunch of pathetic millionaires.

You have to make loan payments. Being in the red operationally and then taking a loan is a recipe for insolvency. Its what caused the housing crisis in the US - cash crunch.

[rocwell]

In times like today, you would only buy an NBA franchise for fun. Maybe in 20-30 years you'll make hefty profit, but not now. Not anymore.

[Joey]

In times like today, you would only buy an NBA franchise for fun. Maybe in 20-30 years you'll make hefty profit, but not now. Not anymore.

Precisely. You wanted to buy pre-Ballmer.

Ballmer blew up the whole market.


Like when Jodie Meeks gets $20M. Kinda ruins it for all the other buyers. Lol