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Lakers News: Team’s Estimated Value Increased After Clippers Sale Reviewed by Momizat on . As long as everything goes according to plan, the Los Angeles Clippers will be under new ownership after the Donald Sterling scandal forced the sale of the NBA As long as everything goes according to plan, the Los Angeles Clippers will be under new ownership after the Donald Sterling scandal forced the sale of the NBA Rating: 0
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Lakers News: Team’s Estimated Value Increased After Clippers Sale

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As long as everything goes according to plan, the Los Angeles Clippers will be under new ownership after the Donald Sterling scandal forced the sale of the NBA franchise to former Microsoft CEO Steve Ballmer.

The Clippers will be sold for the record-breaking price of $2 billion setting a precedent for all future sales of sports franchises in the United States.

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With the Clippers selling for $2 billion, many have debated how much some of the top tiers franchises in the NBA would sell for. Recently, Forbes did their annual estimated values of all 30 of the NBA franchises with the New York Knicks at the top of the list at $1.4 billion.

It’s no surprise that the Knicks would be valued over a billion with the Los Angeles Lakers just behind New York at $1.35 billion, but the Clippers were valued at $575 million and sold for considerably more.

As a result of the Clippers selling for much more than anticipated, the value of the Lakers franchise might have gone through the roof. Here’s a chart of the projected values after the sale of the Clippers, according to BusinessInsiders.com:

Lakers Value

With the Buss family letting it be known that they’ve got no intention to sell the team, the Lakers might not be on the market anytime soon.

It would be interesting to see what kind of bids the Lakers franchise would receive if the team was up for sale. The Lakers would likely get numerous bids that could surpass $5 billion. The franchise is arguably the most popular of the 30 in the league and has a fan base that spans worldwide.

There’s a good chance that we may never know the true value of the storied franchise with Jeanie Buss and company intent on keeping it in the family.
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  • CCX

    It’s more like if the Clippers are worth $2-billion then the Lakers are worth $20-billion!

    • Yacht Boy

      If Jim Buss is smart he should make the Lakers really good again.Load up the roster and hire a big time coach then start winning like 56-58 games for the next 3 years and then boom the Lakers will be well respected again and a contender then boom sell the Lakers to the highest bidder.That is exactly what the Clippers ownership led by Sterling did unknowingly.They made the Clippers a desirable team to purchase all in a 3 year span.The Clippers team was only worth a estimated $300 million dollars in 2009 according to media reports.Then the Clippers built a winner with Chris Paul and Blake Griffin and the very strong supporting cast and now Doc Rivers as coach and bang they just got sold for $2 billion dollars.Call me silly but due to the Lakers weak overpaid roster and no coach in place and bad management currently because the FO is not spending in the right places the Lakers might get low balled in the event of a sale.It’s just how this stuff works the roster and coach must be good to make a big return on a team sale.Doormat bottom feeders never tend to sell for too much regardless of the team name or championship banners.

      It’s what have you done for me lately world that we all live in.So once again if Jim Buss and the rest of the Buss family want to make a few billion dollars on a Lakers team sale.I suggest they immediately start making the into a watchable winning team,forget the damn past already.

      Yes the Lakers can become a great team that can compete for a championship and a guaranteed playoffs spot in the top 4 in the west win the division and i also strongly suggest they create a team that is fun and exciting to watch the lob city dunk fest seems to be a favorite of most NBA fans these days,the Lakers need to follow the Clippers path to riches in the amount of $2 billion dollars.Is Jim Buss smart enough though?It’s a major loss when a team sucks,Lakers better get much better before they put the team up for sale.Take notes Jim Buss and the Lakers FO.Sell when you’re a hot commodity.

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  • ra

    That’s probably just the ‘team’ value. The Lakers brand is worth ‘much more’, especially world-wide. Amazing that the players salaries (total) is less than 100million, and the team is worth probably 10 times that amount.

    So, don’t EVER feel sorry for owners who have to sell their team. I’m sure that, not even the players feel sorry for them.

    • Jim213

      Players will likely demand a bigger piece of the pie too so the salary cap may rise a little down the road. Both sides (owners/NBPA) may opt out of the agreement in 2016-2017 tho a notice must be given by 12/15/16.

      • cj

        with the rise in team value the cap should also go up.

        • http://www.foxhilldesign.com Josh

          The cap is tied to league-wide income, not how much one person is willing to overpay based on his perceived future value of one team.

          • cj

            and with the team values going up because of this sale the leagues margins should also go up.

      • ra

        and, this ‘factor of 10′ in return for the worth of the team makes the Sterling comments even more despicable.

        I even ‘have a feeling’ that the owners played down team worths to reduce the cap. I know they’re trying to avoid having the NBA like MLB, where players get a bigger chunk of the take, but they can just make the cap larger – but still have a cap. Kobe was able to get paid at least more what he was worth, than LeBron, who (because of cap), had to take a pay cut. Also, they wanted to keep big markets (like LA) from just routinely acquiring top players. League parity. What a joke.

        The League is ‘driven’ by the following teams: Lakers-Celtics-Knicks (even though the Knicks have had trouble, they are a ‘big-market’ team). These teams drive the ‘interest’ and the excitement of the games UP. The league parity doesn’t help in the NBA. (and the Heat are only big because of LeBron).

        The Sterling fiasco has helped to escalate the issue of ‘ownership’, team worth, the state of the NBA, etc.

        • Jim213

          Good points, but to the benefit of the players foremost. Don’t forget the Bulls too as if the deal for the Clipps goes through it’s likely that the NBPA would opt out of the CBA deal down the line otherwise they’d have to wait until 2021 to renegotiate.

  • Rigged4fun

    May I remind the author that a team’s worth is only what someone will agree to pay at time of sale. Because Ballmer spent all that money doesn’t mean anyone else will.

    • cj

      my i remind you this is not the author stating there value this is based off of forbes

    • Linkdeville

      Au contraire Mon friar, it will effect EVERY team’s value. Think about it, all owners will salivate over this sale, because it automatically gives them a unjustified bargaining chip. The Clippers have zero (0) championships and because of a controversy they are presumably going to sell for an astronomical price. Now imagine what the Lakers, Celtics, or Knicks would cost if sold? Crazy money…

      • Rigged4fun

        Nice respondez mon ami, however you can argue until you’re blue but unless you have a buyer who will pay that inflated price then you have only paper estimations. Look at the stock market it’s an example of inflated entities that eventually find a equilibrium price. No one is going to pay 2 billion for an enterprise that can’t make its bills. Sure people like Ballmer who evidently has the cash to buy expensive toys but they are far and few between.

        • Linkdeville

          You are absolutely right…there will be only paper estimations. However, I believe ALL of the other owners are watching this deal like vultures on a power line. If this deal goes through nothing is going to stop them from going after equivalent asking prices if not higher. In addition, there are quite a few billionaires…most of which we may have never heard of. For example, the sheiks in Abu Dhabi. If those guys decide to get involved in investments like this, a $2 bil purchase will be a piece of cake. I have been there and saw “how they roll” 1st hand. It could happen, but as hard as it is to make expendable cash I just pray it does not.

    • comrade24

      no, it doesn’t increase the “real” value of any other franchise, but what it does is increase the Buss family’s net worth. This means that any loans, financing that the Buss children pursue can be backed by $4.5 billion in collateral vs 1.5 billion in collateral. (that would of course be if the Buss’ owned 100% percent of the team, which they don’t. i believe the family owns around 66% of the franchise between them) Without actually having to do anything besides sit and laugh their asses off at their racist co-tenant, they increased their buying power three fold.

      • Rigged4fun

        Sorry comrade24 you’re in a fantasy world. Their leverage is not based on some inflated value, but on the assessment of the team’s assets and revenue at the time of the loan. It’s a good idea but not feasible.

  • purp& goldpride

    The buss family can get a legit 5-6 BILLION for the Lakers. If someone will pay $2 bil for the clips, the Lakers, knicks , bulls & celtics can easily top that by at least another billion.

    • cj

      if the lakers were for sale they would sale for closer to 10 bill

    • pcf

      i doubt the buss family would ever sell the lakers since its a family bizness and all of them work there…p

  • Jim213

    Basketball is the most popular US exported sport globally. However, what does that say for the other valued sport franchise’s like Real Madrid ($3.3 billion), Manchester United ($3.165 billion), and Barcelona ($2.6 billion)? Being world football is the most popular global sport their value may rise somewhat IMO.

    • cj

      it also has to do with the clippers getting a new tv deal soon

  • Godfrey Uche

    The Lakers might worth $50-billion.

  • what a joke

    how are the knicks anything…… msg who cares, literally best ever for the knick Bernard king who?

    • Real

      Exactly idk how the Knicks are so popular so what they play in New York but I believe ppl are valuing the franchise base of them being in Madison square garden since it has so much history without that it’s worth 2.25 dollars

  • Daryl Peek

    This Sterling buffoonery is creating a housing market like bubble in the valuation of sports franchises. If NBA teams are now coming in at these numbers, imagine how baseball and football teams valuations are gonna explode? These numbers are well over a 300% increase in value over night!

    • Linkdeville

      Great point Sir. We are witnessing the end of professional sporting events attendance affordability.

  • Linkdeville

    This is EXACTLY what I feared would happen. If the Clippers sale at $2 bil goes through, this could create a serious increase in the price of tickets, etc. I really think the league should set up a value for each team based on their own analysis. That way, the sale of a team cannot be over inflated beyond reason. I mean all Sterling paid for the team was approx. $12 mil or so. Isn’t $575 mil enough of a profit margin? This will hurt everyone…just wait.

    • comrade24

      it’s also pretty much rewarding this asshole for being a racist. Here, you bought something for 12 million dollars and since you’re a pathetic racist, to punish you we’re going to force you to sell it for 1.88 billion dollar profit. If only the working class was punished this way.

  • LAKERS4LIFE

    I’m glad that a new owner is in place for the chippers now build them there own arena get them the fuck out our house time to build you own brand scrubs

    • comrade24

      yeah, i was really hoping since Ballmer is from Seattle that he would move the team, rename them, and erase the Flipper brand from history but there’s no chance of that because he would lose a TON of money in tv deals, not to mention merch etc by moving the team. :( San Diego is nice though Ballmer. hint hint

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