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I was really surprised by that.... I am not sure what the cause is because TV revenue is crazy high now. I know the players are earning a hell of a lot more but to me it still doesnt make sense.
It's for the prestige. Heck if I had the money I'd buy an nba team even if the rate of return was close to 0%, I just need it to fund its own operations I don't need a profit
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Yeah, a lot of vanity premium in there.
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Is it vanity or is it that the expansion cost would easily be $5 billion plus. I mean Arizona's possible hockey team is going to cost a billy that why the owner got that much in the sale. Even WNBA teams are getting $500-600 million expansion fees
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Toronto paid 115M for an expansion wnba team, which is still completely ridiculous.
Not sure what an expansion nba team would go for. I would guess if the avg team value is 4B, probably somewhere around there. Maybe a bit less.
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I’m just checked I was thinking the soccer expansions! With the WNBA though while Toronto paid 115 Austin is expected to hit 200… wild jump there alone
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200M to guarantee to lose money. Haha
EBITDA/revenue isn’t bad considering players get 50% but teams valued at 40-50 times earnings is quite the premium.
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