A buyer silly enough to give him what Forbes---now---thinks the team is worth. I don't have the time to check, but I wonder what Forbes thought the valuation of the Rockets was in the couple of years before Fertitta bought the team? Given I've read there that the average value of each NBA franchise has gone up something silly like 40 percent in the last three years, Forbes's guess about the Rockets value right before Fertitta bought the team was probably nowhere near 2.2 billion dollars. Yet that's what the team sold for because Tillman Fertitta really, really wanted to buy it. Hard to do valuation analysis when transferring events only happen two-three times a decade. As to why the Knicks are worth as much as they are, how does an NBA franchise make money? Is it gate, and are New Yorkers willing to pay higher suite and seat prices than, say, Portland? Do the Knicks also own their arena or own the revenue streams from that arena? Do they have their own TV deal, and separate revenue from that? Lot of things separate different NBA teams in different markets that have little to do with their W/L record.
I have no questions about why New York is so high - I just wonder why they're #1, and how they went up 600 million from 2019 lol. I figured first place would be the Lakers. They have tradition, they had Kobe, they have LeBron and yet NY > LA.
someone plz sent this link to Tilmans so he can sell this team right now! tell him to sell high and never buy back again.
I read somewhere a few years ago, that Forbes routinely UNDERvalues the price of NBA franchise and in reality they are worth more than reported. Yes the Knicks own also the arena which must have played a big role in this evaluation. They don't even have to rely on angry Knicks fans..half the seats are filled with tourists.
They own the arena that also hosts ..I think a professional hokey team or something and they get high rent from that. And also they have a MSG network or something. The Lakers may be the most popular team and have the most lucrative local tv deal, but as far I hear the Buss family is mainly dependant on them to make an earning and financially there is no comparison on the team's assets.
Consider that Dolan also is the CEO of the Madison Square Garden Company---which still owns the Knicks, and Rangers---and that the Garden per its wiki, was the 2nd highest grossing concert arena in the world. There's also the MSG Networks' revenue stream. It's hard to break off what portion of value of those resources belongs to the Knicks by itself. Further, the Garden is in the heart of Lower Manhattan. If they wanted to tear it down for whatever reason, the land by itself would be worth an immense amount of money. Anyway, those are reasons I can see why the Knicks are valued as highly as Forbes values them.
I'm sure the various NBA owners love hearing things like that from Forbes. What sounds more likely: everyone around the world got really interested in basketball, enough to raise individual franchise values 40 percent in three years? Or one lunatic buyer decided to make a splash in an illiquid market, and skyrocketed the baseline comparison for valuation? Further, now Forbes won't want to insult the other 29 ownership groups by saying their teams aren't as valuable as this lunatic's purchase would have them think. It's a ratcheting-up pricing mechanism that all parties are interested in not letting fall.
Which is a 33 percent jump then to get to the 2.2 billion he paid for them. I've heard of a buyer's premium, but that's a bit steep. Thanks for the hard data point.
Have a look at their ticket prices. Knicks can field a high school team and people will still come to the arena and pay a premium to watch them. It's the Garden. Although to be fair, that high school team, would probably play better than the current Knicks team as well.
Or the owners would never erase tradition for foreign dollars we won two championships wearing red and yellow then the owner changed the logo and colors we have won nothing after that plus sending the greatest rocket to Canada because he was too cheap to pay thank you money is a sin Lakers owner made sure Kobe and Magic never left
Les is gone he had his short coming, Tilman isn’t that much greater than Les. We’ll see how Tilman treats harden after this current contract expires. He’s the 2nd best rocket of all time.
