If Las Vegas is to attract an NBA expansion team, it will cost local owners billions of dollars.
ESPN cited unnamed sources that the expansion fee for each of the two teams will be in the vicinity of $ 2.5 billion.
That would be more than the $ 1.66 billion Utah Jazz sold last month. The Minnesota Timberwolves that are in the market are valued between $ 1.3 billion and $ 1.5 billion, according to ESPN.
The NBA expansion became a topic when League Commissioner Adam Silver answered a question during a media session in December. He’s careful with his words, so the fact that Silver believed the subject raised an eyebrow.
“We invested a little more time than we did before the pandemic,” Silver said at the time. “But certainly not to the point where expansion is at the forefront.”
Silver specifically talked about bringing back to Seattle an NBA team that is renovating the Climate Pledge Arena for $ 930 million, according to the Seattle Times.
Las Vegas is often mentioned in reports as the second city to be invited, with Mexico City likely being the best contender for a spot. The NBA set up a G League team in Mexico City that was due to debut this season, but the COVID-19 pandemic forced the entire league to move to the Disney World complex near Orlando, Florida.
Las Vegas Mayor Carolyn Goodman spoke to Silver last month and said the commissioner had not had a single conversation with any potential location for expansion. A mayor’s spokesman said Thursday there was no update from the end of town.
While an NBA expansion seems inevitable, it doesn’t seem imminent.
For one thing, there is no pressure to act quickly. The NBA had enough money to provide the 30 teams with $ 30 million apiece, the Sports Business Journal reported, to make up for lost revenue from having no fans at games. According to The Associated Press, despite a lack of projected revenue, that kind of generosity managed to distribute $ 1.5 billion last season.
Some teams are in locations with milder city and state restrictions on fan participation, and the fact that they are still playing without the crowds shows that the NBA is not desperate to pursue expansion fees at this point .
Contact reporter Mark Anderson at [email protected] Follow @ markanderson65 on Twitter.