Forbes releases 2015 NBA franchise valuations, Lakers at $2.6 billion top the list

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The NBA’s owners cried poverty during the last round of collective bargaining agreement negotiations, and partly as a result, the league was able to get a much more favorable split of basketball related income in relation to what goes to the players.

After the latest round of franchise valuations that was released by Forbes, it’s going to be extremely difficult for them to try that tactic again.

The average team valuation jumped 74 percent from a season ago, and the average franchise value is now at $1.1 billion.

From Kurt Badenhausen of Forbes:

What do you get when you combine a massive new $24 billion television contract, a nearly six-year bull market in equities creating tremendous wealth, and cheap credit? You get a massive rise in sports franchise values, with the NBA serving as ground zero for the current boom.  The average NBA team is now worth $1.1 billion, 74% more than last year. It is the biggest one-year gain since Forbes began valuing teams in the four major U.S. sports leagues in 1998. …

There are now 11 NBA teams worth at least $1 billion, by our count, compared to three a year ago. The Los Angeles Lakers lead the way at $2.6 billion, up 93% over last year. The Lakers finished with their second worst record in franchise history at 27-55 last season and are faring even worse this year, but the team has the richest local TV deal in the sport: a 20-year, $4 billion contract with Time Warner that kicked off in 2012. …

The collective bargaining agreement signed between players and owners in 2011 has nearly eliminated money-losing teams, barring wild spending sprees on players (see Brooklyn Nets). Under the CBA, the players’ share of basketball related income was reduced from 57% to 50% (it is only around 47% of total revenue when you include all arena revenue streams). Revenue sharing to prop up the low revenue teams more than tripled from $55 million under the old CBA to $232 million last year. The result: the Nets were the only NBA team to lose money last season on an operating basis if you include all arena revenue.

One interesting thing to note, and that’s the fact that certain teams may draw bidding wars that drive the price up well past the current valuations. The Lakers and Knicks, for example, would be prime candidates to sell for hundreds of millions more than their already insanely-high price tag.

There’s a lot to digest, there, but the bottom line seems to be this: No matter what a team’s fiscal year balance sheet may look like (i.e., even if it shows a loss), there’s no denying that owners are making tons of money in the long run by hanging onto an NBA franchise. And don’t think the players won’t notice the next time it’s time to slice up the revenue-sharing pie.

Here’s the complete list, which, for the record, is fairly derided by many in the business each time it’s released.

Rank Team Current Value ($mil) 1-Yr Value Change (%) Debt/Value (%) Revenue ($mil) Operating Income ($mil)
1

Los Angeles Lakers

2,600 93 2 293 104.1
2

New York Knicks

2,500 79 0 278 53.4
3

Chicago Bulls

2,000 100 3 201 65.3
4

Boston Celtics

1,700 94 9 173 54.9
5

Los Angeles Clippers

1,600 178 0 146 20.1
6

Brooklyn Nets

1,500 92 19 212 -99.4
7

Golden State Warriors

1,300 73 12 168 44.9
8

Houston Rockets

1,250 61 8 175 38.0
9

Miami Heat

1,175 53 8 188 12.6
10

Dallas Mavericks

1,150 50 17 168 30.4
11

San Antonio Spurs

1,000 52 8 172 40.9
12

Portland Trail Blazers

940 60 11 153 11.7
13

Oklahoma City Thunder

930 58 15 152 30.8
14

Toronto Raptors

920 77 16 151 17.9
15

Cleveland Cavaliers

915 78 22 149 20.6
16

Phoenix Suns

910 61 20 145 28.2
17

Washington Wizards

900 86 14 143 10.1
18

Orlando Magic

875 56 17 143 20.9
19

Denver Nuggets

855 73 1 136 14.0
20

Utah Jazz

850 62 6 142 32.7
21

Indiana Pacers

830 75 18 139 25.0
22

Atlanta Hawks

825 94 21 133 14.8
23

Detroit Pistons

810 80 23 144 17.6
24

Sacramento Kings

800 45 29 125 8.9
25

Memphis Grizzlies

750 66 23 135 10.5
26

Charlotte Bobcats

725 77 21 130 1.2
27

Philadelphia 76ers

700 49 21 125 24.4
28

New Orleans Pelicans

650 55 19 131 19.0
29

Minnesota Timberwolves

625 45 16 128 6.9
30

Milwaukee Bucks

600 48 29 110 11.5

 

 

James Harden scores 27 as Rockets rout Warriors 107-86

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HOUSTON (AP) James Harden scored 27 points and the Houston Rockets routed the Golden State Warriors 107-86 on Thursday night in a rematch of last season’s Western Conference finals.

The Rockets (7-7), who announced before the game that they were “parting ways” with 10-time All-Star Carmelo Anthony, have won three straight and six of their last eight games after starting 1-5 to reach .500 for the first time since they were 1-1.

The Warriors, who were without Stephen Curry for the fourth straight game, have lost two of their last three. Curry has already been ruled out for Golden State’s next two games because of a groin injury.

Houston had a 13-point lead at the end of the third and opened the fourth quarter with a 12-2 run to make it 88-65 and spur Golden State coach Steve Kerr to call a timeout. The Warriors had two shots blocked and committed two loose ball fouls in that span to help Houston pad the lead. The Rockets got 3-pointers from James Ennis and Isaiah Hartenstein to cap the run.

The Rockets then scored the first nine points after the timeout, with six from Ennis, to make it 97-65 midway through the quarter and put the game out of reach. Both teams cleared their benches a couple of minutes after that.

Kevin Durant had 20 points for the Warriors on a night they were just 4 of 18 on 3-pointers.

Draymond Green had five rebounds and five assists in his return after serving a one-game team-imposed suspension for a dustup with Durant in Monday night’s overtime loss to the Clippers. Green addressed the situation for the first time after shootaround but did not apologize for his actions in the heated exchange.

He said he and Durant had spoken and that they were “moving forward.”

“I think there’s no secret that I am an emotional player,” he said. “I wear my emotions on my sleeve. I play with that same emotion. Sometimes they get the best of me. And (if) it doesn’t work to my favor I’m going to live with that.”

While the Warriors dealt with the drama between Green and Durant, the Rockets were left to answer questions about the decision to move on from Anthony.

Anthony played just 10 games for the Rockets after signing a one-year, $2.4 million deal during the offseason.

“In the summer we tried to hit a home run and it didn’t work out,” coach Mike D’Antoni said. “He tried everything he could. He was great while he was here. It just didn’t work out for whatever reason. I just thank him for his professionalism. It was good. He tried everything he could to make it work and it just didn’t work out.”

The Rockets led by six at halftime and opened the third quarter with a 7-2 run to stretch the lead to 54-43.

Harden scored five straight points to make it 63-47 after his 3-pointer with about 5 1/2 minutes left in the quarter.

Golden State got going on offense after that, using an 8-2 spurt to get within 65-55 a couple of minutes later.

Gary Clark ended the run with a 3-pointer, and two more 3s by him within a minute of each other late in the third extended the lead to 76-59. It was 76-63 headed to the fourth.

TIP-INS

Warriors: Curry was with the Warriors on the trip but it’s unclear when he’ll return. “We’re going to be very, very careful, and obviously he’s going to need plenty of court time before he returns,” coach Steve Kerr said. “When I say court time, I mean live action. He hasn’t had that.”… Kevon Looney scored a season-high 12 points.

Rockets: Gerald Green returned after missing the last two games with a sprained ankle. … Ennis finished with 19 points and Eric Gordon had 17 off the bench. … Houston made 16 of 47 3-pointers.

UP NEXT

Warriors: Visit Dallas on Saturday night.

Rockets: Host Sacramento on Saturday night.

Report: Draymond Green will try to get game check from suspension

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Should Draymond Green have been suspended for his repeated aggravation of Kevin Durant during an on-floor dispute against the Los Angeles Clippers this week? His teammates thought so, and even voted in favor of giving Green a one-game suspension.

Now, Green will try to get back the money he lost via a missed game check.

According to The Undefeated’s Marc Spears, Green will petition to get the money for his game check from the Warriors with help from the NBA Players Association.

Via The Undefeated:

The Warriors responded by suspending Green for Tuesday’s win over the Atlanta Hawks. While Green accepted the suspension, a source said he was surprised at being fined a $120,000 game check and plans to appeal the franchise’s decision with the aid of the players association.

It seems that at this juncture the suspension and fine was part of the team’s way of making sure Durant felt like he wasn’t being pulled over by the strong personality and Leadership position of green.

It’s hard to say whether Green will get his check for the Hawks game back from the team, but that’s probably not the most important part of this story at this juncture. For now, we have to wait and see what will happen with this Warriors squad moving forward.

Mike D’Antoni on Carmelo Anthony: ‘It wasn’t fair for him as Hall of Fame player’

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Things are over between Carmelo Anthony and the Houston Rockets.

It was announced on Thursday that the former NBA scoring champion would be departing from the team after playing just 10 games. This ended a rocky start to the 2018-19 season in which the Rockets tried gapping the loss of crucial role players with Anthony just a season after an unsuccessful stint with the Oklahoma City Thunder.

The writing on the wall was apparent earlier this week, although the Rockets weren’t forthcoming about the situation with Anthony. Houston GM Daryl Morey told reporters on Sunday that Anthony was sick and that he would “expect him to be playing when he’s healthy.”

That doesn’t seem anywhere near a straight answer in retrospect, and now Anthony is no longer traveling with team. For his part, head coach Mike D’Antoni said nice things about Anthony on Thursday as reporters asked him questions leading up to Houston’s game against the Golden State Warriors.

In his comments, D’Antoni called Carmelo a “Hall of Fame” player.

Via Twitter:

Who knows where Anthony might end up from here on out? The Los Angeles Lakers seem like the most popular destination of speculation, although rumor has it the team is not interested in the aging superstar. That’s not to say that the Lakers are out of the running, but it certainly narrows the choices.

Anthony is a sub-replacement level player, he can be a locker room disturbance, and it’s unclear if he would be willing to mentor young guys much the way Vince Carter has done at this stage in his career.

It’s too early to say that Carmelo’s time in the NBA is over, but right now we are still waiting for a team to step forward and decide they’ll take a chance on Anthony.

Jarrett Jack thinks Anthony Davis, Kevin Durant will join Lakers with LeBron

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Jarrett Jack is no longer with an NBA team, but no doubt he is still plugged in and continues to pay attention to rumors and movements around the league.

Of course the biggest rumor heading into the next two seasons is about what will happen with the team surrounding LeBron James on the Los Angeles Lakers. Kevin Durant has been one rumored target. Some kind of trade surrounding New Orleans Pelicans star Anthony Davis is another.

Jack recently decided to weigh in on what might happen with the Lakers in the coming seasons on Twitter and, according to him, Jack thinks that LeBron will team up with Davis and Durant.

Via Twitter:

This is of the utmost hearsay at this point, and it’s fun to look at these type of assertions by folks orbiting the league because of the cultural impact rumors have on just about everyone. The idea that a recent former player would be weighing in publicly about a super secret plan to get three major superstars on one team in the biggest market in the NBA would have been crazy a decade ago.

Now? Not so much.

Of course the reality of the situation is much different. The Lakers will have the cap space to sign Kevin Durant this summer if he chooses to opt out of his contract with the Golden State Warriors. Weather Davis can find a way to the Lakers is another thing altogether.

The Pelicans big man has appeared to say all the right things externally, and the only way New Orleans is giving him up is if Davis decides to force his way out. Even then, it’s not immediately clear what the Lakers could give up in order to get Davis that wouldn’t completely decimate their team.

Keep these rumors coming, to be honest. I am all for everyone getting in on these rumors early. If they turn out to be true, it becomes a fun tinfoil-hat experiment on what kind of secretive potential discussions were had before things were made official. Then again, if Durant decides to join the New York Knicks and Davis stays put in Louisiana for the rest of his career, it’s an odd commentary on nobody wanting to join up with LeBron in LA.

Either way, it’s a wild story.