NBA expansion appears closer than ever, and a new rumor suggests a costly price tag for one of the new teams. The NBA has long been rumored to be adding teams in both Las Vegas and Seattle.
However, a new report suggests Las Vegas could have a record-breaking price tag. According to Mike Vorkunov of the Athletic, the cost for an expansion team in Las Vegas could reach north of $13 billion. You read that right: $13 billion.
If true, that would surpass the sale of the Los Angeles Lakers earlier this month. The Lakers sold for a record $10 billion, which seems reasonable given that it's arguably the most famous pro team in the United States.
The NBA already has a growing expansion problem
New owners Joshua Kushner and Bob Iger previously tried to purchase expansion rights for Las Vegas but were forced to pivot to the Lakers. Saving $3 billion and ending up with the Lakers seems like the smart move, but it raises larger questions for the NBA.
It defies logic that an expansion team would cost far more than a storied franchise like the Lakers, but here we are. The NBA was apparently hoping that expansion rights would net the league $8 billion from each of Vegas and Seattle.
Of course, the cost of teams appears to be rapidly rising. If Vegas can get $13 billion, then Seattle could safely fetch at least $10 billion given that many of the world's top companies are headquartered there.
NBA teams are becoming more expensive, and that spells trouble
Equally as important, Seattle was home to the Supersonics for 40 years and had a diehard fanbase. They can definitely support a team. But with the steady increase in the cost of teams, it could lead to more franchise sales.
It also means more ownership groups and not sole owners. That likely isn't a good thing with potential buyers purchasing teams with little or no experience as owners.
That could negatively impact the team-building aspect with impatient owners making knee-jerk decisions. It's a scary thought but one that is an increasing possibility if a Las Vegas expansion team can really fetch $13 billion.
