In 2010, Joe Lacob made a bold, game-changing move by purchasing the Golden State Warriors for a sum of $450 million. Fast forward to today, and the franchise not only boasts a quadruple NBA championship legacy under his stewardship but has also seen a considerable leap in its valuation.
When Lacob took over, the Warriors were far from the formidable force they are now. His vision and leadership have transformed the team, and his dedication is evident in every aspect of the organization. "No chance, sorry. That ship sailed a long time ago — a long, long time ago. I'm a Warrior, this is my identity, it's our identity. I love what we've done. I love our fans, our arena (and) the last decade, and I just wanna do more. I just wanna create an even longer and even greater legacy for this organization," Lacob stated, emphasizing his unwavering commitment to the team's future.
One of the most significant milestones during Lacob's tenure was the construction of the state-of-the-art Chase Center. This modern arena has not only provided the team with a world-class facility but has also become a symbol of the Warriors' stature in the NBA today. The Warriors' story under Lacob's ownership is a testament to what forward-thinking and passionate leadership can accomplish.
Boston Celtics' Ownership Transition
In a noteworthy development on the East Coast, Boston Basketball Partners L.L.C., the ownership group of the Boston Celtics, has made a significant announcement. They have decided to sell all their shares in the historic franchise. This decision, driven by "estate and family planning considerations," marks the beginning of a new chapter for the Celtics.
Boston Basketball Partners L.L.C. acquired the Celtics in 2002 for $360 million. The franchise’s value has surged, with Forbes' October 2023 valuation pegging it at an impressive $4.8 billion. While the ownership group plans to complete a majority interest sale by 2024 or early 2025, the remaining shares will likely be sold by 2028. Throughout this period, Wyc Grousbeck is expected to continue as the Governor of the Boston Celtics until the final transition in 2028. "The managing board of the ownership group expects to sell a majority interest in 2024 or early 2025, with the balance closing in 2028, and expects Wyc Grousbeck to remain as the Governor of the team until the second closing in 2028," the ownership group noted.
Looking at the Financials
The Celtics' current roster also reflects the substantial financial commitments the franchise has made to ensure competitiveness. Jayson Tatum, a cornerstone of the team's future, secured a five-year, $314 million extension recently. This followed Jaylen Brown’s five-year, $303 million deal signed the previous summer. Additionally, Derrick White earned a four-year, $125 million extension, and stars like Jrue Holiday and Kristaps Porzingis command annual salaries exceeding $30 million each.
As a result, the Celtics' payroll is projected to surpass $200 million by the 2025-26 season. Consequently, they face an anticipated luxury tax bill of $250 million, making the total financial commitment for the team exceed $450 million for that season. This indicates not just the expensive but aggressive approach the franchise is adopting to remain in title contention.
This move by Boston Basketball Partners L.L.C. signals the end of an era for the Celtics. However, it also opens the door to new possibilities for both the team and potentially new ownership. With financial complexity and a commitment to remaining competitive, the incoming ownership will have substantial considerations to address to maintain the Celtics' historic legacy.
As both the Warriors and the Celtics navigate their respective paths, these developments underscore the ever-evolving landscape of NBA franchises. The dedication and strategic decisions by owners, past and present, continue to shape not only the fortunes of individual teams but also the broader narrative of the league itself.