Forbes, pills an American business magazine, has released its annual list of NBA ‘s most valuable teams with New York Knicks reclaiming the top spot.
The Knicks are worth $1.1billion taking the No. 1 spot away from Los Angeles Lakers.
The Knicks‘ value rose 41%, mainly due to a $980 million renovation of Madison Square Garden that is expected to be completed this summer. The makeover resulted in an NBA-leading $243 million in revenue last season. The Knicks‘ operating income of $83 million was the highest in the league for a third straight year.
Also the Knicks have enjoyed a ratings boost with the team second in the Eastern Conference.
With the help of a new 20-year, $3.6 billion television deal with Time Warner Cable, the Lakers, while losing their top spot, did enjoy some success financially as well. They are worth $1 billion, up 11% from last year. The Lakers and Knicks are the first NBA teams to be valued at 10-figures.
The report also revealed that an average NBA team is worth $509 million, a 30% increase over last year.
Forbes has accounted the increase to higher revenue from television, new and renovated arenas, and the NBA’s new collective-bargaining agreement, which reduced player costs from 57% of revenues to roughly 50%. The labour deal also increased the amount of money high-revenue teams provide low-revenue teams.
Top Ten NBA’s Most Valuable Teams (in millions unless stated):
1. New York Knicks – $1.1 billion (Profit: $83 million)
2. Los Angeles Lakers – $1 billion (Profit: $48)
3. Chicago Bulls – $800 million (Profit: $34)
4. Boston Celtics – $730 million (Profit: $19)
5. Dallas Mavericks – $685 million (Profit: $13)
6. Miami Heat – $625 million (Profit: $15)
7. Houston Rockets – $568 million (Profit: $27)
8. Golden State Warriors – $555 million (Profit: $29)
9. Brooklyn Nets – $530 million (Profit: $17)
10. San Antonio Spurs – $527 million (Profit: $15)