New York Knicks Reclaim Top Spot on Forbes’ NBA Most Valuable Teams List
By Community | January 24, 2013
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)