Fourteen NBA teams lost money last season prior to payouts from collective revenue-sharing, and ” nine finished in the red even after accounting for those payments, “according to a report from ESPN.
The website reported it has obtained confidential NBA financial records, from which the story is based.
Per ESPN, the nine teams that lost money were the Atlanta Hawks, Brooklyn Nets, Cleveland Cavaliers, Detroit Pistons, Memphis Grizzlies, Milwaukee Bucks, Orlando Magic, San Antonio Spurs and Washington Wizards.
At least one owner broached the topic of expansion at the recent Board of Governors meeting, as owners could split an expansion fee that would very likely amount to more than $1 billion, the report suggested.
Also, some of the profitable franchises suggested the league should consider relocating those that lost money to larger markets.
“The concept of changing the placement of teams could become more of a focal point as Seattle nears its decision on a plan to renovate KeyArena or clear the way for a new building to be constructed in the city’s SoDo district,” ESPN wrote.
“A decision could come by the end of the year. If a viable building emerges in Seattle, it could kick-start a deeper expansion/relocation debate within ownership.”