Seahawks for Sale

[RiverDog]

Phil Knight is purchasing the Blazers. Does that mean he also buys the Seahawks?

Most likely not. After Allen died in 2018, he wasn't on the rather lengthy list of potential owners that included guys like Bezos and Ballmer. But who knows.

[jshawaii22]

I don't think the NFL allows dual ownership, which is what Mark Cuban found out when he wanted to bid a few years ago and that started his "anti-NFL" rage.
Note that the NFL is booming to new levels never before dreamed (like 5 billion for an middle value Denver team).

I still think we'll be the "Amazon Seahawks" by next year.

[NorthHawk]

Doesn’t Kronke own two teams - the Rams and Avalanche?

[jshawaii22]

Well, duhhh, Vulcan owns both, so that would make it OK for the buyer of the Trailblazers to buy both. Not sure where I heard that, but it was wrong.

[Stream Hawk]

Yeah that’s why I figured Seahawks would be on the table. It was always more of a personal conflict when PA also owned the Blazers and I was a huge Sonic fan. However, the more I read into this I highly doubt Knight will also buy the Hawks.

[RiverDog]

Yeah that’s why I figured Seahawks would be on the table. It was always more of a personal conflict when PA also owned the Blazers and I was a huge Sonic fan. However, the more I read into this I highly doubt Knight will also buy the Hawks.

Prior to Paul Allen buying the team, the league had a rule against dual ownership and Allen already owned the Blazers, but they wanted Allen in badly enough to change the rule so he didn't have to give up the NBA team.

[Stream Hawk]

Wow I did not realize that. Allen was such a savior after the Behring fiasco. I believe that was the first time I ever voted. All of my liberal friends were mad at me, but sports-first for me lol

[RiverDog]

Wow I did not realize that. Allen was such a savior after the Behring fiasco. I believe that was the first time I ever voted. All of my liberal friends were mad at me, but sports-first for me lol

Yeah, I remember that time well. Then Governor Gary Locke was very active in encouraging Allen to buy the team. The other owners wanted Allen because of his immense wealth and were willing to change the dual ownership rule to bring him in. I saw a tidbit that said that at the time Allen bought the Seahawks, you could add all the other owner's (excluding the Packers, which do not have a majority owner) net worth together and they wouldn't have as much as Allen had.

[NorthHawk]

That rule is clearly no longer in effect.
Here’s what Stan Kroenke owns according to wikipedia:

Born July 29, 1947 (age 74)
Columbia, Missouri, U.S.
Other names Silent Stan[1]
Education University of Missouri (BA and MBA)
Occupation Chairman and CEO of Kroenke Sports & Entertainment
Founder of The Kroenke Group
Chairman of THF Realty
Owner of Arsenal F.C.
Owner of Arsenal W.F.C.
CEO/Owner of the Los Angeles Rams
Owner of Denver Nuggets
Owner of Colorado Avalanche
Owner of Colorado Rapids
Owner of Colorado Mammoth
Owner of Los Angeles Gladiators
Owner of Los Angeles Guerrillas
Owner of Screaming Eagle Winery and Vineyards
Owner of Waggoner Ranch
Political party Republican[2]
Spouse(s) Ann Walton Kroenke ​(m. 1974)​
Children 3, including Josh and Whitney Ann
Awards Two-time Super Bowl Champion
2001 Stanley Cup Champion
2010 MLS Cup Champion
2006 NLL Champion.

)

[RiverDog]

Yes, our friends were mistaken. It happens to the best of us.

[TriCitySam]

Phil Knight is purchasing the Blazers. Does that mean he also buys the Seahawks?

He is? As I read it, Knight made an offer and Jody Allen's response was that the Blazers "are not for sale", which would likely mean the Seahawks are not for sale either. With regards to the Trust being required to sell, it was reported "within 10 years of his death" - or October 2028. So looks like there is no reason for this discussion, she's may well be in the drivers seat until then - and as I mentioned earlier, Jody is an heir and we don't know if there is a path for her to be one of the purchasers.

[jshawaii22]

https://profootballtalk.nbcsports.com/2022/06/16/if-seahawks-sell-it-likely-wont-happen-before-may-2024/

Interesting. At 5+ billion, a cool $500 million to the state would be a nice little cut. So, no, it won't happen before then and yes, Jody will wait until at least June 1, 2024 to sell the team, if it happens. The next two years could dramatically shift the wealth of the country around some more. I wonder how much Bezos has lost this year in his wealth? Probably already more then the 5 billion it would of cost.

[obiken]

No, I live in South of PDX this is a legacy move by Knight, no way he buys the Hawks, I wish. The wrench in the Hawks sale is Jodi wants to be part owner of the Hawks.

[RiverDog]

https://profootballtalk.nbcsports.com/2022/06/16/if-seahawks-sell-it-likely-wont-happen-before-may-2024/

Interesting. At 5+ billion, a cool $500 million to the state would be a nice little cut. So, no, it won't happen before then and yes, Jody will wait until at least June 1, 2024 to sell the team, if it happens. The next two years could dramatically shift the wealth of the country around some more. I wonder how much Bezos has lost this year in his wealth? Probably already more then the 5 billion it would of cost.

I'm not sure if Bezos is going to be the big loser, but I agree that the market for NFL franchises could be dramatically different in two years as we appear to be heading for a recession.

[NorthHawk]

There’s a reason people and groups are lining up to buy an NFL franchise.
They have a huge revenue stream or perhaps streams and the values are climbing. Even in the last recession the teams
increased in value and continued to make good money.

[RiverDog]

There’s a reason people and groups are lining up to buy an NFL franchise. They have a huge revenue stream or perhaps streams and the values are climbing. Even in the last recession the teams increased in value and continued to make good money.

I don't expect that NFL team's revenue will decline. However, revenue is only one component that makes up the value of a franchise. The other is the market conditions.

if we go into recession, there's going to be fewer people with the financial resources to buy a team, and with a restricted market, the amount of money an owner that wants to sell could expect for his team, relative to what they could get in a healthy economy, will decline.

[NorthHawk]

I think the people with this much money will look at it as a cash cow during a recession and a fantastic buying opportunity.
All it takes is 2 people or groups and the price won't fall - like at an auction.

[RiverDog]

I think the people with this much money will look at it as a cash cow during a recession and a fantastic buying opportunity.
All it takes is 2 people or groups and the price won't fall - like at an auction.

Well, it's not quite like an auction. The league doesn't have to accept the highest bid. The owners have to approve it first.

My point is that neither of us have a clear crystal ball to tell what the environment is going to be like in 2024. If the economy plunges into a deep recession, it's going to adversely affect the market for nearly everything, including NFL franchises. Fewer billionaires means fewer potential owners, and fewer potential owners means a lower price that any one of them can expect to pay.

Jody might be better off selling the Hawks now and taking the hit from the state rather than holding onto it and possibly getting a much lower price. A bird in the hand is worth two in the bush.

[Hawktawk]

Not sure I buy that NFL franchises are going bargain basement because of the economy . The game is more popular than ever . There’s only about 30 of these on the planet . The majority of current owners are stupid rich already . Jodi is a benefactor of one of the bigger fortunes around . She’s not going to rush into a sale over a recession .

[Old but Slow]

The economy may be in bad shape right now, but the billionaires are raking it in. The hardships are being felt by the little guy, not the nabobs. If anything, there are likely more people that have the $ to bid.

[Aseahawkfan]

If the gas prices get under control and the inflation, we should be ok going forward. This doesn't feel like a coming bad economy, more like a normalization of economy after the COVID craziness in the stock market and with the payments. If employment stays strong while they bring inflation under control, we should be ok.

[RiverDog]

Not sure I buy that NFL franchises are going bargain basement because of the economy . The game is more popular than ever . There’s only about 30 of these on the planet . The majority of current owners are stupid rich already . Jodi is a benefactor of one of the bigger fortunes around . She’s not going to rush into a sale over a recession .

No one said that it's going 'bargain basement'. If the economy sinks, there isn't going to be the same number of billionaires then as there are today. The owners will never lose money, they just won't be on this upward glide path of unlimited revenue like they have for the past 20-30 years. That's going to affect the marketability of the franchises. How much depends on how badly and for how long the recession lasts, if we have one.

And ObS, you're right, the super rich aren't going to be hurting, and some of them will continue to increase their wealth even in a bear market just like some businesses will thrive under those circumstances. But that's also not the point. The point here is simply from a matter of franchise value, what a current owner could expect to receive for their team should they decide to sell. Fewer prospective buyers means those that do have the resources and qualifications don't have to bid as high in order to flush out the competition.

[RiverDog]

If the gas prices get under control and the inflation, we should be ok going forward. This doesn't feel like a coming bad economy, more like a normalization of economy after the COVID craziness in the stock market and with the payments. If employment stays strong while they bring inflation under control, we should be ok.

That's a big 'if'.

We'll see what happens. All I'm saying is that IF the economy goes into recession, it will negatively affect the value of NFL franchises. It can't help not to.

[Hawktawk]

I heard Jim Cramer say a while back that pandemic policy was the greatest transfer of wealth in history . Billionaires will make money always . Unless the whole thing completely craters or were a radioactive ash prices on franchises will continue to rise . It’s a game for the big boppers , a contest . As for Jodi I’m fine with her . Considering her brother is why we have a team , 3 super bowl appearances and a Lombardi , far and away the greatest run in Seattle history . She’s got the benefit of the doubt for quite a while with me . She proved she’s no wallflower this off-season too .

[Aseahawkfan]

That's a big 'if'.

We'll see what happens. All I'm saying is that IF the economy goes into recession, it will negatively affect the value of NFL franchises. It can't help not to.

It will. Given an ownership group will likely finance the purchase of a team, higher interest rates will lower the cost as well because the cost of borrowing is higher.

If we hit a recession and people are spending less on jerseys, tickets, and all associated consumption of NFL team products, then you will see a drop in price somewhat.

An NFL franchise is still a very good long-term investment, especially if you like football and being involved in the NFL. And there is the scarcity element. There are only 32 teams. They rarely go on sale. It's definitely prestigious to own a team.

[RiverDog]

If we hit a recession and people are spending less on jerseys, tickets, and all associated consumption of NFL team products, then you will see a drop in price somewhat.

An NFL franchise is still a very good long-term investment, especially if you like football and being involved in the NFL. And there is the scarcity element. There are only 32 teams. They rarely go on sale. It's definitely prestigious to own a team.

Which will happen if we go into a recession. Jerseys and other sports paraphernalia are expendable items are not essentials and would be one of the first things to be hacked from a personal budget. Same with gambling, of which the league is counting on to enhance future revenues.

For companies, the easiest department to cut expenses during a recession is marketing. It's a lot easier to cut back on advertising than it is to lay off workers, which has costs associated with it. If we go into a recession, networks aren't going to be able to charge what they are today for commercials.

My personal view is that at least a shallow recession is unavoidable, but that's a subject for our OT forum.

[TriCitySam]

Jody Allen today said Neither Seahawks or Blazers are for sale, no required timeline and could take 10-20 years for "an estate this size".

[Aseahawkfan]

Jody Allen today said Neither Seahawks or Blazers are for sale, no required timeline and could take 10-20 years for "an estate this size".

Cool. So we can relax for a decade or more.