Why the Boston Celtics are having trouble finding a buyer

It feels like it should be bigger news, doesn’t it? In case you forgot, the defending NBA champions are officially on sale. While sports franchises are constantly bought and sold, it’s not usually the case that they are arguably the best team in their entire league. But that’s exactly what’s happening with the Boston Celtics, although it’s understandable if you’ve forgotten it.

ForbesOwners of the Boston Celtics plan to sell the NBA’s fourth most valuable teamFrom Mary Whitfill Roeloffs

Boston had barely cleared the confetti from the duck boat parade when Grousebeck’s ownership group made the shocking announcement that it planned to sell the team.

While this immediately led the media to speculate about how much the team would afford – in theory a sale of the Celtics would be a record-breaking transaction – there was little concrete talk about who the next owner or owners would be. The biggest name linked to a possible sale was Amazon founder Jeff Bezos, but those rumors were shot down almost as quickly as they surfaced.

In a vacuum, the Celtics should be a premier asset. After all, after their victory earlier this year, they overtook the Los Angeles Lakers and set the league record for NBA Finals victories. With their core of Jayson Tatum and Jaylen Brown, they are ready to compete for another ring in the next few seasons. Forbes recently rated them as the league’s fourth most valuable franchise behind the Golden State Warriors, New York Knicks and Lakers.

ForbesThe most valuable NBA teams in 2024From Justin Teitelbaum

But despite the Celtics’ success, that put them just one step above the Los Angeles Clippers, even though the Clippers have never been to an NBA Finals. That’s partly because, despite its reputation as a die-hard sports city, Boston isn’t the media market that New York and Los Angeles are.

Ultimately, this is more important to a potential owner than the success of the team. The Celtics also do not own the TD Garden, which is operated by the Boston Bruins. This is a problem at a time when team sales are increasingly viewed as real estate deals with a sports component.

As Celtics Wire’s Cameron Tabatabaie adds in his important guide to the impending sale, they also don’t own the team’s broadcast rights. Combine that with their high payroll and it means that the Celtics – despite their success on the field and their historical importance to the league – wouldn’t be an excuse to print money like many sports investments do. In fact, Grousebeck recently admitted that they hadn’t made a profit in their championship year.

So basically, the Celtics organization will be waiting for a record-breaking number, but those who might be interested in purchasing them might be hesitant to empty the piggy bank all at once. For this reason, it is clear from the lack of smoke that there will be no domestic bidding war for the team.

That doesn’t necessarily mean the Boston Celtics will remain on offer indefinitely. Wyc Grousebeck plans to sell it in the next few years, meaning a potential buyer won’t have to pocket all the money. So the Celtics wouldn’t attract a potential owner looking to quickly flip the franchise to make a significant profit. Instead, they need to find one that a) can afford the high price and b) is willing to approach it like a long-term investment.

ForbesWyc Grousbeck and the Boston Celtics aren’t quite finished yetFrom Hunter felt

No wonder the Celtics didn’t find a buyer right away! Grousbeck is currently looking beyond the borders of the United States for one. During a recent trip to the United Arab Emirates, he met with Mubadala Investment Co. to discuss a possible deal. Don’t be surprised if one of America’s best-known franchises falls under at least partial foreign control at the end of what appears to be a lengthy process.