According to Bloomberg News, the Los Angeles Dodgers are worth $2.1 billion, ranking second behind the New York Yankees who are valued at $3.3 billion.
The Guggenheim Group bought the Dodgers from former owner Frank McCourt about two years ago for $2 billion, plus $150 million from a joint venture between the two sides including the real estate surrounding Dodger Stadium.
Peter J. Schwartz of Bloomberg.com discussed how team’s revenues were calculated in their evaluation:
In calculating team value, Bloomberg News examined revenue from ticket sales, concessions, sponsorships and broadcast rights, as well as interests in TV channels, radio stations and real estate. Revenue from national TV contracts and merchandise is split evenly among the teams, as is the value of MLB Advanced Media, a subsidiary that supplies content to Internet and mobile subscribers.
Including the Dodgers and Yankees, there are ten teams worth over $1 billion and since the Dodgers were sold to their new ownership group, revenue increased by 38 percent to $450 million. This season, the Dodgers brought in 3.7 million in attendance and have seen an increase of 13 percent, the most in all of baseball.
The Dodgers sale has also seen them create their own television channel, SportsNet LA, which is set to launch this season after they spent so much time on KCAL and Fox Sports in recent years.
Other owners and general managers, especially Diamondbacks GM Kevin Towers, have complained about the Dodgers spending ways, but they should actually be thanking the Guggenheim Group. Since they’ve taken over, overall baseball valuations have increased by 35 percent than they were close to just two years ago.
It’s clear the Dodger ownership group is interested in continuing to build the Dodger brand are will go to the greatest lengths to make sure they’re fielding a championship team year-in and year-out.
In case you missed it, here’s the Dodgers pool celebration, PLUS Yasiel Puig’s celebration dance off!