Atlanta Hawks sale falls through

This may not be fanshot-worthy, but what the hey, it's interesting. The Atlanta Hawks sale to LA pizza magnate Alex Meruelo, which had been contingent on NBA approval, has been called off.
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"The approval process bogged down after the NBA required economic conditions that were not part of Meruelo's original deal.

The NBA's stance was believed to be similar to that the league took when Atlanta Spirit bought the Hawks, as well as the Thrashers, from Time Warner in 2004. At that time, the NBA and NHL approved the transaction only after several Spirit partners agreed to make personal guarantees of tens of millions of dollars to ensure sufficient liquidity to fund the money-losing teams' operations going forward."
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Meruelo's statement noted that the two parties "were not able to reach a mutually satisfactory agreement on some key issues given the current uncertainty surrounding the labor issue."

7 months ago Corvid 19 comments 0 recs |

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Wow.

First Hornets, now the Hawks having trouble selling.

Every time I tuned into a Hawks game on League Pass, it seemed like half the seats were empty.

by Timmay! on Nov 4, 2011 2:49 PM PDT reply actions

I won't be surprised if both teams end up contracted.

It doesn’t seem like the league wants to go that route, though.

Phase 1: Collect underpants
Phase 2: ???
Phase 3: Profit!

by HailOden! on Nov 4, 2011 3:24 PM PDT up reply actions

Sweet, Al Horford here we come!

by hoodieNation on Nov 4, 2011 3:56 PM PDT up reply actions

But how does Horford get us Chris Paul?

Phase 1: Collect underpants
Phase 2: ???
Phase 3: Profit!

by HailOden! on Nov 4, 2011 4:49 PM PDT up reply actions

acquiring Horford will free us up to trade Babbitt for Paul

by hoodieNation on Nov 5, 2011 7:57 AM PDT up reply actions

Ahhhhh, brilliant!

Phase 1: Collect underpants
Phase 2: ???
Phase 3: Profit!

by HailOden! on Nov 5, 2011 10:58 AM PDT up reply actions

Atlanta will be fine.

"I Am Mine"

by AK1984 on Nov 4, 2011 6:46 PM PDT up reply actions

It's a good market, and it should be a BBall town

But, it just seems like they can’t fill seats or make money.

Phase 1: Collect underpants
Phase 2: ???
Phase 3: Profit!

by HailOden! on Nov 4, 2011 9:32 PM PDT up reply actions

Yeah, Atlanta is a poor professional sports town

Not sure why, either, since it’s a mid-sized market.

"I Am Mine"

by AK1984 on Nov 4, 2011 9:39 PM PDT up reply actions

Do the Braves and the Falcons have the same problems as that Hawks?

Phase 1: Collect underpants
Phase 2: ???
Phase 3: Profit!

by HailOden! on Nov 4, 2011 10:58 PM PDT up reply actions

I mean "the," not "that"

Phase 1: Collect underpants
Phase 2: ???
Phase 3: Profit!

by HailOden! on Nov 4, 2011 10:58 PM PDT up reply actions

The Atlanta Braves did poorly last year for a good team.

http://espn.go.com/mlb/attendance/_/sort/homePct

"I Am Mine"

by AK1984 on Nov 4, 2011 11:04 PM PDT up reply actions

By "last year," I meant last season.

Last season was technically this year.

But yeah, Atlanta is a bad sports town overall. It does fine with the NFL, but that’s it.

"I Am Mine"

by AK1984 on Nov 4, 2011 11:11 PM PDT up reply actions

i get baseline courtside seats for $15-$30

basically buy a lower bowl seat for cheap and then shift my down.

Jeff Pendergraph:
FGM - 3
FGA - 111
Min - 30
Reb - 10

by Tofu Anonymous on Nov 4, 2011 4:43 PM PDT up reply actions

I thought that was a done deal.

I definitely remember people being excited that he could turn the hawks into a team people actually cared about and such.

by YoniRap on Nov 4, 2011 4:36 PM PDT reply actions

So the owners lose one Hawk in the CBA negotiations

Pun intended

by Norsktroll on Nov 4, 2011 6:44 PM PDT reply actions

Strange story

It seems he was approached by Hawks Ownership Group to be a minority partner-and kick in cash-but he said what the heck,why don’t i just buy you?
He was getting 50% of the team for $300mil,that was mostly just him buying out their debts.

Considering how chaotic the Hawks Ownership group has been,I wouldn’t be surprised if the League wanted someone who could come in and buy them outright.(And considering what that number would likely be like,possibly the League didn’t want a team being sold for a large pile of money while they’re claiming Franchises are devaluing.)

Now the Hawks are claiming they’re not for sale,just want a new minority investor or two. Sure.

by Tisbee on Nov 5, 2011 8:08 AM PDT reply actions

Re the Hornets

Each owner kicked in over $8mil to buy the team. Costs to contract it would add another few million. They had buyers lined up,but those buyers were likely going to move the team which Stern didn’t want.

Selling NO will be the cash cow for Owners to help cover losses to this lockout,lost sponsorships,lower attendance,etc.

by Tisbee on Nov 5, 2011 8:14 AM PDT reply actions

That's an interesting thought, though I don't think the owners will make a lot of profits on that one

Forbes values the franchise at $280 million. If it sells in that 300 mil range, each owner gets $10 million back. The Warriors sold for more, but that’s a more interesting market with the whole SF Bay as your target audience incl. the valley. And if a new owner must promise to sign a long-term lease in Nola, it might even sell for less than that valuation.

by Norsktroll on Nov 5, 2011 12:08 PM PDT up reply actions