Former Microsoft CEO Steve Ballmer has signed an agreement with the Sterling family trust to purchase the Los Angeles Clippers for $2 billion.
The Clippers are the third most popular basketball ball team in Los Angeles, after the Lakers and then the UCLA Bruins. After the deal is completed, it will be the richest deal ever paid for an American sports team. The Los Angeles Dodgers sold for $2.15 billion, but that deal included Dodger Stadium and the massive, but dangerous parking lot. The Clippers don’t have their own arena. They share the Staples Center with the Lakers and the Kings.
I don’t understand this deal. The second-richest contract for an NBA team was earlier this year when the Milwaukee Bucks sold for $550 million.
Steve Ballmer is supposedly worth $20 billion, so I guess it’s not a lot of money when it’s put into context. Still, if the Clippers are worth $2 billion, what are the Lakers worth?
Los Angeles is a weird sports town. It can’t support an NFL team, but one of its two professional basketball teams, the least popular of the two, is supposedly worth $2 billion.