Minnesota Timberwolves and Lynx Sold for Second Time in Two Years

The Minnesota Timberwolves and Minnesota Lynx have been sold for the second time in as many years, marking a significant change in ownership for the franchises. Tech investor Marc Stad has agreed to purchase a majority stake in the teams from Marc Lore, who acquired the franchises in 2021 for $1.5 billion.

The sale comes at a valuation of $4.5 billion, representing a $3 billion increase in value since Lore’s initial purchase. This sale marks the second time in two years that the Timberwolves have changed ownership, with Lore having only officially taken control of the team 14 months prior to the sale.

Lore’s decision to sell his majority stake in the team is reportedly due to his focus on taking his food delivery company, Wonder, public. Alex Rodriguez, a limited partner in the team, will reportedly stay on and increase his stake in the team by purchasing additional shares.

Stad Committed to Keeping Teams in Minnesota

Marc Stad, the new owner of the Timberwolves and Lynx, has committed to keeping the teams in Minnesota and continuing the push to build a new arena. Stad’s commitment to the team’s current location is a significant development, as the threat of relocation is often a concern for fans in small-market cities.

The sale of the Timberwolves and Lynx marks the latest in a trend of NBA teams selling and then selling again. The Los Angeles Lakers, for example, were sold for $12.5 billion just a week prior to the Timberwolves sale, and the Lakers’ sale has raised eyebrows due to the ongoing legal troubles of owner Mark Walter.

NBA Franchises Valuations Skyrocketing

NBA franchises have seen their valuations skyrocket in recent years, particularly with the league’s new $77 billion national TV deal in place. This increased valuation has led many longtime owners to opt to cash in on the increases by selling their teams.

According to recent data, ten teams have sold in the past decade, with the Lakers and Timberwolves now selling twice in that span. The concern for fans is that teams being treated as investments to be flipped more often can mean a lack of stability and the ever-present concern for small-market clubs that new ownership groups without ties to the area could push to move the franchise.

Stability and Trust Concerns

The sale of the Timberwolves and Lynx raises concerns for the NBA about ownership stability and building the kind of connection and trust needed with fans. The trend of teams being bought and flipped could have significant implications for the league and its fans.

The Portland Trail Blazers, for example, are currently in a contentious battle with new owner Tom Dundon over funding for arena renovations. Dundon has not been shy about his willingness to move the franchise if his demands aren’t met. This situation highlights the concerns surrounding new ownership groups and their potential impact on the team’s location.

The latest sale of the Timberwolves and Lynx adds to the growing trend of NBA teams being sold and then sold again. As the league continues to navigate this changing landscape, the concerns for fans and the stability of the teams will only continue to grow.