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August 23, 2012
Fuhgeddaboudit! Nets’ value soars in Brooklyn
NY Post
by Josh Kosman
Russian billionaire Mikhail Prokhorov is getting a nice bump in his “Net” worth.
The 6-foot-8-inch Nets owner has seen the value of his investment more than double since he bought the team two years ago, thanks to the move into the more financially friendly Barclays Center.
As the Nets gear up for the first season in the soon-to-be-completed Barclays Center, the team is now worth roughly $575 million, according to one sports investment banker. That’s 60 percent more than they were valued just last season by Forbes.
In addition, the team may post its first profit in a decade, The Post has learned.
Related coverage...
Atlantic Yards Report, Prokhorov math: value of investment in Nets has jumped upon move to Brooklyn, but how much
Yes, the move of the Nets to Brooklyn has caused the team value to soar--another outcome not factored in as city and state agencies negotiated subsidies with the developer Forest City Ratner.
...Also not factored in is this: the amount Prokhorov has promised to invest in the team as part of the deal.
The Nets have the league's third-highest payroll, as noted by NetsDaily's Bob Windrem: $81.8 million, prompting a luxury tax of at least $11.5 million this year, and perhaps double next year.
Still, Prokhorov now has most of the team and 45% of the arena. What enabled it? Government help.
Brooklyn Trolley Blogger, Brooklyn Nets: Mikhail Prokhorov Putting His Money Where His Mouth Is
BTB appears to be the only person fooled by Mikhail Prokhorov's staged foray into "electoral" politics.
And you can just ask Pussy Riot; the all-girl punk-rock band arrested and jailed as dissenters in Moscow; how lucky Prokhorov really is to be safely back in the States. The Nets owner decided to take on Vladimir Putin, and run for President of Russia. Joking aside, there was a real possibility his ownership of the Nets would be placed in a Trust, if in fact he become the elected leader of modern day Russia.
To the relief of Nets fans, Prokhorov lost the elections, and is finally back in town to antagonize the Knicks, which is right where he should be.
NoLandGrab: Phew, that was a close one.
NetsDaily, Nets To Make Big Profit in Brooklyn
Posted by eric at August 23, 2012 10:49 AM