Cubs franchise worth $2 billion?
The Ricketts family is already enjoying a huge return on their investment in the Cubs and Wrigley Field.
The Sports Business Journal estimates that the Cubs franchise is worth close to $2 billion.
That would be more than double of what the Ricketts paid in 2009.
The Cubs’ increased worth is based on what the team expects to make when it re-negotiates its broadcasting rights in 2020.
That can boost the team’s revenue even more.
“Sports teams sell not for their current value but their future value, and the certainty of the upside of future value,” said sports finance consultant Marc Ganis. “There’s a certainty of upside here, and a meaningful one.”
Cubs owners are reportedly close to selling a minority, non-controlling share of the franchise.
A deal for a 20 percent stake in the team is valued at around $300 million, according to a Cubs spokesman.
That could help cover the ongoing $575 million renovation of Wrigley Field.
More ad revenue will start coming in once that project is complete.