The NBA appears poised to expand, adding franchises in both Seattle and Las Vegas. The move, years in the making, would bring the league to 32 teams, with play anticipated to begin in the 2028-29 season. But why now, and why these two cities?
The Right Moment for Growth
The league is moving forward with expansion now due to a convergence of factors, primarily a significantly richer television deal that has dramatically increased the NBA’s overall revenue. This financial boost makes the entry of new ownership groups not only sustainable but also financially advantageous. Expansion franchise fees are projected to exceed $5 billion each, according to estimates, demonstrating the substantial growth in the value of the NBA product in recent years. Sources indicate a strong momentum within the board of governors and league office to approve moving forward with bids.
Adding two teams also means distributing those revenues across a larger number of owners, though the immediate gains from the expansion fees largely offset any dilution of equity. For the current 30 owners, the prospect represents a significant financial opportunity.
Seattle and Las Vegas: Two Distinct Paths
Seattle’s pursuit of an NBA franchise is rooted in a sense of loss. The city has been without a team since the SuperSonics relocated to Oklahoma City in 2008. Since then, Seattle has consistently demonstrated its viability as a major market, boasting a passionate fanbase, growing infrastructure, and a rich basketball history unmatched by other potential expansion cities. The return of the NBA to Seattle is widely viewed as a matter of restoring a sporting injustice as much as it is a business decision.
Las Vegas presents a different case altogether. While lacking a prior NBA presence, the city has proven its ability to support professional sports franchises with the success of the Vegas Golden Knights (NHL) and the Raiders (NFL). Las Vegas is experiencing rapid demographic growth, possesses a modern arena already in place, and attracts an unparalleled level of tourism in the United States. The league recognizes Las Vegas’s unique ability to draw major events, from the Summer League to championship games in other sports, making it a standout market.
The Expansion Draft Puzzle
One of the most discussed aspects of expansion is the format of the expansion draft – the mechanism by which the new franchises will build their initial rosters. The league must determine how many players each existing team can protect and how many Seattle and Las Vegas will be able to select. What we have is a delicate balancing act: protecting the existing franchises while avoiding saddling the new teams with uncompetitive rosters.
While the precise details haven’t been publicly finalized, the model of previous expansion drafts, such as the one for the Charlotte Bobcats in 2004, serves as a reference point. However, the league may deviate from that model, given the structural changes in the game and player contracts over the past two decades. The goal is to create a fair and competitive process for all involved.
A Two-Step Process
The first vote, scheduled for the board of governors meetings next week, will determine whether to move forward with exploring expansion in Las Vegas and Seattle. A successful vote requires 23 of the 30 governors to approve the measure. This initial step would allow the NBA to begin meeting with prospective ownership groups and solicit bids for the expansion teams. As CBS Sports reports, this doesn’t guarantee teams will be awarded immediately.
A final vote, potentially later this year, will finalize the transactions to bring the league to 32 teams. Some owners remain hesitant, wanting to witness the final valuations of the bids and individual franchise fees before committing to expansion. The league is navigating a complex process, balancing financial incentives with the concerns of existing owners.
The NBA’s expansion isn’t simply about adding teams; it’s about long-term revenue growth. Industry executives project that both Las Vegas and Seattle would rank among the NBA’s top eight revenue generators. This potential for increased profitability is a major driver behind the current momentum.
The NHL’s recent expansions to Las Vegas (Golden Knights, 2017) and Seattle (Kraken, 2021) provide a blueprint for success, demonstrating the viability of these markets for professional sports. The NBA is closely observing these examples as it moves forward with its own expansion plans.
For fans, the prospect of NBA basketball returning to Seattle and arriving in Las Vegas is exciting. Seattle’s passionate fanbase has waited over a decade for this opportunity, while Las Vegas offers a unique and vibrant atmosphere for the sport. The expansion promises to inject new energy and competition into the league.
The official announcement of expansion is still pending, but the direction is clear. Seattle and Las Vegas are preparing to turn into the NBA’s 31st and 32nd franchises. For the league, it’s a step toward a future that has been carefully considered and strategically planned.
What’s Next: The NBA Board of Governors will vote on the expansion proposal next week, March 24 and 25. The outcome of that vote will determine the next steps in the process. Archysport will continue to provide updates as they become available.
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