So we have a bit more clarity on what Ted Leonsis may have to pay in order to take over ownership of the Washington Wizards.
Forbes magazine, in its annual NBA valuation rankings, said the team is worth $313 million, good for 19th in the league. That’s an 11 percent decline from last year and the lowest value since 2004.
The economy is probably the biggest culprit for the loss in value, as only five teams in the entire NBA are worth more now than in 2008, according to Forbes.
One think working against the Wizards is the team’s debt load. Forbes reported that the Wizards’ debt-to-value ratio is 62 percent, with most of the debt tied to the Verizon Center. (Abe Pollin got a lot of credit for paying for the arena himself, but that debt does make things harder for the franchise.)
The Wizards are a profitable team, with operating income of $4.9 million. Keep in mind, too, that the team has some of the lowest ticket prices in the league as well.