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Guardians find new minority owner

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If as an investor you are looking at the back end profit as your target....what you will make when you sell it, the year to year profits are a secondary concern. And if yearly investments and winning dont move the needle much, the incentive to invest isn't that great.

(If you buy a five yr CD that pays 7% at maturity, that's the target.)

The Oakland ownership certainly doesn't invest much in its franchise or its stadium, nor does it do much in the way of engaging with its fans. And yet, in 16 years, the franchise value has gone up more than 600%.

The Dodgers ownership spends and spends and spends, and its franchise has gone up in value 50% in nine years.

In 25 yrs, the Pirates franchise that was bought for $92 mil is now worth about $1.2 bil. In that time span they have had four winning seasons, and only two times have won at least 90 games.

In that time span, the nation has gone thru 9/11, the Great Recession, and Covid, but MLB franchise valuations blew thru all of them. During Covid alone, with no fans in attendance, the values went up 4% on average. For those with the resources to not need to depend on annual profits, there are few industries that can match the near guaranteed profits of baseball, esp when you can totally abuse your organization and customers, while still coming out way ahead.

A fan base is at the mercy of its owner, with no recourse. The best hopes for any franchise is that the owner allows good baseball people to run the show without interference and that the owner won't suck the franchise dry on a yearly basis to line his own pockets.
 
A little tidbit from the MLBTr chat earlier..

Darren 5:04 Does the minority owner investment for Cleveland push them closer to extensions for Bieber/Jose and pulling off a big trade for an OF bat?

Anthony Franco 5:05 I don't think so. Steve kind of went into this on our post on the initial announcement, but I doubt the hiring of a minority owner moves the needle immediately. Down the line if/when Blitzer assumes majority control? Perhaps, but I don't think we'll see a drastic change in spending over the next couple years

The wheels of franchise ownership.. move slowly.. probably a good thing..
 
Gson said:
A little tidbit from the MLBTr chat earlier..

Darren 5:04 Does the minority owner investment for Cleveland push them closer to extensions for Bieber/Jose and pulling off a big trade for an OF bat?

Anthony Franco 5:05 I don't think so. Steve kind of went into this on our post on the initial announcement, but I doubt the hiring of a minority owner moves the needle immediately. Down the line if/when Blitzer assumes majority control? Perhaps, but I don't think we'll see a drastic change in spending over the next couple years

The wheels of franchise ownership.. move slowly.. probably a good thing..
Click to expand...
Well, the payroll is supposedly getting a major bump. Doesn't matter to me who writes the check. As long as the payroll is between $60-$70 million.
 
Mott the Hoople said:
Well, the payroll is supposedly getting a major bump. Doesn't matter to me who writes the check. As long as the payroll is between $60-$70 million.
Click to expand...
Opening day payroll is currently projected to be about what it was last year.. It's still too early to make any projection or prediction on a change as the entire roster hasn't been defined...

IOW.. no change in payroll.. so far..
 
Benway said:
Hard to view this development with anything less than optimism, but we're trying!
Click to expand...

I dont think it will effect 22 payroll anyways, but with potential of more money 23 and beyond, I think it does make extensions more likely since we have been a team to extend/at least offer extensions to many of the nucleus guys over the years.

Small market teams avoid spending much in free agency. They sign complimentary players not fill a team with those guys. Reason why we didn't have as much continued success is the guys behind the 16 nucleus didn't pan out... where would we have been if Zimmer, Allen, Chang etc panned out? I don't think we would be looking at Chicago's back...
 
Our future minority owner has been making some interesting moves in the soccer world over the last week or so...


www.espn.com

Jazz owner, 76ers part owner buy MLS's Salt Lake

Major League Soccer has approved the sale of Real Salt Lake to David Blitzer and Smith Entertainment Group.
www.espn.com www.espn.com

To give some context on the Pepi deal to Augsberg, Pepi is arguably the next breakout US player who with the deal to Augsberg shattered the current MLS transfer $ record by $10 million with a $20 million transfer fee. A handful of the bigger more name teams(think Yankees, Lakers, Cowboys type teams etc. for those that dont follow soccer) were in the bidding for him but it been said that with the American connection (Blitzer) who is at a 45% stake in the club its said he wanted to link the club to this market so they did all they could to get the deal done, which in this case was overbidding everyone else for Pepi. Augsberg is not typically a big player in that league and this broke the teams spending record as well, obviously hard to know without the specifics of Blitzer overall spending involvement but seemed to be a spending boost with the team with his recent involvement.

With the differences in spending and the markets in soccer compared to that of baseball it hard to say exactly how this will relate to his eventual involvement and spending with the Guardians but found his recent moves interesting and something to keep an eye on as he surely ramps up his involvement with our team over the coming months/years.
 
Green Demon said:
Our future minority owner has been making some interesting moves in the soccer world over the last week or so...


www.espn.com

Jazz owner, 76ers part owner buy MLS's Salt Lake

Major League Soccer has approved the sale of Real Salt Lake to David Blitzer and Smith Entertainment Group.
www.espn.com www.espn.com

To give some context on the Pepi deal to Augsberg, Pepi is arguably the next breakout US player who with the deal to Augsberg shattered the current MLS transfer $ record by $10 million with a $20 million transfer fee. A handful of the bigger more name teams(think Yankees, Lakers, Cowboys type teams etc. for those that dont follow soccer) were in the bidding for him but it been said that with the American connection (Blitzer) who is at a 45% stake in the club its said he wanted to link the club to this market so they did all they could to get the deal done, which in this case was overbidding everyone else for Pepi. Augsberg is not typically a big player in that league and this broke the teams spending record as well, obviously hard to know without the specifics of Blitzer overall spending involvement but seemed to be a spending boost with the team with his recent involvement.

With the differences in spending and the markets in soccer compared to that of baseball it hard to say exactly how this will relate to his eventual involvement and spending with the Guardians but found his recent moves interesting and something to keep an eye on as he surely ramps up his involvement with our team over the coming months/years.
Click to expand...
I cant imagine that the different professional sports leagues are excited by Blitzer getting his hand in all of the different leagues. As far as I can figure there is only 1 person that owns teams in more than 2 of the 4 professional leagues (Kroenke). Granted these are all minority shares, but he has shares in 76ers and Devils. This will give him Guardians. Plus he has shares in with a team in the premier league and MLS.

will be interested to see if this becomes an issue
 
For a different perspective within the AL Central....
twinsdaily.com

Uh-Oh! What if the Cleveland Guardians Get Competent Ownership?

A LOOK BACK AT THE CLEVELAND OWNERSHIP Cleveland had a dynamic decade. Playing them was always a daunting task. They have been blessed with outstanding pitchers such as Shane Bieber, Corey Kluber, Trevor Bauer, and Mike Clevinger. The hitting and defense of players like Francisco Lindor, Jose Ram...
twinsdaily.com twinsdaily.com
 
MadThinker88 said:
For a different perspective within the AL Central....
twinsdaily.com

Uh-Oh! What if the Cleveland Guardians Get Competent Ownership?

A LOOK BACK AT THE CLEVELAND OWNERSHIP Cleveland had a dynamic decade. Playing them was always a daunting task. They have been blessed with outstanding pitchers such as Shane Bieber, Corey Kluber, Trevor Bauer, and Mike Clevinger. The hitting and defense of players like Francisco Lindor, Jose Ram...
twinsdaily.com twinsdaily.com
Click to expand...
A different and highly inaccurate posting by the writer, although the basic conclusion is spot on.

IF our FO gets an infusion of cash that can be used to better the overall roster, the Guardians could be a consistent big boy in the division.

But we certainly don't need a change in the culture, and esp don't want the organization to go thru sweeping changes.

And she might want to do some research on the Sixers and esp the Devils.
 
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