Home/NBA

via Imago

via Imago

0
  Debate

Debate

Are the NBA's new financial rules killing the dream of building legendary dynasties like the Bulls?

Speculation has been common around Wyc Grousbeck’s decision to sell the Boston Celtics. Their statement claimed ‘family planning’ reasons. Then there were reports of a disagreement between the son and father over the inflating Shamrocks’ payroll. However, some owners around the league are making an intriguing case. The NBA, in itself, might be responsible for renowned owners deciding to sell their stakes.

Mark Cuban sold his majority stake, Michael Jordan did it with the Hornets and even the Suns announced Matt Ishbia as their new owner. What’s the reason for such an abrupt change in the ownership landscape? Of course, all had to have personal reasons to part ways. However, there is also a universal belief the NBA’s new regulations might have discouraged old-school players.

“It’s going to be near impossible to keep great teams together. It’s no longer just about money. It’s now about keeping draft picks and being able to improve your team, and facing a hard cap,” an anonymous NBA owner said.

ADVERTISEMENT

Article continues below this ad

USA Today via Reuters

This comes with the introduction of the second apron. Apart from the other implications that make transactions tough for such teams, there are also hefty tax payments. The Celtics, who will be in the second apron for a third straight year next season, will be paying $500 million just to keep the team together. The constraints on maintaining a championship core could have forced Grousbeck to pull the plug.

“No one wants to be an owner that has to break up a championship or great team, because of the (second) apron hard cap. Your fans won’t understand any of this. They will just hate you. I think that’s why Wyc is selling,” the same owner told The New York Times. But being from a Boston native and a fan before an owner, the Grousbeck family has placed themselves to witness their championship window before they take a complete exit.

How Wyc Grousbeck has strategically positioned the sale of the Celtics

ADVERTISEMENT

Article continues below this ad

Just last month, Grousbeck revealed the “sale process is gearing up and about to hit full speed,”. But with the two-part division of the sale, the Celtics’ top brass ensures he aligns his stay just as long as the title core. Notably, initially, a 51% stake will be held, and then, in 2028, Grousbeck will sell the remainder 49%.

What’s your perspective on:

Are the NBA's new financial rules killing the dream of building legendary dynasties like the Bulls?

Have an interesting take?

In that window, the 63-year-old businessman will remain the team’s governor. It’s time for some of their major contributors’ contracts to enter their last years. Jrue Holiday will have a player option, Payton Pritchard will be in his last season and Sam Hauser and Derrick White will have an additional year if they choose to extend their stay. Jaylen Brown and Jayson Tatum, key players, will also be facing important decisions when Grousbeck leaves.

Essentially, it will be the last year of the Celtics’ championship push. In that context, while the Celtics are willing to pay, other teams may not. In a five-year window, those hopeful for a title can remain in the second apron for two years. If they surpass the limit, their first-round pick from seven years won’t just be frozen, but automatically become the 30th pick.

ADVERTISEMENT

Article continues below this ad

Hence, even after losing Paul George, the Clippers didn’t make a defining move and chose to stay under the second apron. Same with the Warriors hard capping themselves just under. It does ensure an equitable playing field, with all teams having a chance to emerge as contenders. At the same time, the concept of having a dynasty like the Spurs or even the Bulls becomes complicated. Without shedding hundreds of millions each season, it’s impossible.

As a fan, do you think this concept helps the NBA? Let us know your views in the comments below.

Have something to say?

Let the world know your perspective.