REPORT: Group Led By Magic Johnson Buys Dodgers For $2 Billion

Magic Johnson

Photo: AP Images

According to Dennis K. Berman of the Wall Street Journal (via Twitter), a group led by Magic Johnson have agreed to purchase the Los Angeles Dodgers for $2 billion, a record price for a U.S. pro sports franchise.Recently, valued the Dodgers at $1.4 billion, an increase of 75% over the previous year. However, it is unclear how much of the surrounding real estate was included in the sale. At $2 billion, it is likely that Johnson and Co. also acquired the surrounding parking lots, something that current owner Frank McCourt had been hoping to hold on to.

The previous record sale price for a Major League Baseball franchise was $845 million for the Chicago Cubs in 2009. McCourt purchased the Dodgers for $430 million in 2004. Ultimately, the value of the Dodgers skyrocketed in large part because of their pending television deal. McCourt already had one television deal rejected by Major League Baseball that was worth as much as $3 billion for 17 years ($175 million per year).

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