Houston businessman Tilman Fertitta has purchased the Houston Rockets for $2.2 billion without any other investors tied to the sale. This is a record in the sport and Fertitta has had courtside seats for for some time. This is a good move for the Rockets who were on the sale market, and it ensures they will stay right at home.
Fertitta once bid $81 million for the team in the 90s and now he has to fork over nearly 30 times more than he bid originally. This is incredible when you take a look at the numbers.
More than the Clippers
The $2.2 billion deal is more than the Clippers were sold for a few years ago and it shows that values in the sport are still rising.
Fertitta wanted to own a team for a while, and he is taking over a team that is in his hometown. That is a dream come true for him — similar to what Arthur Blank was able to do in Atlanta when he bought the Falcons. The sale includes control of the Toyota Cente, and it will ensure that Fertitta has a platform under which he can grow any other brands he wants in sports.
Why now?
Leslie Alexander formerly owned the Rockets, and he had been looking to sell for a while. The team has operated as normal considering they have picked up Chris Paul, competed for Carmelo Anthony, and signed James Harden to a long contract. They are more than capable of competing in the west, and they simply change hands to someone who will keep the ship going in the right direction.
One might compare this to Bob Stoops stepping away a time where he could easily name his successor. It is a smart move for the team and it creates little turmoil for the Rockets if any.
Gambling off limits at Fertitta's casino
Fertitta owns Golden Nugget Casinos and those casinos will not be able to offer bets on the Rockets once the sale goes through.
This is something many of us had not considered.
He also owns one of the largest restaurant businesses in America. Surely the Rockets will become a part of their overall marketing plan going forward. This may become quite a lot of fun for the company to play around with because the Rockets are a nationally known brand.
This is good for Houston
This is a good move for the city of Houston because it does not seem that Fertitta wants to move the team. He is a Houston resident who has been going to games for years and he will be more like Mark Cuban given his tendency to sit at courtside for the games. That will make him more hands on and it could help the Rockets move forward.
