he New York Post's Fred Kerber reports that Jay-Z's pitch to his friend included proposed clothing and fragrance lines, along with opportunities in entertainment.
Jay-Z reportedly offered LeBron James his own fragrance and clothing line to join the Nets.Fact or fiction . . . or friction
Because Cleveland was ground zero for the influx of free-agent news and rumors Thursday, it's a little difficult to separate fact from fiction. Or should that be friction? But we gave it the old college try.
• The New York Post's Fred Kerber reports that Jay-Z's pitch to his friend included proposed clothing and fragrance lines, along with opportunities in entertainment.
• In an article for Bloomberg, Erik Matuszewski cites Forbes' report that the average NBA franchise is worth $367 million and then quotes Michael Cramer, the former president of baseball's Texas Rangers and hockey's Dallas Stars who teaches sports business at New York University, as saying that if James leaves: “I wouldn't be surprised if the Cavaliers in a year or two are below the league average in terms of value. One player has a tremendous impact, especially in the NBA, and especially when you're talking about one of the top two or three visible, recognizable players not only in the league, but in all of professional sports.”
Former Portland Trail Blazers President Bob Whitsitt told Matuszewski, “If I asked today what could you sell the Cavaliers for, obviously the first question is, ‘Is LeBron on the team or not?' If he's not on the team, you're probably going to be looking at something that starts with a 2, maybe $250 million. If he's on the team, you're looking at something that starts with a 5.”
But Russ Granik, who recently retired as the NBA's deputy commissioner after 30 years with the league, told Matuszewski: “Having a player of LeBron's caliber is going to improve the way your team plays and is going to provide more in the short term in ticket sales, sponsorship revenues and maybe even TV revenues. But when you're talking about assets that are worth $300 million on up, I don't think it would have that much effect on that valuation. I think that's crazy.”
Rick Burton, the David Falk professor of sports management at Syracuse University, agreed and told Matuszewski: “It may be a while again before Cleveland puts the right pieces in place, but is the asset value going to go down? Not necessarily, if the health of the league is strong, the ratings from the Finals are up and the economy comes back around.”