LeHab
Registered User
- Aug 31, 2005
- 15,957
- 6,259
Oh, don't get me wrong, I'm not saying it's foolish to ask for $650,000,000. The fool is the one who pays it.
Again, Tampa and Ottawa as examples: both sets of owners who paid the expansion fees went belly-up. They never should have paid $50,000,000, wasn't worth it. Original Nashville ownership ended up selling, refusing to absorb any more losses. Devils/Rockies/Scouts owners went TU multiple times. The Islanders' expansion fees ($6 million to the NHL and $5 million to the Rangers) were a boat anchor around their necks for years and years; original managing partner Roy Boe bailed in '78. Expansion cousins the Flames didn't last much longer, with Tom Cousins dumping his distressed asset in 1980. (might have ended up breaking even given he sold to the Calgary group for $16 million)
Like any investment there is risk.