Cleveland Cavaliers owner Dan Gilbert may be ready to cash in — at least partially — on the soaring values of NBA franchises.
Gilbert is weighing the sale of up to 15% of the Cavaliers, according to a report from Sportico. The billionaire has hired investment bank Allen & Company to explore the move, which would leave his controlling stake untouched.
Gilbert purchased the team in 2005 for $375 million — a record for a solo NBA franchise at the time. Sportico valued the Cavaliers at $3.95 billion as of December, ranking 18th in the league.
NBA team valuations have soared more than 1,000% over the past 15 years, Sportico reported, with recent sales of the NBA’s two marquee franchises — the Los Angeles Lakers ($10 billion) and the Boston Celtics ($6.1 billion) — coming in well above estimates. The previous record price for an NBA franchise had been $4 billion, by Matt Ishbia for the Phoenix Suns in 2022.
In 2023, Jimmy and Dee Haslam, owners of the Cleveland Browns, acquired a 25% stake in the Milwaukee Bucks from Marc Lasry. The deal valued the Bucks at approximately $3.5 billion, making it one of the highest valuations for an NBA team at that time.
Gilbert’s sports holdings sit under the Rock Entertainment Group umbrella, which includes the AHL’s Cleveland Monsters, G League’s Cleveland Charge, Rocket Arena, and a media network co-owned with Gray Media. REG is also backing Cleveland’s bid for a WNBA expansion franchise — with Allen & Company involved in that effort as well.
Gilbert, who made his fortune with Quicken Loans (now Rocket Mortgage), has a net worth of $32.1 billion, according to Bloomberg.
The Cavs are coming off their second-best regular season in franchise history, going 64-18 before falling to the Indiana Pacers in five games in the Eastern Conference semifinals.