The inevitable sale of the Portland Trail Blazers is in motion, seven years after former owner Paul G. Allen died, leaving explicit instructions for his estate to sell off all assets for charitable causes.
The largest among the multi-billionaires’ considerable assets are the Blazers and the Seattle Seahawks. Both have greatly appreciated in value since complications of non-Hodgkin’s lymphoma ended Allen’s life at 65.
The sale of the state’s premier professional sports franchise, purchased by Allen in 1988, could lead to a dramatic shift in direction on and off the court for the Blazers, but as Rip City is hoping, not relocation.
For seven years, the estate’s trustee, Allen’s sister Jody Allen, insisted that the Blazers were not for sale, even rebuffing a reported offer of just over $2 billion from Nike co-founder Phil Knight in 2022.
On Tuesday morning, the franchise’s availability for purchase abruptly changed when the estate announced that the Blazers were on the market, and a sale could be finalized sometime next season.
“The Estate of Paul G. Allen today announced it has commenced a formal sales process for the Portland Trail Blazers NBA franchise, consistent with Allen’s directive to eventually sell his sports holdings and direct all Estate proceeds to philanthropy.”
Paul Allen
Former Trail Blazers owner Paul Allen died in October 2018. His estate announced Tuesday, March 13, that the franchise is up for sale.
The estate has hired an investment bank, Allen & Company, and the law firm of Hogan Lovells to lead the process, which ultimately must be ratified by the NBA’s board of governors.
According to a report from CNBC earlier this year, the franchise’s value is about $3.65 billion, which ranks 22nd among the league’s 30 teams.
According to the statement, the Seahawks and the estate’s 25% stake in the Seattle Sounders of the MLS are not for sale.
The estate’s shift on the Blazers has long been eagerly anticipated by a frustrated fan base, which has watched the team go from perennial playoff contender to experience the worst four-year stretch of losing (117-211) since the first four years of the franchise from 1970-1974 when they went 95-233.
Despite Jody Allen’s best efforts to maintain a position of strength as the Blazers’ chair, the franchise has appeared rudderless with no clear direction starting at the top.
Management, coaching, staff and roster moves have all been made under the cloud of the eventual sale of the franchise, which could lead to a complete reshaping of the Blazers from top to bottom.
Under Paul Allen, the Blazers enjoyed a direction under an owner committed to winning.
Allen purchased the Blazers in 1988 for $70 million and frequently poured money into trying to build a winner. Under Allen, the Blazers reached the NBA Finals in 1990 and 1992, losing both, and peaked in the Western Conference Finals in 1991, 1999 and 2000.
Their last trip that deep into the playoffs came in 2019, after Allen’s death, when stars Damian Lillard and CJ McCollum led the Blazers to the West finals.
Damian Lillardd and Jody Allen
Portland Trail Blazers owner Jody Allen, second from right, presents guard Damian Lillard with a trophy during a ceremony honoring him as the franchises all-time leading scorer after an NBA basketball game against the Charlotte Hornets in Portland, Ore., Monday, Dec. 26, 2022. (AP Photo/Craig Mitchelldyer) APAP
Lillard’s injury in 2021, and the firing of then team president Neil Olshey, led to a franchise reset under general manager Joe Cronin.
The Blazers, who traded Lillard to the Milwaukee Bucks in 2023, are 117-211 over their last four seasons, but showed progress last season, finishing 36-46 under coach Chauncey Billups, who completed his fourth season.
Both Cronin and Billups received contract extensions following the season. However, their futures could be in doubt under new ownership.
It’s customary for franchise owners to hire their own front office staff, and common for general managers to hire their own coaches, particularly when taking over a losing situation.
Many Blazers fans have routinely complained that the franchise lacked adequate vision and aggressiveness to build a title contender since Allen’s death.
However, a new owner with deep pockets and cache could elevate the Blazers’ national profile and push the envelope while making bold moves.
Perhaps a more pressing concern for Rip City is potential relocation. In some cases, the sale of a team elicits fears that the franchise could be moved, which occurred with the Seattle Supersonics.
In 2006, Clay Bennett purchased the Sonics and insisted he had no plans to move them. But after failing to secure public funding for a new home to replace the outdated Key Arena, Bennett moved the Sonics to Oklahoma City where they became the Thunder.
Kentucky v Gonzaga
A Seattle Supersonics fan dressed as Bigfoot is seen during the game between the Gonzaga Bulldogs and the Kentucky Wildcats at Climate Pledge Arena on December 07, 2024 in Seattle, Washington. (Photo by Steph Chambers/Getty Images)Getty Images
The Blazers’ current home, the Moda Center, is in better condition than Key Arena was in 2008. However, the 29-year-old Moda Center, which opened in 1995, is in need of renovations. Also, the Blazers’ original lease with the city runs out on Oct. 11, 2025.
Last summer, Rip City Management, which manages the Moda Center, and the City of Portland adopted a five-year “bridge agreement.“ RCM also has an option to extend for an additional five years, allowing time for renovations and to hammer out a long-term lease.
The agreement is contractually bound to remain in place even in the event of a sale.
The agreement keeps the Blazers at Moda Center at least through the 2029-30 season with an option for an extension through 2034-35.
Portland mayor Keith Wilson in a statement said: “My office is eager to build a strong partnership with the new ownership, ensuring that Oregon’s favorite basketball team continues to thrive right here in Portland.”
Senator Ron Wyden posted on X: “I’m glad for all of us rooting in #RipCity that Trail Blazers ownership is moving forward to make sure our team has a certain future. And by certain, I mean the Blazers staying right where they belong – in Portland."
The bridge agreement also involved the Blazers, who lease the land, to sell Moda Center to the city for $1.
In the meantime, Rip City Management would be responsible for completing maintenance, repairs and improvement projects.
Work will be completed this offseason to update the arena’s scoreboard and video screens.
The city is on the hook to match the cost of up to 50% of improvements. But that figure will be capped at revenues generated by the City from Blazers home games via ticket user fees and parking fees in City-owned Rose Quarter garages.
Knight’s interest in buying the team excited the fan base in part because his involvement helped enhance the Oregon Ducks athletics, particularly football. Also, he was expected to ensure the team remains in Portland and likely lead efforts to make dramatic improvements to the Moda Center and the Rose Quarter.
It’s unclear if Knight remains interested in buying the Blazers. He could not immediately be reached by The Oregonian/OregonLive for comment.
What’s clear is that the Blazers will fetch much more than what Knight reportedly offered three years ago.
The Boston Celtics, one of the league’s famed franchises, sold for $6.1 billion in March. That’s the largest franchise sale in U.S. professional sports history.
In 2023, less than a year after Allen turned down Knight’s offer, the Phoenix Suns were sold for $4 billion. Also in 2024, Mark Cuban sold 70% of his share in the Dallas Mavericks for $3.5 billion, and former NBA superstar Michael Jordan sold the Charlotte Hornets for $3 billion.
-- Aaron Fentress | afentress@Oregonian.com | @AaronJFentress (Twitter), @AaronJFentress (Instagram), @AaronFentress (Facebook)