Blame Vernon Wells and Joe Blanton’s atrocious contracts all you want, they aren’t why the Los Angeles Angels dropped a spot in Forbes’ annual MLB team valuation list. The Halos ranked 10th with an estimated worth of $775 million.
Down from last year’s No. 9 ranking, the Angels increased their operating income by 5.8 percent and gained an addition $14 million in revenue, but still swapped positions with the St. Louis Cardinals. The average value of a MLB team is now $811 million, up 9 percent from 2013.
A major source of cash flow for the Angels is in the 20-year, $3 billion television contract they signed with Fox Sport in 2011. So far, a big chunk of the $150 million per year earned has gone to free agent signing like Albert Pujols and Josh Hamilton.
Forbes calculates a team’s value by analyzing their debit and equity, including revenue and expenses for events not related to baseball. Ownership in sports networks or concession businesses is not considered. In the Angels case motocross events, the yearly Harvest Crusades festival, and various concerts held at Angels Stadium are taken into account.
Last September, Angels owner Arte Moreno and the city of Anaheim nearly agreed to a deal that would grant the team 153 acres of land surrounding Angels Stadium. In turn, they would plug $150 million into renovating the 48-year-old ballpark. Anaheim Mayor Tom Tait rebuffed the offer, sending Moreno in search of a new Orange County home.
The Angels can opt-out of their deal with Anaheim between October ’16 and October ‘19. Expect their value to jump if they do so.
The New York Yankees are valued at $2.5 billion, topping Forbes’ listing for the 17th straight time. Fresh off their new television deal, the Los Angeles Dodgers placed second with $2 billion, a 24 percent jump from last year.