Bando Calrissian

August 9th, 2010 at 11:56 AM ^

I really wonder how anyone could own 3 professional franchises in a single market.  Ilitch is a rich man, but with all of his other ventures AND the Wings and Tigers, where's that cash going to come from, especially with the expense of a new arena on the horizon?

brose

August 9th, 2010 at 12:30 PM ^

The Tigers would have never had a salary over $100M/year.  Based on their market size and TV revenue.

 

From a business standpoint, i.e. profit only, the Tigers should have a $70-$80M salary.  Keep the revenue high (80% capacity at games, etc.) while keeping salaries in check.  And Magglio shouldn't have hit his incentives last year - again cut throat business.  See Orioles, Baltimore or Marlins, Florida to see how to maximize MLB profit.

 

Illitch does let his love of Detroit and desire to win sometimes make a decision for the fans and not his pocketbook.  These are things I LOVE about the guy, but all his sports dealings have hardly lead me to believe maximizing profit is his sole goal with Detroit sports. 

Blazefire

August 9th, 2010 at 12:47 PM ^

The question was, where does he get the money to own and operate the teams and his other businesses. The answer was, from the teams and his other businesses. I would venture that the Wings and the Tigers, while maybe not profit  taking, definitely aren't huge money pits, either. And obviously LCP and his other businesses make a lot of dough.

brose

August 9th, 2010 at 1:13 PM ^

I guess I  misinterpreted your post.  I thought you were saying he only gets involved with pro sports to make money...whcih I don't believe to be the case.  I am a huge fan of the man though.  From Dead Things to best (arguably) franchise in sports is an unbelievable accomplishment.

Bryan

August 9th, 2010 at 12:01 PM ^

I imagine he would need to go in as a partner with someone on this deal. The team is believed to be worth $500m, and I'm not sure Illitch has the cash for a purchase and to build a new area. 

holtod07

August 9th, 2010 at 12:12 PM ^

Mike Illitch being linked to buying the Detrot Pistons is the worst kept secret in Detroit pro sports.

That being said, keeping the team in Detroit and eventually moving them back downtown sounds like a great plan to me.

brose

August 9th, 2010 at 12:15 PM ^

No one should own three sports franchises in one city - even the beloved Illitch's.  It can create cash flow issues (even for the uber rich) and force the management of one team to get preferential treatment over another. 

 

Also from a selfish standpoint, I like MLB, Love NHL and dislike NBA.  So if this move makes a good NBA team at the expense of either of the others, I miss out. 

Geoff

August 9th, 2010 at 12:19 PM ^

I hope this happens and that he moves the team back downtown. I like basketball a lot but I hate driving to the Palace. It feels like I spend the entire game hoping it doesn't go to overtime so I don't get home after midnight.

BBA1993

August 9th, 2010 at 12:54 PM ^

Illitch started telegraphing this move when he hired Tom Wilson back in February to work on a new downtown stadium. Illitch won't be able to get as much public funding for a new Wings-only stadium given the state of the local economy, so buying the Pistons and developing a property that has 80 guaranteed dates at 15,000-20,000 in foot traffic instead of 40 makes a lot of sense. He will be able to get more private development money for the stadium with that type of utilization rate. Throw in his theater, restaurant and casino holidngs in with the Tigers, and Illitch practically controls all of the events-driven traffic flow into downtown. Plus, the NBA is salary-capped, so like the NHL, there is a lot of cost certainty in that business. Even at $500 mm (and I bet the Pistons don't end up selling anything close to that given that Illitch is basically the only logical local buyer), this makes a lot of sense for him.

CRex

August 9th, 2010 at 2:16 PM ^

If Illitch owns both the Red Wings and the Pistons it puts him on an excellent footing in terms of getting a new arena built downtown where both teams can play.

(Also I had no idea there was an old basketball arena in the Cobo.  I was walking into the autoshow one day, glanced to my right and saw it through an open door.  Blew my mind.)

Waffles

August 9th, 2010 at 2:32 PM ^

I would really like it if Illitch were to buy the Pistons, gives us the best possible chance of keeping the team here, instead of the franchise possibly getting moved to a place like Las Vegas.  Get it done Illitch!

Rx

August 9th, 2010 at 5:34 PM ^

To be honest I don't care who the owner is as long as he cares about the team and moves them to detroit. The Palace is an amazing arena, but I hate teams that have their stadium outside of the city let alone 45 min outside the city. Downtown needs the Pistons/ Red wings in the same area as comerica and ford field to help get the suburanites to come to the city. It would be nice to have an exciting downtown area and nothing gets people downtown like a sports team.

Griff88

August 9th, 2010 at 7:50 PM ^

I think this is as much, if not more about acquiring Palace Entertainment. I will be a little surprised if a deal gets done. It's no secret that there was no love lost between Bill Davidson, and Mike Ilitch. I know business is business, but if Karen Davidson sells to her husband's biggest rival... I think it would be kinda strange.