To derive the fair market value of the 32 NHL franchises,
Sportico calculated each team’s revenue, relying on publicly available information and financial records—as well as interviews with those knowledgeable of team finances, including nine sports bankers and lawyers who actively work on NHL transactions. In the interest of accuracy, we traded candor for anonymity. This information was vetted with multiple team owners, team financial and operating officers, media relations personnel and former team executives, as well as industry experts and sports-focused economists. Below are definitions of some major metrics.
Total Value: The sum of the fair-market value of an NHL franchise, combined with the value of team-related businesses and real estate holdings.
Team Value: NHL franchise valuation, derived from metrics by which hockey-team transactions occur, including aggregating local and national revenues and factoring in a team-specific multiplier. This represents the fair market value of the team itself, excluding related businesses held by its owners.
Team-Related Businesses and Real Estate Holdings: The value of a franchise owner’s equity in team-related businesses that are distinct corporate entities, as well as government-assessed real estate related to venues, practice facilities and other properties.
This category
excludes value derived from enterprises determined as too attenuated from the hockey team’s operations, which fall into three categories: (1) rent from non-hockey, outside-of-arena operations, such as the Oilers’ ICE District venture; (2) licensing fees paid by non-hockey third parties to a team’s sister company for the use of intellectual property; (3) team owners’ investment in businesses unrelated to franchise operations.
For franchises that do not own their arenas, the value of a team’s lease—often with advantageous terms negotiated with municipal or state authorities—is captured in the Team Value category.
Full Transparency
Sportico is committed to transparency, including provision of detailed methodology and sourcing information below. For any questions, please contact sports valuations reporter Kurt Badenhausen at
[email protected].
Fair Market Franchise Valuations
To derive the estimated enterprise value of the 32 NHL franchises, Sportico calculated each team's revenue, relying on publicly available information and financial records—as well as interviews with those knowledgeable of team finances, including eight sports bankers and lawyers who actively work on NHL transactions. In the interest of accuracy, we traded candor for anonymity. This information was vetted with multiple team owners, team financial and operating officers, media relations personnel and former team executives, as well as industry experts and investors.
Revenue totals were then subject to a team-specific multiplier, which, based on interviews with multiple sports bankers, remains the most common manner by which transactions are judged in sports, due to dramatic fluctuations of earnings before interest, taxes, depreciation and amortization (EBITDA), year-over-year, based on salary cap spending and special expenses.
The team-specific multipliers were based on numerous factors, including historical sales, market (size, saturation and interest by prospective owners), strength of brand, on-ice performance (historical and recent), terms of facility lease, debt burden, and expected future team and league economics. These ranged from a 4.5 times revenue multiple to 7.5 in the case of the Toronto Maple Leafs.
Sportico's revenues and valuations take into account league revenue sharing. In the NHL, 10 teams pay into revenue sharing under a complicated formula that targets 6.05% of hockey-related revenue to be distributed to low revenue clubs. The pool is supplemented with gate receipts from playoff games. Low revenue teams received nearly $300 million last season, with the pool dented by the NHL's revenue shortfall during COVID-19. Those clubs should pocket $400 million annually within the next couple of seasons.
Revenue was calculated based on analyses of data from industry sources and reports, as well as interviews with experts and those with knowledge of team and league finances as detailed below. Together, this comprised hundreds of inputs of confirmed and estimated information from dozens of sources.
NHL Franchise Review and Comments
Among the 32 NHL franchises, 13 teams participated with
Sportico by validating financial information, while others did not respond. The National Hockey League would not comment on individual team finances.
Financial and Industry Sources
Team and league financial information was derived from the following sources: Securities and Exchange Commission filings for Madison Square Garden Sports Corp., as well as those of related entity Madison Square Garden Entertainment; the 2013 NHL-NHLPA Collective Bargaining Agreement, which was extended in 2020, including a Memorandum of Understanding, through the 2025-26 season; and analyses of historical team sales from 2011 to 2023, based on
Sportico research.
Industry data sources include: the Association of Luxury Suite Directors (for club and luxury suite capacity, occupancy and pricing); Team Marketing Report (fan spending and sponsorship information); individual team and sponsor websites; Chris Bigelow of the Bigelow Companies (per capita spending on stadium concessions); the Marquette University Law School (historical sports facility lease information); S&P Global Market Intelligence (subscriber, revenue and cash flow data pertaining to four regional sports networks); The Canadian Radio-television and Telecommunications Commission's Discretionary and On-Demand Service data (pertaining to two separate TV outlets owned or partially owned by the Toronto Maple Leafs' parent entities); and multiple synopses related to Sinclair Broadcast Group's purchase of 22 sports-specific cable TV outlets in 2019.
Government Sources
To assess team-owned real estate with consistency, Sportico included government property appraisals. Sources included: City and County of Denver Property Appraisal System (Colorado); Cook County Assessor's Office (Illinois); Dallas Central Appraisal System (Texas); District of Columbia Office of Tax and Revenue; Montreal's property assessment office (Quebec); City of Boston Assessing Department (Massachusetts); City of Philadelphia Office of Property Assessment (Pennsylvania); BC Assessment (British Columbia); City of Winnipeg Assessment and Taxation Department (Manitoba); Clark County Assessor's Office (Nevada); Los Angeles County Property Assessment Informational System (California); Ottawa Real Estate Board (Ontario); Edmonton Assessment and Taxation Branch (Alberta); and Toronto Real Estate Board (Ontario).