The NBA’s new TV deal has prompted the league to increase the amount of money that franchises may borrow from the league to $250MM apiece, an increase of greater than 40%, reports Daniel Kaplan of the SportsBusiness Journal. The league is seeking to add about $1.5 billion to its coffers for the purposes of lending, which would bring that reserve close to $4 billion, Kaplan also writes.
Here’s more from around the Association:
- The increase in the allowable debt level to $250MM for NBA teams is a sign of two things: the impact of the league’s $24 billion broadcast deal and the increasing valuations of teams, Nick Zobel of USA Today writes. The increase in the debt limit also makes purchases of franchises more attractive for potential owners because they are more readily able to secure financing from the league, notes Zobel.
- Josh Powell has officially joined the Rockets coaching staff, Mark Berman of Fox 26 tweets. Powell had turned down multiple offers to play overseas to pursue this opportunity, and he received a one-year deal from the team, Berman adds.
- There is strong support from NBA front office types across the board for Duke center Jahlil Okafor as the front-runner to become the No. 1 overall pick, as Chad Ford of ESPN.com writes in a chat with readers.
- Jeff Taylor‘s 24 game suspension for domestic violence isn’t setting a precedent for such cases, Marc Stein of ESPN.com reports (Twitter link). The league intends to handle these situations on a case-by-case basis, notes Stein.
Chuck Myron contributed to this post.