The Warriors' case has some owners and execs concerned of a widening wealth gap in the NBANBAE/GETTY IMAGES
Warriors Owner Joe Lacob has "informed fellow owners of a deal he's considering with Goldman Sachs" to raise up to $250M to "manage coming expenses" incurred due to the pandemic, according to sources cited by Brian Windhorst of ESPN.com. Sources added that other NBA owners are "investigating opportunities to raise capital as well," with some "pursuing legal action against insurance companies that have denied coronavirus pandemic claims." Sources said that the Warriors "derive around 80% of their revenue from Chase Center" and can clear more than $5M for some home games. But Windhorst noted many teams "earn less than $2 million per home date, and some get less than $1 million on average." Unlike some teams, the Warriors "haven't laid off or furloughed any employees." Getting the "fresh injection of capital could help the Warriors maintain their large payroll, which is expected to be above" $150M for the next few seasons. Multiple owners and high-ranking execs said that the Warriors' case is "creating some concerns of a deepening gulf between the have and have-not teams that could affect the league's short-term future" (ESPN.com, 7/27). THE ATHLETIC's Ethan Strauss cited sources as saying that the Warriors' deal has "not yet been agreed to and alternate options are being explored, including cash calls and other measures" (THEATHLETIC.com, 7/28).
