Brooklyn Nets
Brett Yormark announced his resignation as chief executive officer of BSE Global on Aug. 16, the same day it was announced that Joseph Tsai would be taking over full ownership of the Brooklyn Nets in a deal valued at $2.35 billion. Yormark, an SBJ Forty Under 40 Hall of Famer, spent 14 eventful years with the franchise that included the oft-delayed and hard-fought move of the Nets from New Jersey to Brooklyn in 2012, the construction of the Barclays Center, a transformational rebranding effort of the franchise and the expansion of BSE under Russian owner Mikhail Prokhorov and his Onexim Sports CEO Dmitry Razumov.
The hard-charging Yormark, one of the most high-profile industry executives, will depart BSE after the deal closes next month. He spoke with staff writer John Lombardo about his departure, his tenure with the Nets, his plans for the future and the state of the business.
On the timing of his resignation:
YORMARK: Whenever Joe was going to accelerate his 49 percent ownership, my time would be over. It just felt right. Over the course of the past 12 months, in talking to ownership, I sensed there would be an accelerated timeline. And it’s fair to say this past late spring, we knew this thing would be done before the end of the year. I extended my contract in June to go through December to help ownership get the deal done. I anticipate the deal closing sometime in the third week of September and that’s when I will transition out. It is a perfect way to leave.
On his professional future:
YORMARK: I can assure you that I am not taking a gap session. That is not who I am. I look forward to getting back into it. I am going to jump back in relatively quickly, but I won’t rush. I will make sure it is where I can make a difference. Wherever I go, I have to be able to bring a change. I am considering a couple of options right now, all of which are in the industry. I don’t anticipate running a team right now. I have done that for 15 years.
On his early years as Nets CEO:
YORMARK: When I took the job in 2005, I bought into [Bruce] Ratner’s vision of bringing sports entertainment back to Brooklyn. I didn’t know much about the real estate business and I underestimated some of the challenges we would face. With Bruce, he convinced me that it was going to happen. During my interview, I asked him what happens if we don’t get to Brooklyn. He said it wasn’t an option.
The first phase was how do you stabilize the franchise. That was a big challenge. The team made it clear that they were moving, but with the delays, it made things challenging and the fans didn’t feel vested anymore. So how do you build a team not knowing when you will get to Brooklyn? They wanted certainty, so certainly it was challenging. But thankfully we kept it together and we used our years in Jersey as a proving ground for what we wanted to launch in Brooklyn, whether it was for sponsorships or premium tickets. It was, "Let’s use Jersey as of bit of an incubator." That was our mindset. In my [Aug. 16] town hall meeting, I read excerpts from my first town hall meeting from my first day on the job. It was about setting ourselves up for Brooklyn. It is amazing how what I said all came to fruition. There were many doubters.
On the importance of landing Barclays as the naming-rights partner in Brooklyn:
YORMARK: We don’t get to Brooklyn without Barclays. Doing that naming-rights deal early made it real for a lot of people. For me, getting the validation from a global company in advance of breaking ground was critically important and we were going through the financial crisis at the time. They could have left. They saw the vision.
[Former Turner Sports President] David Levy and Turner Sports committed to the first suite. I said to David, "I need you on this. Make it real," and he did and I’m forever grateful.
On dealing with the delays in moving to Brooklyn:
YORMARK: There were 36 lawsuits. Toward the end, maybe lawsuit 36, I was at the mall with my kids when Bruce called and said it was delayed with another lawsuit. I said, "What am I doing here? I’m not sure I signed up for this." After the emotional outburst, I said that we will fight through it. I look back and I am happy I persevered. I think about it now. As much as the challenges, I knew we’d get there. The story was too good not to be told.
Bruce Ratner, Brooklyn Borough President Marty Markowitz, Jay-Z and Brett Yormark helped bring an NBA team to Brooklyn in 2012.Getty images
On the Sept. 28, 2012, Barclays Center opening night featuring a Jay-Z concert:
YORMARK: It was my birthday. I was 46. I picked that day and Bruce Ratner was cool with it. It was the most memorable moment of my life. It was everything coming together and sharing it with my family. What's better than that?
On working for a Russian ownership group:
YORMARK: Early on it was fair to say there were some barriers with culture and language. Things that you have to work through and manage, but in time you become very comfortable with one another. They became more and more westernized and they got more familiar with our business. I remember sitting with prospective buyers and there was incredible apprehension. But they were all in. They gave us the resources and they were there when we needed them. Their mantra was to hire the best people and let them do what they do.
On how the business has changed during his 14 years as CEO:
YORMARK: The stakes are bigger; just look at the transaction prices. These are global businesses and this is not just a local franchise anymore. The business is now data driven. Decisions are information based. Another key change is how we reach consumers and how consumers consume our content.
On how he changed during his tenure:
YORMARK: I became more patient, more thoughtful. I am always going to be hard charging, but it is a different type of aggressive. I am more collaborative. I became more confident with the people around me. They helped me become a better me.
On what he learned as CEO:
YORMARK: It’s that more than anything, we are in the people business. I learned a lot in how to manage people and work through challenging situations. I am just a better executive and I will define that as being better with people. Through all the trials and tribulations, I think we got stronger and my relationships got stronger. I am a better person because there is a ton of learning experiences. Whatever success or challenges we faced, they are all experiences we learn from. So I have no regrets at all.
On the future of BSE Global:
YORMARK: I think Joe and his team will have to decide what the next chapter will look like and what businesses do they want to tap into. From my discussions, they lean more toward tech and media. It is the passing of the baton and we have given them an incredible voice and the opportunities are endless for them. You can’t always choose when you pivot, but we just had the most successful summer in the franchise. We have great human capital within the organization.
Writers Bill King and John Lombardo reflect on Brett Yormark's career:
Editor’s note: This story is revised from the print edition.
