The National Basketball Association's board of governors has officially voted to authorize the exploration of bids for new expansion teams in both Las Vegas and Seattle. This significant move marks a pivotal step toward potentially growing the league from its current 30 teams to 32 franchises.
Timeline and Financial Expectations
Last week, it was revealed that the NBA has tentatively cited the 2028-29 season as the target for these two new expansion franchises to begin playing games. The financial stakes are exceptionally high, with bids for teams from both cities expected to reach as much as $10 billion. Should these bids succeed, the new franchises would immediately rank among the NBA's top-eight revenue earners, underscoring the lucrative potential of these markets.
Commissioner's Statement and Process
NBA Commissioner Adam Silver commented on the decision in a statement released on Wednesday. He emphasized the historical support for NBA basketball in both cities, stating, "Today's vote reflects our Board's interest in exploring potential expansion to Las Vegas and Seattle - two markets with a long history of support for NBA basketball. We look forward to taking this next step and engaging with interested parties."
Following the approval vote, the NBA has engaged investment bank PJT Partners to assist with the expansion process. PJT Partners will evaluate a comprehensive range of factors, including the prospective markets, potential ownership groups, local arenas, and broader economic considerations involved in the expansion.
Historical Context and Market Demand
Expansion has been a recurring topic in the NBA for years, with Seattle and Las Vegas long clamoring for franchises. Seattle previously had an NBA team, the SuperSonics, until they were relocated to Oklahoma City in 2008. Las Vegas, despite hosting other major league teams and entertainment properties, has consistently expressed strong interest in securing an NBA franchise.
Commissioner Silver addressed this demand in remarks before the NBA Cup final in December, noting, "Not a secret, we're looking at this market in Las Vegas. We are looking at Seattle. We've looked at other markets as well. I'd say I want to be sensitive there about this notion that we're somehow teasing these markets, because I know we've been talking about it for a while."
Future Steps and Decision Timeline
The next critical phase involves a potential final vote later in 2026 to formally approve the expansion and complete the NBA's growth to 32 teams. For the expansion to be successful, it will require approval from 23 of the 30 governors. Silver elaborated on the ongoing evaluation process, stating, "I think now we're in the process of working with our teams and gauging the level of interest and having a better understanding of what the economics would be on the ground for those particular teams and what a pro forma would look like for them, and then sometime in 2026 we'll make a determination."
This exploration phase represents a major milestone in the NBA's strategic planning, with Las Vegas and Seattle positioned as prime candidates for expansion due to their robust market potential and historical ties to the sport.
