Cleveland Cavaliers owner Dan Gilbert is exploring the sale of up to a 15% minority stake in the franchise, according to a report by Sportico. The move comes as NBA franchise valuations continue to skyrocket, offering owners a lucrative opportunity to capitalize on the league’s financial boom.
Despite the potential sale, Gilbert, who purchased the Cavaliers in 2005 for $375 million, will retain majority ownership and full decision-making authority. The billionaire has hired investment bank Allen & Company to manage the process, which could involve a single buyer or multiple investors.
Sportico currently values the Cavaliers at approximately $3.95 billion, while CNBC’s February 2025 rankings place the team even higher at $4.35 billion. Based on those figures, a 15% stake could fetch Gilbert around $652 million—a staggering return on his original investment.
Gilbert’s decision aligns with a broader trend of NBA stakeholders cashing in on record-high valuations. Recent deals include the Los Angeles Lakers’ $10 billion valuation and the Boston Celtics’ $6.1 billion sale, both well above market estimates. NBA team values have surged more than 1,000% over the past 15 years, making minority stakes increasingly attractive to investors.
While the sale may raise eyebrows among fans, there’s no indication Gilbert is stepping away from the franchise. His Rock Entertainment Group continues to oversee the Cavaliers, the AHL’s Cleveland Monsters, the G League’s Cleveland Charge, and Rocket Mortgage FieldHouse. He’s also spearheading a $100 million redevelopment project in downtown Cleveland, including the Cleveland Clinic Global Peak Performance Center, set to open in 2027.
Additionally, Gilbert is actively pursuing a WNBA expansion team for Cleveland, with Allen & Company also advising on that effort.
The Cavaliers are coming off a 64-win season, second-best in franchise history, and remain one of the league’s most promising young teams. With Gilbert maintaining control, fans can expect continuity in leadership and vision, even as new investors potentially join the ownership group.
