The baseball world got a shocking development this week when it was reported that the Angelos family would be selling the club to an investment group led by David Rubenstein. The next day, the club confirmed the agreement with an announcement of the $1.725 billion sale.
Details continue to trickle out about the deal, with Pamela Wood of The Baltimore Banner looking backwards to the club’s negotiations with the State of Maryland. The Orioles and state officials were in contact for much of last year. The club’s lease of Camden Yards was set to expire after 2023 and the two sides took talks down to the middle of December before a new lease was approved.
There were plenty of speed bumps along the way. It was in early December that it was initially reported that Rubenstein was in talks to purchase the club. That seemed to delay the lease talks, with state senator Bill Ferguson expressing trepidation about giving out land development rights to an organization with an unclear ownership structure. The land development rights were part of the talks because John Angelos was reportedly attempting to leverage the negotiations into getting public land for a mixed-use project, combining Camden Yards with commercial and residential spaces.
Per Wood’s report, Angelos did not give Governor Wes Moore or other state officials any kinds of heads up about the sale agreement. Treasurer Dereck Davis said that Angelos “categorically denied that that they were for sale” before selling the team. “It wasn’t just that we weren’t told something. We were lied to,” Davis said.
“The transparency that was required — it was not there,” Gov. Moore said. “And it’s disappointing.”
“I do think that John’s behavior displayed an incredible lack of respect for the state and our role in working with the Baltimore Orioles and our role as the owners of the home of the Baltimore Orioles,” comptroller Brooke Lierman said. “It’s incredibly disappointing, although, frankly not surprising.” Despite the harsh words, it seems state officials suspected something was up and proceeded accordingly. “That said, we crafted an agreement in such a way that it would not matter who owned the Orioles because I think many of us believed that the Angelos family’s days as owners were numbered anyways,” Lierman said. “It was important for us to protect the state and taxpayers and our assets, no matter who the owners are.”
Though the two sides did eventually get a deal done, Angelos did not get the land he craved. The 30-year agreement does give the club a chance to opt out after 15 years if they don’t get a development deal within the next four years. Ken Rosenthal and Britt Ghiroli of The Athletic also reported on the sale this week, relaying that some people in baseball believe that the lack of a land deal was part of what motivated Angelos to sell. On top of that, the family is also looking to improve its liquidity. Rosenthal and Ghiroli relay that they are looking to sell various assets, including One Charles Center, a 22-story office tower in Baltimore.
Going forward, the sale still needs to be approved by Major League Baseball. The owners are having a scheduled meeting next week but Buster Olney of ESPN reports that the sale is not on the docket. Rosenthal and Ghiroli suggest it will likely take months for the league to conduct background checks on everyone in the ownership group. Per Wood and Andy Kostka of the Baltimore Banner, the full group includes New York businessman Michael Arougheti, his partners Mitchell Goldstein and Michael Smith, Orioles Hall of Fame shortstop Cal Ripken Jr., former mayor of New York Michael Bloomberg, former mayor of Baltimore Kurt Schmoke, Washington Spirit majority owner Michele Kang and NBA Hall of Famer Grant Hill.
There’s also the future of the MASN issue to be considered. The Orioles and Nationals share ownership of the network, which has the broadcast rights for both clubs, with the O’s currently owning 76% of the network but dropping to 67% by 2032. Those details were worked out as part of the agreement to move the Expos from Montreal to Washington almost 20 years ago. As a compromise for moving a club into Baltimore’s territorial range, the O’s got control of the Nationals’ TV rights and the two sides have been disputing the finances of that arrangement for quite some time.
The Lerner family has been trying to sell the Nats for almost two years now, announcing in April of 2022 that they would explore the possibility. There’s been little apparent progress towards a deal, however, with reporting from about this time a year ago suggesting the MASN dispute was a key factor. Rosenthal and Ghiroli suggest that Rubenstein might sell the O’s share of MASN to Ted Leonsis, with some in the industry expecting that to eventually happen.
Leonsis owns the Washington Wizards, Washington Capitals, and Washington Mystics, as well as the Monumental Sports Network, which broadcasts those three clubs. Getting the Orioles’ TV rights could enhance the programming options for Monumental. It was reported in November of 2022 that the Lerner family was hoping to get $2.5 billion in selling the Nats but the TV rights situation was preventing them from getting to that price point. Rosenthal and Ghiroli report today that Leonsis had offered $2.2 billion. It’s unknown whether Leonsis acquiring Baltimore’s MASN share would impact any future negotiations with the Lerners.
All told, there will be plenty of domino effects worth watching out for as the situation progresses.
Wonder if this spurs them into adding someone like Snell or Monty.
Nope. What part of “it will take time” did you miss?
I doubt it but it’s certainly not impossible. Especially if they’re open to taking deferred money.
You gonna be ok?
Rubenstein could float a deal to the current team’s ownership essentially being a pass through to increase payroll. Tough to say how much taste for that Rubenstein has.
I suspect not. The deal will need to be approved. Not say will the Angelos spend a penny more until they have enough certainty.
Not likely. Selling the team doesn’t increase the revenue. Plus, this won’t be completed until Peter Angelos dies. Right now this is just a plan to buy the team, not an approved deal.
Control will still shift to Rubenstein as soon as it’s approved by MLB & the owners. It’s only the minority 30% that is pending Peter’s demise.
John reeks of the kind of guy who just wants to rake it in while not being bothered with accountability to fans or taxpayers. Which is fine, but owning what other people consider public trusts doesn’t fit that. And I know, other people and feelings…that’s woke or whatever buzzword it is this month.
He’s more suited for private equity, consulting or hedge funds.
Parasitic industries that shouldn’t exist?
Consultants shouldn’t exist?
“Parasitic industries” with a ‘profit above all else’ ethos with no regard for how it affects anyone else? Remember the largest banks and investment houses from 2008? The ones you and I and everyone else bailed out? Yeah, we could do without more of that.
“This is America’s real baseball team and America’s real baseball stadium and Americas real baseball capital city” (the quote refers to the Orioles)
And John Fisher is currently trying to find investors for the ballpark-less, no TV deal having A’s at a $2 billion dollar valuation. $500m for 25%….he must be very saddened by this news.
Thanks for helping me out on Immaculate Grid all the time Matt.
I hit dingers, chug brews and mash glizzys. I’ll add this to my resume.
Denny’s is leaving Oakland too. Even they can’t survive in the city.
Oh please there’s been like 50+ restaurants that have opened up in downtown the last year. Sure that part of Oakland is pretty crazy but acting like it’s a ship businesses are abandoning is absurd.
Whoa nobody cares how many open if more are closing. But we are talking Denny’s, a national treasure and probably a Matt Stairs go-to.
I don’t think more are closing. Sir, this is a Denny’s.
Did a quick search and it looks like I am right. Flooded with lots of stories with businesses shutting down in Oakland, citing crime. Highly doubt more are opening up.
You can think whatever you want, but the A’s moving is exactly what should have happened years ago. Fix your city.
Oakland is collapsing. Regardless of whether fans of the city are willing to accept it. All you have to do is compare it to the city across the bay and the trend is obvious.
He was so gross that even the other owners felt the need to regulate him with a massive sales tax if he tries to sell the team right after the move.
I am hoping the new owners dump the cartoon Oriole logo and return the serious bird to the cap and logo. I just can’t take the O’s seriously with that kids version logo.
Not an Orioles fan but I have to say this is the best thing to happen to the franchise since Cal Ripken Jr. caught the last out of the 1983 World Series!
What’s that mean? “since the last out of the 1983 World Series!” I don’t get it.
Here, we’ll slow it down for you…..
Selling the team/having Angelos out of the picture is a good thing in God’s other son’s opinion.
Do you need more assistance?
Yes, but it’s unlikely you’re qualified to provide said assistance. It’s OK. Few are.
Since the politicos seem to dislike the Angelos family, why are they grousing about the sale? It sounds like the new bunch is going to kiss up to the politicians a lot more. If I were one of the Maryland pols, I would just be happy about the sale of the franchise.
Because politicians complain about everything…unless it results in the politicians getting more wealth.
No one will “kiss up” to the politicians more than Angelos. He was a straight brownnosing liar.
The linked story makes it sound like Angelos was anything but a brown noser with the politicians. Sounds like he was trying to drive the best deal possible and didn’t much care what the politicos thought of him. You would think that the politicians would just be happy to get rid of Angelos and his family while keeping the franchise in Baltimore.
More a backhand brag about how they weren’t leveraged into free land and taxpayer funding, like Vegas or Miami.
It wasn’t free land. It was a lease. The state would have still owned the land. The $600 million was a loan and funds would only be released to pay for improvements on the stadium that the state owns. Not a penny would pass through the Angelos hands.
How can people be so ill-informed but still think they should chime in.
Yes, they weren’t leveraged into some shady deal, such as free land or massive taxpayer loans. You’re good at reading!
The state gets the money by issuing bonds — a form of borrowing — that would be paid back to investors over the course of several years from lottery profits. There are also limits on what the teams can use it for.
The funds can pay only for “demolition and removal, construction, renovation, and related expenses for construction management, professional fees, and contingencies” for the stadiums and facilities “directly related to the use or operation of the stadium,”
It’s free CapEx dollars to improve the assets. It’s not Angelos’ piggy bank but it is certainly to his benefit. It’s not a loan that he pays back.
Its to the benefit of the state since they own the ballpark.
A lease of land at market rate is not a shady deal. There would be no free land. The Angelos would have paid to improve that land making it worth more money and the state would still own it. The $600 million would have been a loan, not taxpayer dollars going into Angelos pockets.
“The funds can pay only for “demolition and removal, construction, renovation, and related expenses for construction management, professional fees, and contingencies” for the stadiums and facilities “directly related to the use or operation of the stadium,””
Some voters are simply disinclined to trust the ultra wealthy and local politicians to execute this sort of loan and conditions with integrity. If Maryland politicians brag about keeping the government out of these sort of loans and bonds it’s not a bad bet that some voters will be on their side.
It’s refreshing to see a public official, Maryland’s Treasurer, saying publicly that John Angelos lied to the state. And I’m glad that the state did not kowtow to Angelos greedy demands and protected the state’s interests.
They did hand the owners the right to sell the stadium’s name
How stupid can you be? The land would have been LEASED to the team and the team would have been paying to improve land that would still belong to the state.
The $600 million could only be spent on improvements at the ballpark which the state owns and would have been repaid by the Orioles.
No greed about it. It was a great deal for the state.
If the state does not give the new owners a lease on that land within 4 years they cut 15 years off the lease.
“The transparency that was required — it was not there,” Gov. Moore said. “And it’s disappointing.”
Moore is the Governor
He has also thrown out the first pitch
If Moore wants to be someone like who has taken
Acting Lessons, Dancing Lesson, Singing Lessons and is supposed to be a Big Star, then he has to put his foot down
Plus, if he didn’t know something was cooking, because this sale wasn’t a total surprise
Not only that the Angelos Family suckled until they could suckle no more with regards to the Revenue Share
I mean when was the last time the Orioles contributed instead of suckle
The answer is never!
Any sale of the Nationals should be contingent upon an agreement by the new owners to get the team out of the Maryland area.
I don’t mean to be snide, but are you crazy? Move to Salt Lake or Nashville?
Stupid comment. O’s were there first. The Nats can suck it.
Too bad it wasn’t under oath. Would have squealed in complete glee if there was some kind of perjury charge.
A little off topic here but as it pertains to a SP BAL could possibly trade for I am curious as to what the majority of people on here think about my question. As an Astros fan I may be a bit biased towards their players even trying to be unbiased, so people who aren’t fans of the Astros but don’t hate them & therefor rate all their players badly would be perfect just impartial observers, & Oriole fans who don’t like or dislike the Astros anymore than any other team. So the question is assuming everything else about the trades are even, & all SP’s involved are 100% healthy at the time. Would you rather trade let’s say from Baltimore it’s Coby Mayo, to CHW for 1.5 years of Dylan Cease + maybe being able to extend him for a ton of money, or to HOU for 2.5 years of Luis Garcia + maybe a slightly cheaper extension than Cease, or to HOU for 4.5 years of Hunter Brown + also obviously maybe the extension down the line for who knows? Which of those 3 SP’s factoring in skill, track record, stuff, & service time remaining would you rather have as the main return piece for a prospect like Mayo? I lean towards H.Brown slightly trying to put myself in BAL shoes, but then also Garcia is like the in between of Brown & Cease. His stuff isn’t as good as Brown & Cease, but his stuff is good, he is younger than Cease with more time guranteed under contract but older with less time under contract than Brown. His track record is much better than Browns young track record but not quite as good as Cease’s with Cease’s 2022 inflating his record some. He is a vet at this point like Cease while Brown will he considered a young up & comer, & he has alot of post season experience already & a WS title that Cease doesn’t but Brown as early as it is in his career does. So I really talk myself into all 3 at different points. For 1 year THIS year I think Cease is the best, but you would only get him from the trade deadline this year & for 1 full season next year before he hits FA. Garcia is probably the next best RIGHT NOW even coming back from TJ surgery that he had last May, so by trade deadline it will have been like 14 months & all info coming out says he is moving right along no set backs, etc. Plus you get him for the playoffs this year, & then 2 full season after that still before FA. Brown MAY be the worst today but he also may have the highest ceiling, even Cease don’t throw 99mph 4 seamers & 93mph Sliders. He is also the most likely to surprise everyone & take a massive leap of improvement out of nowhere & be a top pitcher this year, plus having him for another 4 FULL seasons AFTER this season before FA. Well sorry was so long but wanted to weight the pros & cons for each some for yall before reading who people think. Thanks guys
I would not trade Mayo for Cease or Garcia.
But Brown? Him, we could talk about.
That giant text block was tough reading…
Not an Orioles fan per se, but I’d grade my interest in the pitchers you’ve listed as
1. Hunter Brown
2. Luis Garcia
3. Dylan Cease
I’ll note that I don’t think Cease is any better than Garcia, just more hyped and probably more expensive, along with far more unpredictable. I view Cease as a less talented Blake Snell.
Cease owns a career 3.83 ERA, 3.86 FIP and 4.02 xFIP.
Garcia owns a career 3.61 ERA, 3.79 FIP and 3.94 xFIP
Garcia’s results were better last year and his FIP/xFIP were similar.
Sure would like to see this happen with the A’s.
Inevitably Owners expect as much free sweeteners from the taxpayers as can possibly be squeezed out. Free land, favorable zoning, free infrastructure, free facilities. So, “The land development rights were part of the talks because John Angelos was reportedly attempting to leverage the negotiations into getting public land for a mixed-use project, combining Camden Yards with commercial and residential spaces.” More, always more, and politicians, fearful of losing support….
Best thing to happen to them since Manny replaced Cal.
Here’s more evidence right here in this article that speaks to John being a slimy, scumball businessman who really was only worried about numero uno, and not the club or the fan base, despite what he told you. Par for the course. For those that have perpetually defended him, I’ll never understand it – unless you were on his payroll or inner circle.
Anyhoo, happy that this is getting done. To all my haters on here, guess I’ll have to find something else now to complain about. Haha.
Here’s to a great 2024 for the Os and all of baseball fandom!
A comment on Ted Leonsis and his $2.2B offer for the Nats… I don’t have an Athletic subscription (since they let go Dan Connolly) so I don’t know if this was addressed … But reports said that Rubenstein was actually partnered with Leonsis on the offer. That obviously can’t happen now, and Leonsis doesn’t have the net worth to purchase the Nats without him.
I really wish that I could find the post last Fall where someone asked (in all seriousness) when did John lie? like the accusations were unfounded.
“come back on Monday and I’ll open the books” Johnny Boy doesn’t have any idea what the truth is.
Johnny boy needed cash.
He isn’t going to get a good price for One Charles Street in the old business district either. All the big players moved to HarborEast, Port Covington, or the county. They’ll have to try to turn that into condos or apts. but I don’t think the demand is going to be very strong right there.
Thank you, Darragh. Excellent job with the detailed breakdown.
Baseball owners are crooks. Billionaire investment bankers own all of these teams and makes the game less fun to root for.