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Mark Lerner

Nats Owner Lerner: “We Really Can Only Afford To Have One Of” Rendon Or Strasburg

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Nationals principal owner Mark Lerner expressed doubt about his franchise’s ability to re-sign both Anthony Rendon and Stephen Strasburg this offseason, as Lerner told NBC Sports Washington’s Donald Dell. (Todd Dybas of NBC Sports Washington has early details about the interview, which will take air in full on Dell’s show on December 17.)

“We really can only afford to have one of those two guys,” Lerner said.  “They’re huge numbers. We already have a really large payroll to begin with….We’re pursuing them, we’re pursuing other free agents in case they decided to go elsewhere.  Again, it’s not up to us.  We can give them a great offer — which we’ve done to both of those players.  They’re great people.  We’d be delighted if they stay.  But it’s not up to us, it’s up to them.  That’s why they call it free agency.”

MLBTR’s ranking of the winter’s top 50 free agents (which, incidentally, predicted both Rendon and Strasburg would wind up back in D.C.) projected Rendon for a seven-year, $235MM deal and Strasburg for six years and $180MM.  That works out to a little more than $63.57MM in average annual value if the Nationals were to land both players at those projected prices, and since Roster Resource’s Jason Martinez estimates the Nats’ current luxury tax number at just under $135.32MM, that would bring the total to roughly $199MM.

This leaves Washington with some wiggle room under the $208MM luxury tax threshold to add more roster upgrades beyond only Rendon and Strasburg, though surpassing the tax threshold seemingly wouldn’t be a problem since the Nats were willing to pay the tax in both 2017 and 2018.  By ducking under the threshold last season, the Nationals would again be charged at the “first-timer” rate of a 20 percent tax on the overage of any payroll that falls between $208-$228MM.  Since Adam Eaton, Anibal Sanchez, Sean Doolittle, and Kurt Suzuki could all come off the books after the 2020 season, the Nationals could potentially even get back under the 2021 threshold ($210MM) or at worst pay another minimal penalty by staying within the $210-$230MM range.

Of course, the Nats would further shave more money off their payroll with other moves, or Rendon and Strasburg could also end up costing more money than our projected figures.  But, strictly speaking, there isn’t any real financial barrier preventing the club from re-signing both players.  Lerner’s declaration could be something of a tactic, Dybas writes, since it would be “poor negotiating” to “flatly state the organization is going to find a way to pay both….Being in between serves multiple needs: It keeps the door open on each player; it stirs the market without roiling it; it prepares fans for an outcome they don’t prefer.”

While the Nationals haven’t been afraid to spend big on free agents or player salaries in general, they face a unique situation in having two star players (both represented by the same agent, Scott Boras) hit the open market at the same time.  Several teams have already been linked to both players, including some of the game’s wealthiest franchises — the Dodgers have spoken to both, while the Rangers have interest in Rendon, and the Phillies and Yankees are known to be interested in Strasburg.  Since the bidding will be high for both players, the Nats could re-direct their resources towards one player in particular if the price tag for the other becomes truly untenable.

Nationals Notes: Rendon, Harper, First Base

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The Nationals have made multiple extension offers to third baseman Anthony Rendon, GM Mike Rizzo told reporters (including Dan Kolko of MASNsports.com), with Rizzo noting that both sides have interest in a long-term deal.  Rendon is entering the final year of his contract, and he put himself in line for a major payday after his strong numbers in 2017-18.  Extending Rendon would add yet another big contract on the Nationals’ long-term books, and between locking up Rendon and signing Patrick Corbin to a six-year, $140MM pact, it would seem that Washington could be pricing itself out of Bryce Harper’s market.  More on that and other Nats-related topics here…

  • After Nationals managing principal owner Mark Lerner recently commented that the team’s ten-year, $300MM offer to Harper would be its best and final offer for the star outfielder, Scott Boras (Harper’s agent) was in touch with the team expressing concern about Lerner’s statement, Chelsea Janes of the Washington Post reports.  Specifically, Boras had some dismay that Lerner had violated league rules about how teams can publicly discuss contract talks with players, though Boras hadn’t contacted the MLBPA about the situation.  Janes outlines how Lerner’s statement didn’t technically breach the rule, though “even those within the Nationals organization were a little surprised to see their new controlling owner speak with such candor.”  Regardless of what has or hasn’t been said, however, Boras said on Monday that his negotiations about Harper and the Nats will be with family patriarch Ted Lerner, a relationship that has paved the way for many Boras client to land in Washington over the years.
  • The Nationals are looking for a first base complement to Ryan Zimmerman that is also capable of playing second base, MASNsports.com’s Mark Zuckerman writes.  This player would spell Zimmerman occasionally or take over at first base entirely if Zimmerman was injured, while under normal circumstances playing second base a few times per week (with Howie Kendrick and Wilmer Difo also being in the mix).  Zuckerman speculates on a few names that would fit this description, ranging from Marwin Gonzalez to less-pricey options like Daniel Descalso, Neil Walker, Derek Dietrich, or Yangervis Solarte.

Nationals Ownership Transfers Control To Mark Lerner

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After a dozen years as the front-man in the Nationals’ ownership, Ted Lerner is transferring control of the organization to his son, Mark, reports Barry Svrluga of the Washington Post. The move has already been unanimously approved by the other 29 owners, per the report. Both Ted, 92, and Mark, 64, have issued statements to Svrluga regarding the transfer, and the column is full of quotes from Mark on his new role as well as the organization’s future.

While many ownership changes and transfers are followed by shakeups on the baseball operations side of the equation, that doesn’t sound to be the case in this instance. The younger Lerner notes that most of the team’s larger decisions have been a collaborative family effort. Ted Lerner, his three children (Mark and sisters Marla and Debra), and their spouses have all been weighing in on major ownership-level decisions, even if Ted ultimately had final say. “I don’t think you’ll see much difference in the way Dad and the family running it vs. myself and the family,” said Mark.

Of course, many will wonder exactly what this means for the Nationals’ future with Bryce Harper. The 25-year-old is set to become a free agent following the season, and the rapport between Harper’s agent, Scott Boras, and Ted Lerner has been well-documented. Svrluga notes that Boras negotiated contracts for Max Scherzer, Stephen Strasburg and Jayson Werth (presumably, among others) directly with Ted Lerner. The Nats have no shortage of Boras clients on their roster, with Anthony Rendon, Juan Soto, Matt Wieters, Jeremy Hellickson and Gio Gonzalez all repped by the Boras Corporation (as can be seen in MLBTR’s Agency Database).

Mark calls the relationship between Boras and his father both “interesting” and “successful,” adding that he expects his father to be involved in future negotiations with Boras (i.e. the Harper negotiations) as long as he wants to be. Regarding Harper, specifically, Mark says the outfielder “feels like a member of the family” and speaks optimistically about being able to retain the outfielder on a deal that “makes sense for the long-term vision of the club.”

Nationals ownership already resolved one key issue earlier this season, extending general manager Mike Rizzo through the 2020 season and thus ensuring that he’ll continue to serve as the primary voice overseeing baseball operations, having already done so since 2009. Manager Dave Martinez, meanwhile, is in the first season of a three-year deal that contains a club option for the 2021 season.

The manner in which the Nationals handle the managerial and coaching staff following today’s transfer will be an interesting scenario to follow in the coming years. The organization has become notorious for having short leash on its field staff; Dusty Baker, for instance, was surprisingly cut loose after consecutive NL East titles, and Martinez is somewhat incredibly the seventh manager of the team dating back to 2009. That’s long been attributed to ownership rather than Rizzo, who reportedly fought to keep Baker at the helm before ownership made the call to dismiss him. There’s likely no way to know exactly how (or if) that’ll change in the short-term, with Martinez in his first season as skipper. The 2019 and 2020 seasons figure to be more telling in that regard, though, especially if the Nationals either fail to make the postseason or endure yet another NLDS exit.

Generally speaking, however, it doesn’t sound as if the transfer will bring about radical change in the operation of the club in the near future. Furthermore, it sounds as if the Lerner family plans on retaining control of the organization for years to come. Svrluga notes that a third generation of Lerners is already becoming involved in the business, and Mark Lerner spoke candidly about the fact that he and his siblings have had zero thoughts about selling the team. “We well never sell the Nationals,” said Mark. “…[C]ertainly while I’m alive and my sisters and brothers-in-law are alive — nobody’s going to sell this team.”

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