Private Equity, Franchise Valuations, and the Evolving Economics of Team Ownership

Major League Baseball enters the second half of the season with financial strategy and long-term governance under increasing scrutiny.

As clubs assess their performance on the field, league leadership and union representatives continue to prepare for critical negotiations ahead of the next collective bargaining agreement (CBA), set to expire following the 2026 season.

Franchise Valuations and the Economic Reform Committee

Source: Sports Business Journal, July 1, 2025 (via The Athletic, 6/30)

Commissioner Rob Manfred recently reaffirmed the league’s focus on franchise value growth, noting that the economic reform committee, formed in early 2023, was designed with a singular focus: boosting team valuations. Speaking with reporters in June, Manfred emphasized that MLB teams are currently valued at four to nine times their expected revenues, compared to 10 to 15 times in the NBA.

To bridge that gap, Manfred has advocated for centralized revenue streams, suggesting that such a model could increase team valuations by making income more stable and predictable. However, he acknowledged that centralization “also divides owners,” particularly among those whose local media deals remain lucrative.

Revenue sharing remains a key point of negotiation. Although Manfred signaled openness to adjusting the league’s financial model, he also noted that any meaningful changes would require bargaining with the MLB Players Association (MLBPA).

Union leadership, meanwhile, remains wary that increased central revenue could disincentivize clubs from reinvesting in player talent.

CBA Framing and Early Labor Rhetoric

Manfred has not publicly detailed what he will propose in the next CBA but acknowledged that player buy-in will be critical. According to reporting by The Athletic, Manfred has been lobbying directly to players, attempting to build early support for proposed changes.

With the current CBA set to expire in December 2026 and only one full season remaining after 2025, formal negotiations are expected to begin no later than Summer 2026.

Both sides appear to be laying the groundwork now for what could be another tense round of negotiations, possibly even a labor stoppage.

Midseason Attendance and Broadcast Trends: Growth Continues On All Fronts

At the All-Star Break, MLB is not only seeing strong competition on the field but also continued growth in key business metrics, including attendance, streaming viewership, and national ratings.

In-Stadium Attendance Surges

Major League Baseball is trending toward its third consecutive year of attendance growth, marking its best sustained run since the early 2000s. According to league data:

• In April 2025, average Friday attendance reached 35,284 fans per game, the highest mark for a non-opening Friday since 2008.
  Source: Reuters, April 19, 2025

• Over the Fourth of July weekend, more than 537,768 fans attended a ballgame, MLB’s strongest Independence Day showing in a decade.
  Source: MLB.com, July 5, 2025

Clubs are increasingly investing in venue upgrades, digital ticketing, and family-focused experiences, all of which have helped translate faster-paced games into greater in-park engagement.

TV and Streaming Viewership: Younger Audiences, Better Metrics

MLB’s national broadcast partners are also seeing promising results:

• ESPN viewership is up 22%

• FOX has gained 10%

• TBS has reported a 16% increase
  These upticks are most notable among the 18–34-year-old demographic, signaling renewed interest from younger fans.
  Source: TwinsDaily, July 2025

A key driver of this growth is the continued success of the pitch clock, which has brought average game times down to 2 hours and 36 minutes, a full 27-minute improvement from pre-clock norms in 2022.
Source: Front Office Sports, June 2024

The combination of shorter games, more daypart scheduling, and flexible streaming options has improved fan accessibility, and added momentum to MLB’s midseason performance metrics.

A Glimpse of MLB All-Star Week!

Congratulations to the athletes selected for the 2025 MLB All-Star week festivities!

We're proud to have BLA athletes represented in the Futures Game, HR Derby, and All Star Game.

These honors reflect the dedication, preparation, and long-term vision each player brings to the game. We’re proud to support that journey, on and off the field.

The All-Star Break isn’t downtime, it’s a built‑in checkpoint, offering players much-needed rest, mental clarity, and a chance to recalibrate.

1. Strategic Pause & Mental Reset

The All-Star Break creates a necessary separation from the daily grind of the season.

2. Physical Recharging

Though overall injury trends remain steady post-break, players often use this time to manage soreness, recalibrate routines, and prioritize recovery. A recent peer-reviewed study in the Orthopaedic Journal of Sports Medicine found that while injury rates didn’t drop significantly after the break, its value in maintaining physical readiness is clear.

Source: PMC

3. Mental Resilience & Recovery

In a 162-game season, maintaining emotional endurance is just as important as physical health. Mental performance experts point to structured rest as a key part of sustaining long-term performance.

The content herein is provided for informational purposes only. It is not intended to serve as an offer to sell or solicitation of an offer to buy any security, other investment product, or investment advisory service.

That’s All for Now

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