SDSU professor crunches numbers for Chargers’ potential move to L.A.
SAN DIEGO – As the battle for the Bolts continues, a San Diego State University statistics professor is convinced the Chargers are moving to Los Angeles.
“I’ve conceded to the point we may not have them in a couple of years,” said Jim Lackritz, Ph.D.
Lackritz is the founder of the sports business MBA program at SDSU. He said do the math and it’s easy to see why the team would want to leave.
“The minute they move to L.A. the value of franchise goes up by 50 percent,” said Lackritz.
He said that increased value will come at a cost for owner Dean Spanos. The professor said there’s likely a $200-400 million relocation fee, in addition to other expenses like building a new headquarters and moving current staff to L.A.
“There’s going to be a lot of cash that’s going to come out of his pocket,” said Lackritz. “The question for Dean Spanos is whether or not he wants to assume some debt ratio.”
Lackritz said it would definitely be a business risk, but one he called a no-brainer.
“When the Dodgers sold for $2 billion, when the Clippers sold for $2 billion, then all of a sudden they’re talking about what are the Chargers worth,” said Lackritz.
He also pointed out the lucrative L.A. television market.
“It’s their 10 million viewers to San Diego’s 3 million,” said Lackritz.
He said whether it’s the Chargers, Rams or Raiders, success would be another story. It all depends on the attitude of Los Angeles fans.
“I know Los Angeles would like to get a team back,” said Lackritz. “The issue is going to be yes we want to have a team back, but are we going to embrace the team as our own and are people going to get excited.”