NBA Board Approves Expansion Talks, Seattle and Las Vegas in the Running

The National Basketball Association has officially greenlit expansion discussions, with Seattle and Las Vegas emerging as the primary target markets. League officials hope to make a final decision on whether to add new franchises by the end of 2026, with potential new teams possibly joining as early as the 2028-29 season.

NEW YORK — The National Basketball Association has taken its first official step toward potentially adding new franchises, with Seattle and Las Vegas identified as the primary markets under consideration.

During Wednesday’s board of governors meeting in New York, league officials authorized the beginning of formal discussions with prospective ownership groups in both cities. This decision opens the door for serious negotiations that could begin in the near future.

NBA Commissioner Adam Silver has established a timeline requiring the league to determine whether expansion will move forward by the conclusion of 2026.

To assist with the evaluation process, the NBA has enlisted investment banking firm PJT Partners to serve as a strategic consultant. The firm will assess potential markets, ownership candidates, venue capabilities, and the overall financial impact of adding franchises.

PJT Partners’ chairman and CEO Paul Taubman brings extensive NBA experience to the role, having collaborated with the league on various projects over the years. Notably, when former Commissioner David Stern transitioned out of his role to make way for Silver’s leadership more than ten years ago, Taubman brought Stern aboard as an advisor to his firm.

Silver emphasized that no agreements have been finalized, leaving the competition completely open at this stage.

“If you are interested, and I’ll say that now to people who may be listening or watching this, if you’re interested, call the league office, call PJT Partners directly in New York,” Silver stated during Wednesday’s press conference. “I just want to make sure everybody understands there’s been no handshakes on the side. There’s been no commitments. There’s no promises to anyone. This is a completely transparent process.”

The league and PJT Partners will now evaluate potential candidates and their proposals before beginning actual deal negotiations. With expansion fees anticipated to reach $6 billion or higher, the process is expected to be lengthy.

The NBA could ultimately choose to add both cities, select just one, or decide against expansion entirely. There are no guarantees that new franchises will be added to the current 30-team structure.

While having 31 teams would create scheduling challenges, the league has previously operated with uneven conference alignments.

New teams would not debut next season or likely the season following. Industry experts believe establishing a new franchise requires a minimum of 18 months, suggesting the 2028-29 season as the earliest possible launch date.

“Our goal was in 2026 to resolve this issue one way or the other,” Silver explained. “So, my timeline — we weren’t so specific with the board — is that we need to know by the end of this calendar year what it is we’re doing. It may not be that every ‘I’ is dotted, but that would be our goal, this year.”

Should expansion proceed, the league would essentially be selling ownership stakes in its current operations during a period of unprecedented growth. NBA franchise valuations have skyrocketed recently, with the Boston Celtics selling for slightly over $6 billion and the Los Angeles Lakers valued at $10 billion.

“The only discussion in the room was understanding the math around dilution in terms of projections and what’s the direct reduction in existing revenues to teams if we were expanding beginning in ’28-29,” Silver noted. “We did not discuss franchise value per se in these meetings. Of course, certainly with our bankers, we have a sense of where we think that value exists, but at the end of the day, the marketplace will determine that.”