Padres' Record Sale Price Merely Raises the Bar for MLB Franchises

In isolation, the record-shattering sale of the San Diego Padres is a head-scratcher. Why would Jose E. Feliciano's group pay $3.9 billion for the franchise? That price is more than 60 percent higher than the $2.42 billion Steve Cohen paid for the New York Mets in 2020, and it's 25 percent more than the $3,1 billion Forbes magazine estimated the club to be worth last month.

But if you look at Forbes' estimates of the top-tier clubs -- and the Padres are in that upper echelon -- you'll notice that it's not an outrageous overpay and Feliciano sees value.

For example, Cohen's investment has appreciated nicely over the past six years. The Mets are now worth $3.5 billion in Forbes' estimation. That's sixth-highest in MLB. There's no sign Cohen wants to flip the club, but business is business -- and the baseball business is booming.

Robust league revenues fueled by surging fan and sponsor interest is a tide lifting all yachts. The teams ahead of the Mets are all well ahead: the New York Yankees ($8.5 billion), Los Angeles Dodgers ($7.8 billion), Boston Red Sox ($5.75 billion), Chicago Cubs ($5 billion) and San Francisco Giants ($4.05 billion). Seventh through ninth are the Philadelphia Phillies ($3.4 billion), Atlanta Braves ($3.35 billion) and Houston Astros ($3.2 billion). The mid-market Padres, with their gem of a stadium, ideal weather, and huge payroll, are 10th.

To put the franchise inflation into greater focus: The Baltimore Orioles were sold for $1.73 billion in August 2024 to a group led by billionaire David Rubenstein. A year and a half later, Forbes pegged the franchise as being worth $2.1.billion.

There's a good chance, then, that the Penner Sports Group had a lot more than civic pride in mind when it bought 40 percent of the Colorado Rockies from the Monfort brothers this month. Forbes estimated the Rox at $1.68 billion, 25th in the league. If the cash infusion gets the club out of the mud -- and if the 30 team owners can avoid a damaging labor dispute next year -- then everyone would stand to benefit.

Contrast that transaction with the Penner group buying the NFL's Denver Broncos for $4.65 billion, then a record for a North American pro sports franchise in 2022. (The Washington Commanders sped past the Broncos a year later when a group led by Josh Harris bought them for $6.05 billion. Then, the NBA's Los Angeles Lakers changed hands for a $10 billion valuation in 2025.).Last November, Forbes estimated the Broncos' franchise value at $6.8 billion, 13th-highest in the NFL.

If one of the NFL's marquee franchises were to go on the market, the bar would be reset much higher. The Dallas Cowboys topped Forbes' rankings last year at $13 billion, followed by the Los Angeles Rams ($10.5 billion) and New York Giants ($10.1 billion).

Just a reminder that MLB represents a desirable neighborhood but isn't the exclusive community the NFL is. Buying into an MLB franchise now practically guarantees a strong positive return on investment within a few years' time. The Padres are getting a wealthy owner who shelled out a gobsmacking total for them, but don't expect their record sale price to stand for long.