How Rays’ Potential $1.7-Billion Sale Impacts Likelihood of a Twins Ownership Change

[Cody Christie]

Image courtesy of © Nathan Ray Seebeck-Imagn Images

Major League Baseball’s ownership landscape has seen plenty of activity in recent years, but one of the most intriguing developments surfaced this past week. The Tampa Bay Rays, long considered one of the league’s trickiest franchises to assess when it comes to value, are on the verge of being sold for around $1.7 billion. For Minnesota Twins fans watching the Pohlad family’s quiet but ongoing effort to shop their franchise, this latest development adds another wrinkle to the story of a potential Twins sale.

Rays Sale Sets the Bar
Reports out of Florida indicate that Rays owner Stuart Sternberg is in “advanced talks” to sell the team to Jacksonville real estate developer Patrick Zalupski for a price in the $1.7 billion range. According to multiple sources, including Sportico and The New York Post, Zalupski has already signed a letter of intent to buy the club. While that isn’t a guarantee the sale will close, the serious nature of these discussions sends a clear message to the market: small-market teams can command high prices in the current professional sports climate.

The Rays’ situation has been messy for years. Their ownership’s long battle to secure public funding for a new stadium in the Tampa/St. Petersburg area dragged on (with little success) until a natural disaster intervened. Last year, Hurricane Milton severely damaged Tropicana Field, forcing the team into temporary residence at George M. Steinbrenner Field, the Yankees’ spring training home in Tampa. Despite this disruption and their long history of bottom-five attendance, the Rays are set to fetch a valuation that some thought would be out of reach for such a franchise.

What This Means for Minnesota
So what does a likely $1.7-billion price tag on the Rays mean for the Twins? Quite a bit, actually.

The Twins have been sticking firmly to their own internal valuation, reportedly seeking around $1.7 billion in sale talks. The organization has turned away offers in the $1.5 billion range, believing the market and team valuations in general will continue to rise. On paper, Minnesota should be a more attractive purchase than Tampa Bay. CNBC’s latest 2025 MLB team valuations list the Twins (22nd, $1.65 billion) above the Rays (29th, $1.4 billion), and the club benefits from something the Rays can only dream of: stadium stability.

Target Field, which opened in 2010, remains one of MLB’s premier ballparks. It’s centrally located and well-maintained, with no lingering drama of relocation threats. Compare that to the Rays, who face uncertain long-term plans in the wake of the hurricane and are without a permanent home. Minnesota’s stability in this area gives prospective buyers confidence in revenue streams and long-term planning.

However, the Twins do have a complication that could muddy the waters: debt. The franchise carries an estimated $425 million in debt, a figure that may have contributed to the rejection of offers below their asking price. This liability could act as a deterrent for some ownership groups, particularly when interest rates and financing costs remain high across the country.

Raising the Price Floor?
If the Rays, with all their baggage, manage to close this deal for $1.7 billion, the Twins are likely to view it as confirmation that their own asking price is realistic—or even a little low. After all, Minnesota has more stability, greater regional market control, and a more consistent ticket-buying fanbase (even if that is a low bar to clear). Tampa has long been lauded for its player development, but the Twins have made strides in recent years to produce consistent pitching, and other young hitters are on the way, like Walker Jenkins and Emmanuel Rodriguez.

The Rays' sale could raise the overall price floor for small- to mid-market MLB teams. If Tampa Bay is worth $1.7 billion with a shaky stadium and disaster recovery on its plate, what’s a debt-burdened but otherwise stable franchise like the Twins worth? This is the math that the Pohlads and potential buyers are undoubtedly running through right now.

Debt: The Cloud on Minnesota’s Horizon
Still, the $425 million in debt is no small matter. Any buyer would need to assume, restructure, or pay off that liability as part of the transaction, making the actual cost of the purchase higher than just the $1.7 billion sticker price. For comparison, the Rays’ own debt situation has not been publicized as aggressively, but their lack of stadium resolution and post-hurricane costs likely carry risks of their own.

For the Twins, this means two things: First, their asking price may remain out of reach for less capitalized buyer groups. Second, the franchise may need to sweeten the deal by lowering its asking price slightly or restructuring its debt to attract a strong new ownership group willing to invest heavily in both the team and its future.

What’s Next for a Potential Sale?
The Pohlad family has made no secret of its openness to selling the Twins, but they also don’t appear to be in a hurry. By waiting out the market, they may have played things perfectly. The Rays' sale, if finalized at its rumored price, sets a precedent that will encourage the Pohlads to hold firm on their valuation.

That said, the debt issue remains the big difference. While the Rays have location issues, the Twins have financial obligations that may deter some cautious suitors. A team’s valuation and sale price aren’t always the same thing once the finer points of liabilities, cash flow, and future obligations are considered.

For Twins fans hoping for fresh ownership and potentially deeper pockets, the Rays’ pending sale is both encouraging and frustrating. On one hand, it shows that $1.7 billion is a fair price for a mid-market team, making a Twins sale at that price more likely than ever. On the other hand, the Pohlads’ significant debt load complicates the picture, possibly slowing the process unless new financial arrangements are made.

As the Rays sale nears the finish line, all eyes in Minnesota and across Major League Baseball will be on what happens next in Minneapolis. The table is set. Now, it’s a matter of who’s willing to pay the bill.

---

How do you think the Rays’ sale will impact the Twins? Leave a comment and join the discussion.

View full article

[jkcarew]

I’ll be interested to see if the buyer has Tampa/St Pete roots. If not, it would be a slightly less ‘good’ sign that an out-of-towner chose the Rays over the Twins for the exact price the Pohlads are offering. In fact, I wouldn’t think that would help the Pohlad’s stance at all. Quite the opposite.

[Rod Carews Birthday]

It's pretty hard to directly compare the two, as we don't really have solid numbers for either one and several factors. . . stadium, fan base, etc. are hard to quantify.  That being said, I think it is fairly certain that the $425 million debt is a bit of a poison pill for anyone looking.  I think that the billionaire or group of them that buys the team may not care about a player or two making an extra couple of million, but that's a big number even for someone rich enough to buy the team.  

If I read this correctly, in essence they have turned down offers of $1.5 billion + $425 million (debt) or $1.925 billion because they want $2.125 billion (with debt) or more for a franchise that CNBC values at about $1.65 billion (and they probably have pretty decent information).  So, they are asking for about half a billion more than the street thinks the team is worth.  Hold on tight people and bring a snack.  This is going to be a long bumpy ride.  

[Fire Dan Gladden]

TBR has so many negatives, from stadium issues, to their division, to a questionable fanbase. If they get $1.7b, we Twins fans are hosed. Pohlads will never sell the team.

[Parfigliano]

I still don't get how the TC racked up $425 mil in debt.  Is this strictly TC operating debt or Pohlad family debt incurred through other family businesses?  A combo of both?

[mikelink45]

If the owner is from Jacksonville I can see conversations about moving the team across the state to the largest market left in Florida.

[Doctor Gast]

The $1.7 billion TB sticker price is negotiable, meaning they could settle for less. TB IMO doesn't have the $425M debt that MN has, even if you count repairs. The $1.7 billion Twins sticker price should also be negotiable. Pohlad's debt shouldn't have to be the buyer's responsibility. Pohlads don't know how to run a MLB team with the lockout imminent. They need to suck it up & do the right thing as soon as possible.

[jkcarew]

1 hour ago, Fire Dan Gladden said:

TBR has so many negatives, from stadium issues, to their division, to a questionable fanbase. If they get $1.7b, we Twins fans are hosed. Pohlads will never sell the team.

I don’t think it hurts a team’s value when the Yankees play 6-7 games in town instead of the Kansas City Royals. Also, Tampa St. Pete area is just about to blow past the Twin Cities metro in population, and is growing exponentially faster than the Twin Cities. When rich people buy assets, it’s not so much what the current value is, it’s much more about what the value is expected to be at some point in the future. I don’t see in any way how this puts upward pressure on the price of the Twins. And the debt is worse than no stadium. A stadium can be built. And when it’s built, you have another asset to offset the cost incurred. The Twins debt is money the Polads are hoping someone is willing to just dump down a drain for the privilege of owning the club.

[Western SD Fan]

A lot of people are concerned about TB stadium situation as a huge negative.  I see it as a potential positive for a new owner as all of the concerned parties (Tampa, St. Petersburg, Pinellas County, Hillsborough County) were done dealing with Stu Sternberg.  A new owner could reopen negotiations on the Gas Plant District in St. Petersburg or the Ybor City location in Tampa.  Another reason this may be a positive for a new owner is that baseball owners have upped their greed game in now not only having stadiums paid for largely by public funding, but now they want so many thousands of square acres surrounding the stadium in order to sell development as part of the whole stadium experience.  This selling of developmental rights will pay off the team and the new owners could give two shakes at the lack of fans in the stands.  This is something the Twins cannot provide because as great as Target Field is, it's basically squeezed into its location and not owned by the Pohlads.  I don't see this ownership group moving the team to Jacksonville, potentially Orlando, but I think the new owners want to take advantage of the good vibes and deal with the TB area first before working on Orlando.

As for how this affects the Twins, I am discouraged as well as this gives credence that the Pohlads valuation is acceptable and will hold out and we may not see a buyer in the near future, especially if they are expected to take on the debt in some way or form.

[Rod Carews Birthday]

19 minutes ago, jkcarew said:

. I don’t see in any way how this puts upward pressure on the price of the Twins. And the debt is worse than no stadium. A stadium can be built. And when it’s built, you have another asset to offset the cost incurred. The Twins debt is money the Polads are hoping someone is willing to just dump down a drain for the privilege of owning the club.

And that’s the scary part. It probably shouldn’t make the Twins more valuable but the Pohlads may think it does and hold on for a higher price that isn’t coming.  Meanwhile, here we sit.  

[Guest]

A real estate developer is buying TB, you say?  Fair chance he's going to be their stadium builder, which is where the near-term profits are in this deal.  Of course he's going to pay up for a chance at a very big real estate score in the next 5-7 years.

Second, M-St.P ain't TB and vice versa.  Vast differences in economy, government regulation, downtown crime and civic health.  TB is a buy-low opportunity; M-St.P will be a slog at $1.7B....

[jkcarew]

45 minutes ago, Rod Carews Birthday said:

And that’s the scary part. It probably shouldn’t make the Twins more valuable but the Pohlads may think it does and hold on for a higher price that isn’t coming.  Meanwhile, here we sit.  

Maybe. Meanwhile, $1.5B would have netted them $30M in a money market by now if they had accepted such an offer 6 months ago. And that’s not taking into account the finance charges on the debt that they continue to pay (or accumulate).

I doubt the Pohlads are ‘dumb’ business-acumen wise. And they have all the info that we don’t. But, it could be that they are simply no longer (or never were) really motivated to sell at ‘market’. It’s the scenario that we fear most, probably.

[DocBauer]

It's my understanding that the $425M in debt is not operating costs for the Twins, but rather, it's debt incurred by the Pohlad's borrowing against the franchise. At least, I've heard it explained/speculated as such.

With the Rays sale setting the bar, I don't think the Pohlad's asking price of $1.7B is out of line. But the debt isn't the responsibility of a new buyer. The $425M should be included in the $1.7B sale price. That means the Pohlads walk away with a clear $1.65B. I don't know exactly HOW the $425M is paid off, as in who exactly writes the check, but it's part of the purchase price.

[gil4]

25 minutes ago, DocBauer said:

The $425M should be included in the $1.7B sale price. That means the Pohlads walk away with a clear $1.65B. I don't know exactly HOW the $425M is paid off, as in who exactly writes the check, but it's part of the purchase price.

I think you are off a couple of decimal points on the number you are subtracting.  $1.7B - $425M = $1,275B, not $1.65B.   It's still a big chunk of money.

[DocBauer]

1 hour ago, gil4 said:

I think you are off a couple of decimal points on the number you are subtracting.  $1.7B - $425M = $1,275B, not $1.65B.   It's still a big chunk of money.

I can do math, but I was an English major.  LOL. kudos to you

[Sjoski]

Pohlads rack up $425 million in debt and the franchise is worth $1.7 billion.

Welcome to capitalism with Cracker Jacks.

[Jocko87]

4 hours ago, DocBauer said:

It's my understanding that the $425M in debt is not operating costs for the Twins, but rather, it's debt incurred by the Pohlad's borrowing against the franchise. At least, I've heard it explained/speculated as such.

With the Rays sale setting the bar, I don't think the Pohlad's asking price of $1.7B is out of line. But the debt isn't the responsibility of a new buyer. The $425M should be included in the $1.7B sale price. That means the Pohlads walk away with a clear $1.65B. I don't know exactly HOW the $425M is paid off, as in who exactly writes the check, but it's part of the purchase price.

Please, please, please put heavy emphasis on the speculation about the debt.  Nobody serious has reported it yet the Pohlad hate will make something like that too sweet not to believe.  Never mind that number is nowhere near possible per the CBA. There are restrictions on non baseball related debt for obvious reasons.

Not that I doubt there is debt, quite the opposite actually.  I would be willing to bet quite a lot that Tampa has a similar debt load (From operations and hurricanes) but it’s not being used as a red herring in the negotiations.

As many have mentioned, debt load on a property/business/franchise is not a new problem for anyone lightly interested in these deals and it isn’t a problem for selling the Twins.

What we are most likely seeing is that they are more correct on market value than Forbes (shocker) and willing to wait.  The O’s are probably a pretty good marker as well. 

Stop talking about the debt.  

[Mark G]

7 hours ago, jkcarew said:

I don’t think it hurts a team’s value when the Yankees play 6-7 games in town instead of the Kansas City Royals. Also, Tampa St. Pete area is just about to blow past the Twin Cities metro in population, and is growing exponentially faster than the Twin Cities. When rich people buy assets, it’s not so much what the current value is, it’s much more about what the value is expected to be at some point in the future. I don’t see in any way how this puts upward pressure on the price of the Twins. And the debt is worse than no stadium. A stadium can be built. And when it’s built, you have another asset to offset the cost incurred. The Twins debt is money the Polads are hoping someone is willing to just dump down a drain for the privilege of owning the club.

A stadium can be built.

(Whispering) If you build it, they will come.  

[Mark G]

Someone in FL wants to buy a team, and they are willing to pay the asking price to get a team.

Someone in MN (maybe) wants to buy a team, and they may not be willing to pay the asking price as it stands now.

As I taught my kids growing up:  what is anything worth?  Whatever someone else is willing to pay for it at the time it is for sale.  TB found someone willing to pay; so far the Twins haven't.  To me, that is the sole difference in the "value" of each team.  As soon as someone decides owning the Twins are worth what the Pohlads are asking, it will be worth 1.7b; until then it is only worth what some IS willing to pay.

RCB is right on; pop the popcorn and watch the show.  🫠

[LewFordLives]

I know there has been rumors and speculation that the $425 million in debt is related to other Pohlad business ventures, but there is no way to know that and I don't understand why people keep repeating it. Could they have run up $425 million in baseball debt... absolutely. The Twins have contributed hundreds of millions to the construction and upkeep of Target Field. Then there was the pandemic and attendance has not recovered. The TV revenue has also been less than they were expecting. It wouldn't shock me if the Twins have been in a relatively cash poor position the last few years.

We don't the exact terms of the Rays sale, but whoever buys them will have to pony up some dough to help resolve their stadium situation. 

[dxpavelka]

Typically, in this type of transaction, the buyer purchases assets only.  Debt remains with the previous owner.  Now the price of the assets may account for some (but probably not all) of the debt but at the end of the day, they new owners are not likely to assume the debt.  The only debt they will have will be for any payments they make on the team if it's not a cash deal.

[dxpavelka]

30 minutes ago, LewFordLives said:

 It wouldn't shock me if the Twins have been in a relatively cash poor position the last few years.

 

Probably why they are selling.  Folks with money like to avoid cash poor positions.

[AlGoreRythm]

15 hours ago, Parfigliano said:

I still don't get how the TC racked up $425 mil in debt.  Is this strictly TC operating debt or Pohlad family debt incurred through other family businesses?  A combo of both?

It's almost certainly the latter, though I don't know if there's any specific reporting about it beyond the front office noting at some point that this debt was incurred from around 2020 and beyond.

On that timeline it almost has to be debt loaded onto the team by owners who think they're tricky businessmen, but instead are just the scumbag, used-car salesmen of baseball owners.

[Guest]

11 hours ago, Sjoski said:

Pohlads rack up $425 million in debt and the franchise is worth $1.7 billion.

Welcome to capitalism with Cracker Jacks.

Oh, it would be so much better if the Minneapolis city council owned and managed the team....

[jmlease1]

9 hours ago, Jocko87 said:

Please, please, please put heavy emphasis on the speculation about the debt.  Nobody serious has reported it yet the Pohlad hate will make something like that too sweet not to believe.  Never mind that number is nowhere near possible per the CBA. There are restrictions on non baseball related debt for obvious reasons.

Not that I doubt there is debt, quite the opposite actually.  I would be willing to bet quite a lot that Tampa has a similar debt load (From operations and hurricanes) but it’s not being used as a red herring in the negotiations.

As many have mentioned, debt load on a property/business/franchise is not a new problem for anyone lightly interested in these deals and it isn’t a problem for selling the Twins.

What we are most likely seeing is that they are more correct on market value than Forbes (shocker) and willing to wait.  The O’s are probably a pretty good marker as well. 

Stop talking about the debt.  

We can't because the debt is almost certainly a significant barrier to sale for the Twins, regardless of how it was accumulated. If a big chunk was piled on through non-baseball related activity it's an obstacle to sale because the new owners aren't going to want to be responsible for it and hand the Pohlad's a windfall. If it's been piled on in the last 5 years (as Pohlad-connected sources have suggested) then it indicates some concerning issues about sustainability and revenue generation. And regardless of where it came from, if the expectation from the Pohlad's is that the new ownership assumes all of it, than it impacts what the real asking price is for the team. $1.7B plus $425M in debt is much more like asking for $2.1B than $1.7B.

I'd be curious to know how much debt TB is carrying and whether the new ownership there is taking that load on with them (they're almost certainly carrying some, but whether it's $50M or $300M is an open question).

Regardless, I hope a deal gets done, because I'm exhausted by the Pohlad's. They're not the worst owners in MLB, but they're far from the best. They've lost the fan base, been mediocre at best in terms of growing the business, and outside of Joe (who has stepped in it multiple times as the face of ownership) don't actually seem to love baseball.

[Mark G]

48 minutes ago, AlGoreRythm said:

It's almost certainly the latter, though I don't know if there's any specific reporting about it beyond the front office noting at some point that this debt was incurred from around 2020 and beyond.

On that timeline it almost has to be debt loaded onto the team by owners who think they're tricky businessmen, but instead are just the scumbag, used-car salesmen of baseball owners.

I am starting to think more and more that a good chunk of it was the covid years.  2020 was a huge loss for a lot of teams in all sports; I wouldn't doubt it if we took a bath then as well.  2021 was better, but still a loser, I would bet.  Now, having said that, I doubt all 425 mil was that, but I wonder if a really good chunk of it was.  

[Jocko87]

48 minutes ago, jmlease1 said:

We can't because the debt is almost certainly a significant barrier to sale for the Twins, regardless of how it was accumulated. If a big chunk was piled on through non-baseball related activity it's an obstacle to sale because the new owners aren't going to want to be responsible for it and hand the Pohlad's a windfall. If it's been piled on in the last 5 years (as Pohlad-connected sources have suggested) then it indicates some concerning issues about sustainability and revenue generation. And regardless of where it came from, if the expectation from the Pohlad's is that the new ownership assumes all of it, than it impacts what the real asking price is for the team. $1.7B plus $425M in debt is much more like asking for $2.1B than $1.7B.

I'd be curious to know how much debt TB is carrying and whether the new ownership there is taking that load on with them (they're almost certainly carrying some, but whether it's $50M or $300M is an open question).

Regardless, I hope a deal gets done, because I'm exhausted by the Pohlad's. They're not the worst owners in MLB, but they're far from the best. They've lost the fan base, been mediocre at best in terms of growing the business, and outside of Joe (who has stepped in it multiple times as the face of ownership) don't actually seem to love baseball.

I'm trying to tell you that you should because it doesn't matter. Not one bit, 

It would be interesting to know how much debt the Rays have, sure. The Mets sold with $350m debt for a comparison. Every sold business has debt and every transaction sorts it out.

I went looking again for, as you say, Pohlad connected sources, for the debt from other businesses angle.

The only thing out there is Twins Daily fan fiction. The kind that gets letters from lawyers. 

[AKTwinsFan]

The math is less than 1.25 for the Twins. No new owner wants to carry on the debt. 

[Jocko87]

2 hours ago, AlGoreRythm said:

It's almost certainly the latter, though I don't know if there's any specific reporting about it beyond the front office noting at some point that this debt was incurred from around 2020 and beyond.

On that timeline it almost has to be debt loaded onto the team by owners who think they're tricky businessmen, but instead are just the scumbag, used-car salesmen of baseball owners.

Why would you be so certain when every reasonable examination of the situation would suggest the opposite is far more likely to be true. 

Did they get a CBA waiver for non-baseball related debt? 

[LA Vikes Fan]

19 hours ago, Rod Carews Birthday said:

It's pretty hard to directly compare the two, as we don't really have solid numbers for either one and several factors. . . stadium, fan base, etc. are hard to quantify.  That being said, I think it is fairly certain that the $425 million debt is a bit of a poison pill for anyone looking.  I think that the billionaire or group of them that buys the team may not care about a player or two making an extra couple of million, but that's a big number even for someone rich enough to buy the team.  

If I read this correctly, in essence they have turned down offers of $1.5 billion + $425 million (debt) or $1.925 billion because they want $2.125 billion (with debt) or more for a franchise that CNBC values at about $1.65 billion (and they probably have pretty decent information).  So, they are asking for about half a billion more than the street thinks the team is worth.  Hold on tight people and bring a snack.  This is going to be a long bumpy ride.  

Are you sure this is this right? Generally speaking, any debt is factored into the price when buying assets, i.e.., the seller either pays off the debt from the sales proceeds or the buyer assumption of the debt is part of the price, so the price is $1.275 cash plus $425m in assumed debt. The latter option assumes that the debt is assumable which oftentimes it is not. There is often an acceleration clause which requires that the debt be paid upon the sale of the asset.

I don't know the details but I don't think it's a safe assumption that the Pohlads are looking for $1.7B in cash plus the assumption of $425M in debt. If they are, the stated price would be $2.125B and I haven't seen that anywhere. I'm curious if anyone has seen the debt assumption piece explained. You guys are right about one thing, if the Pohlads are looking for $2,125B for the team, this will be a long and bumpy ride.