Joe Lacob Rumors

Warriors losing 70% of revenue without fans at games

The Golden State Warriors are losing 70% of their expected revenue without live fans, according to billionaire co-owner Joe Lacob. Lacob mentioned the loss while speaking at a SporticoLive event on Thursday. NBA commissioner Adam Silver has previously said that league-wide, about 40% of revenue comes from having fans at games.
The Warriors are more affected than others because the team doesn’t have a large local media contract while also facing expenses related to their new $1.6 billion arena. The privately-funded Chase Center, which opened in September 2019, was partially financed by a loan from John Hancock. Though the total amount borrowed is unclear, the team did successfully lobby for permission from the NBA to exceed the league’s then-debt limit of $325 million.
Late last year, the team proposed an ambitious plan to allow 50% capacity at the Chase Center—it involved a commitment to spend $30 million to give fans rapid PCR tests at the door and only admit those with negative results. It was rejected by the city’s department of public health for being too risky. “We haven’t been able to activate that yet, but we hope to be able to do that sometime this season,” Lacob said. “It’s actually very costly, but the truth is, we feel that whatever we spend on it, we will get that much back if we can have fans in the building.”