If the Cosmos successfully get approval for their new 25,000 seat stadium, should they try to buy Chivas USA from Jorge Vergara in a way to (sort of but not really) end-around the expansion process? Obviously it is going to be tough for NY3 to get approval as an MLS expansion team, and certainly almost impossible before the 24th franchise is awarded, but perhaps a way around this would to buy out Chivas USA. This would still require the approval of MLS but it might be a way to let the Cosmos in without making Man City look bad for paying their huge fee. Plus after Chivas set in the West and the Cosmos rise in the East, LA2 becomes something MLS can sell for a $100M or so expansion fee in the future. What do you think? Should the Cosmos pursue this? Does being able to get a big fee for a LA2 franchise with a clean slate make it a win-win for MLS? Is LA2 more valuable with a few years of no second LA team vs someone buying out Chivas USA immediately, keeping the team in LA and trying to re-brand a radioactive situation?
If they wanted to buy an existing MLS team as a way to avoid the expansion process then CUSA actually wouldn't be the one they should go for. As you pointed out that MLS would want to turn around and sell the LA2 expansion slot for 100M, well Vergara already owns that spot and values it at 100M. Not the team, the LA rights. So are the Cosmos going to give Vergara 100M for his spot and relocate it to NY when they just turned down the chance for NY2 for 100M? If they were going to spend that much why not buy that spot from MLS before Man City got to move in and take market share? The team to go after was probably Columbus Crew before they got bought. New England is an option but Kraft may view owning the regional rights over all of New England as pretty valuable, maybe not as valuable as NYC rights but probably pretty high. The DC United stadium situation probably isn't completely settled, and if that deal goes bad they could come in play and could probably be sold for less than CUSA. Other than that I don't really see anyone as being an option for relocation. Another issue with relocation would be the territory rights. What exactly will NY Cosmos territory be? If MLS just sold the right to NYC to Man City, does that mean that only Long Island is their territory? Meaning they could never build anything in the city nor could they put academies in the city. It would be limiting.
I'm sure this would be cool for a majority of NY Cosmos fans, not all because some seem content with NASL which is fine, but I doubt that MLS would allow the Cosmos to buy Chivas USA and move them to NY within the next few years or at all. MLS wants this NYCFC team to be successful (at least fan base wise, probably with their position in the table too) and putting another team in NY would probably eat away at the potential NYCFC fan base, and MLS doesn't want that. I find it much more likely that MLS suggests to the Cosmos ownership that they try to negotiate with the Red Bulls ownership, and buy their team and stadium. And I know that the Red Bulls play in NJ, and that most of the existing Cosmos fans do not want their team in NJ, but I'm just trying to say that I find it more likely that MLS would suggest and allow the Cosmos ownership to buy the New York Red Bulls and rebrand them to the NY Cosmos than MLS allowing the Cosmos to buy Chivas USA and create a third team in NY.
Never going to happen. The Cosmos are where they are until MLS gets through this next round of expansion if we like it or not. Man City USA will be given at least a four year headstart before MLS can try for a third NY team. Strategically, the Cosmos are far more valuable as a third NY team then second because of the brand. If we are successful over the next few years we will see what happens when MLS expands beyond 24.
buying their ownership stake in MLS is an interesting strategy, but unfortunately not that easy. MLS would have to approve the sale per their own operating agreement then also approve the relocation. Owning the rights to an MLS team isn't like owning a house where you can call all the shots...its like owning a co-op where the board gets to tell you if you can or can not have alienability with your ownership interest to others.
Fairly certain at this point that MLS wouldn't let Cosmos move Chivas to NYC. That territory is spoken for.
Popular rumour had it that the Cosmos were unwilling to give up any control of their brand. MLS was unwilling to give any individual owner that kind of control. Neither side caved in, so we have the situation we have now. Purchasing Chivas wouldn't get rid of that central problem unless they've softened their stance. I doubt MLS has
If the Cosmos come into MLS it will be as a third team in the region, or a very very small chance they merge with Man City USA.
Before the Cosmos even will be considered for a MLS franchise the 2nd NY metro area team will have to be fully entrenched. Also the MLS model for a league would need to change or the Cosmos would have to adapt to the MLS model something they are not willing to do at this point.
I wonder what type of "territory" rights Man City gets with their $100M franchise fee. That may unfortunately impact if the Cosmos can ever get into MLS. However it if it is just territory to the 5 boroughs of NYC, then the placement of the stadium in Elmont may just be perfect
Regardless of whether the Cosmos buy out Chivas, I think MLS best course of action there is to have someone buy it, relocate it to some other market (ideally Cosmos and NY area but any other candidate cities would work) and then wait a few years for the radiation to go away and re-sell the rights to LA2 for $100M.
Now is the time to buy Chivas USA. Garber claims MLS won't move the team from LA, but the right offer would make it happen. MLS can always sell rights to an LA2 franchise for $100M to someone, and relocation of the franchise that was Chivas USA would give that team more of a clean slate and more of leverage on getting a stadium deal done. It was a mistake not to pay MLS $100M for NY2. Get over your control issues, Cosmos management, and make this happen, even if it costs more than $100M!
If Cosmos buy Chivas USA, then the Cosmos will move to LA. No way its the other way around. MLS needs someone to take over the 2nd LA market and it doesn't need a 3rd NYC team. I don't think any of the Cosmos fans currently want that.
That's obviously not what I was suggesting. Plus there's already a team in LA with a name that's a tribute to the Cosmos. The scenario I am suggesting is the Cosmos buy Chivas USA, move it to the NY area with the intent of moving in the Elmont stadium within a few years. I'm suggesting the Cosmos get over their control issues, recognize they made a mistake in not ponying up the $100M for the franchise fee, and pay even more than that if necessary. Money talks. Cosmos pay $120M for Chivas USA, move it to the NY area, MLS sells LA2 rights for $100M. MLS makes more money that way. Cosmos probably have to stay outside of NYC proper due to NYC FC rights. I realize they won't do this, I am just making a point that it was stupid to not go for MLS when they had a chance. They could force MLS/Garber to take notice with this scenario if they were self aware enough to realize that.
Sorry, but that was the dumbest scenario I've heard in a while. We are not going to see a NY3 for a long time. Man City owners are going to enjoy something that they don't have to do here in the USA: spend themselves into oblivion. In MLS they have great safety that they won't get relegated or they can't spend too much because of the cap. While they'll have to change certain ways the think/approach team building, this will probably feel like a vacation as they won't have the relegation axe over their heads. I say this because once they establish their expedature structure for the club, they'll want to maximize their incoming profits. That means NYC. After spending $100mil do you really think they'd let someone try and relocate LA2 to NY? No friggen way. Cosmos had their chance and they totally blew it. They dug their heels in on this brand issue that now does not seem to be parting the Red Sea like they were expecting. You know what? Too bad for them. They could have been in MLS in 2015 but instead they...what exactly were they planning to do with this "magical" brand that they couldn't do under MLS? Did they think Cosmos t-shirt profits were so big they didn't want to share? What was it exactly? Well, whatever it was, I hope it was worth it to them as they sit in Hoffstra with their box of t-shirts in D2. Genius.
Oneeyedfool, I know that's not what you meant, implied or want. I'm merely saying in less harsh tones than David above, that it's too late for Cosmos in MLS in NYC for the present. IF Cosmos bought CUSA it will be for LA not for NYC MLS.
MLS wants nothing to do with the Cosmos. They continually make that abundantly clear. They also continue to mess with the NASL by plucking teams from its top markets and now by working closely with the USL with the reserve league. It's like they want the Cosmos to be stuck in a two-bit league that isn't relevant beyond Long Island and thus continually remind the Cosmos that no matter what they do, they'll always be stuck in the minors.
I think you overstate the negative feelings of MLS. I do believe they have no interest in a 3rd NYC team, but I think if cosmos would come at Chivas with a big pile of cash, MLS will listen. Still nothing positive for ny cosmos fans.