Editor’s Note: First newsletter! I truly appreciate the support and encouragement from friends and family to start this, and I’m so excited to begin this journey with you all. As we get started, would love to hear from you - the good, the bad, and the ugly.

Please respond to this email or on social media (LinkedIn, Twitter) with suggestions, topics you’d like to see covered, and how I can continue to make this an informative, entertaining part of your week.

Oh, and any ideas on a name for the whistling basketball logo!

Good Thursday Morning. This week’s topic is Las Vegas’ ascent from outcast to one of, if not the, most desirable sports destinations in North America. What led to this change, and what is it about Vegas that has enabled it to capture this momentum?

With the news of the Oakland Athletics’ land purchase just off the Strip last week, Las Vegas has firmly entrenched itself as a top sports destination in the US. Since 2017, the city will:

• Have brought a team in-market in three of the four largest major league sports (MLB, NFL, NHL)

• Host/have hosted three of the biggest tentpole sports events in the country (Super Bowl, CFP Championship, Final Four)

• Expect to put on arguably the most lucrative sports weekend in American history (F1 Las Vegas Grand Prix)

That is an unheard of stretch, and it shows the sleeping giant that this city has been when it comes to sports business. While the recent flurry of events make it seem like a no-brainer, it was not always this simple.

“Over my dead body.”

Those words, spoken - let’s be honest; most likely yelled - by former NBA Commissioner David Stern in 1999 to then Las Vegas mayor Oscar Goodman, aptly summarized the mainstream sports world’s collective feelings towards the Nevada desert city for much of the past half century.

At the time, most of the leagues and governing bodies saw themselves as family entertainment that needed to convey wholesome values in order to maintain positive relationships with the more conservative fanbases and media networks of the day.

Given these circumstances, the idea of associating with a city that had overt mob ties, a laissez faire attitude towards most vices, and the long-running slogan of “What happens in [our city] stays in [our city],”did not exactly mesh with the buttoned up images the leagues wanted to cultivate.

In particular, the leagues were hyper concerned about the legalized gambling in Nevada and any potential associations, no matter how faint or implicit, with “game fixing” - meaning players, officials, and/or other personnel intentionally influencing the outcomes of games to win bets. Questions about the integrity of the games could lead to revenue loss, brand damage, and even possible congressional investigation, so these efforts by Vegas city officials were usually met with “stern” admonishment in order to head off any insinuations.

In parallel with the tough talk, though, these same sports leaders recognized Vegas’ untapped potential and viewed the city as a forbidden fruit because they could not capitalize on the built-in advantages that would make Vegas a sports hub. More specifically, while well outside the 20 largest metros in the country that are traditionally able to handle mainstream sports, Vegas punches above its weight due to the following characteristics:

• A ton of high-end hotels, restaurants, and entertainment options that can accommodate all levels of customers

• Easy ingress and egress (Harry Reid [formerly McCarran] International Airport sits 10-15 minutes off the Strip and can be reached via a direct flight from most major US metropolitan areas)

• A local economy, fueled by tourism/entertainment and full of concentrated wealth, that will co-invest in premium experiences that bring people to the city

Despite these opportunities, the public relations concerns were too great, and Vegas was considered untouchable by the mainstream leagues and governing bodies. Many felt it could happen someday, but they didn’t want to be the ones who stuck their necks out for it.

Shunned by the traditional sports, Vegas spent much of the late 20th century and early 21st century becoming a mecca for combat sports (boxing, UFC). These tentpole events continued to showcase the economic potential, and it laid the groundwork for the major league sports’ stance on the city to shift as both Vegas and the country evolved.

Absolved of Its Sins

So, what’s changed in the past 10+ years?

First, Las Vegas has cleaned itself up a bit. The local government and business leaders have worked incredibly hard to shed the old ways and rebrand the city as a fun, vibrant entertainment capital for visitors, an affordable, high-upside place to live and work as a local resident, and a massive business opportunity for legitimate investors. It still has a long way to go to fully distance itself from its past and present connotations, but the efforts thus far have shown good results.

Even more importantly, though, the country’s perceptions on much of “what happens in Vegas” have gradually become more relaxed. We as a society are much more accepting of some of these habits, which has taken the edge off of the previously taboo activities that made Vegas once untouchable. With this gradual acceptance came sports opportunity.

The NHL’s Golden Knights (first season in 2017) and WNBA’s Aces (2018) were the first signals of this shift, highlighting that the leagues were open to doing business with the city. These moves look especially prescient now given what happened just a few months later.

In May 2018, the Supreme Court issued a landmark ruling that overturned the Professional and Amateur Sports Protection Act (PASPA), which had previously banned sports betting at a federal level outside of a few exceptions (Nevada being one of them).

The ruling returned the decision on whether to legalize sports betting to the states, and many legislatures quickly moved to legalize the activity and reap the tax benefits. This approach quickly picked up steam, as nearly five years later over half of all US states have legalized sports betting and the industry is generating several billion dollars a year.

For mainstream sports, this legalization meant economic opportunity. The leagues quickly partnered with eager sports betting operators to cash in on lucrative partnership deals, and it also removed their main obstacle for capitalizing on Las Vegas since sports betting was now a part of the cultural zeitgeist.

On a Heater

Since PASPA’s repeal, Vegas has not looked back, and it’s rapidly become a tier one destination for traditional sports.

Again, the city’s infrastructure and economy has always lent itself to putting on a hell of a show. Premier, one-off events like the the Super Bowl, Final Four, or F1 Grand Prix are tailor-made for Vegas. The NFL is in a similar vein, as its nine home games (many of which take place on the weekend) are an easy sell to both the local community as well as visiting teams’ fans who want to make a weekend out of it.

Where it gets interesting, though, is how well the in-market teams that play a higher number of games (the Aces: 20 home games, the Golden Knights: 41) have faired. These sports’ longer schedules are antithetical to Vegas’ transient, manic nature, so proving sustained success here (both clubs have established strong local fanbases and led their respective leagues in attendance metrics) is a key data point that the city is capable of handling more than just one-off, tentpole events.

This strong precedent was a major factor in the A’s recent move, and it’s also gotten the attention of the NBA. It is almost a foregone conclusion at this point that the next round of NBA expansion will include a team in Vegas. Current NBA Commissioner Adam Silver has actually said it in interviews, LeBron wants to be an owner of that team, and Oak View Group, one of the premier arena development/management groups in all of sports, is set to break ground this year on a planned arena and entertainment district that would perfectly fit an NBA team.

Gambler’s Fallacy?

All signs are pointing up for Las Vegas. A robust local sports market is flourishing and the city is being tapped to host more marquee events each year. These developments not only bring greater economic prosperity but also show how far the city - and the country, for that matter - have come.

Despite the rapid ascent and myriad success stories, there’s a key question to ask: can it be maintained? More specifically, at what point, if at all, do Vegas sports start to reach a saturation point?

Tune back in next week to get my answer to this question, as I break down the A’s move to Vegas and the challenges/opportunities that exist.

Thanks for reading, and let me know how I did with this first one! Eager to get any and all feedback. Also, if you enjoyed this breakdown, please consider sharing it with your friends and network by clicking the social media icons at the top of the newsletter.

Until next time, sports fans!

-Alex