Magic Johnson’s Hall of Fame career with the Los Angeles Lakers has defined his legacy in the game. However, the legendary point guard has refused to step away from the arena. Magic has managed to stay closely connected with sports – and line his pockets as well – through a series of investments since the end of his playing days.
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The five-time NBA champion’s first major investment occurred in June 1994, when he purchased a 4.5% stake in the Lakers for $10 million. He later sold the shares in 2010 for a reported amount of $28 million. Since then, he hasn’t made another investment in an NBA team but has expanded his portfolio to other sports.
In 2012, he invested with Guggenheim Partners and Stan Kasten, who led a group that acquired the MLB’s Los Angeles Dodgers. Once Magic got a taste of being a hands-on owner, he couldn’t stop with just one franchise. Johnson was also involved in the purchase of the WNBA’s Los Angeles Sparks in 2014.
Later, he announced co-ownership of a Major League Soccer expansion franchise, Los Angeles FC. The team began playing in 2018 and won the MLS Cup in 2022. The former playmaker even holds a stake in the National Women’s Soccer League’s Washington Spirit. That’s far from the biggest investment Magic made with a Washington-based team, though.
In 2023, Johnson invested $240 million in a group that purchased the NFL’s Washington Commanders for just over $6 billion. The 12-time All-Star claimed this as his best investment.
“It’s the greatest deal I’ve ever done,” Magic said of his investment in the Commanders, who recently made an impressive playoff run.
“First, as a kid, I’m already a football fan. I played football, but I knew I was better at basketball, so I gave it up in high school to concentrate on basketball,” he added.
Johnson could only be separated from the sport for so long, though. “But to know I’ve been a big fan of the NFL, not knowing that a man of color could actually become an owner in the NFL. But I had Josh Harris say, ‘Hey, I want you to be a part of this ownership group’.”
This wasn’t the first time Magic tried to buy an NFL team. And he believes that he eventually ended up where he was supposed to.
“We had went after the Denver Broncos, but a young man from Walmart said, ‘I don’t care what you bid, I’m gonna outbid you, so you might as well just keep your money’. And Josh and I said, ‘Okay, we give’,” Magic said with a smile and thumbs up. “But the team we’re supposed to own, we own.”
Magic claimed that this group was destined to own the Commanders because of the group’s connection to the city and its former team name, the Redskins.
“So now they [have] got men who grew up loving this team who have now become the owners and the gatekeepers. And I knew that we were gonna do a fantastic job,” Johnson added.
After surprisingly dismantling the top-seeded Detroit Lions in the NFC Playoffs last season, the Commanders are expected to be one of the biggest risers in the upcoming campaign. With quarterback sensation Jayden Daniels leading the way, Magic and his fellow investors have every right to feel confident about their team.
