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The Miami Dolphins are currently in advanced negotiations to sell a minority stake in the team to private equity firm Ares Management and billionaire Joe Tsai. This reflects a trend among team owners to expand their sports portfolios by acquiring multiple teams and operating their own stadiums to maximize revenue. The deal includes assets such as Hard Rock Stadium, the Miami Grand Prix F1 race operating rights, and about half of the Miami Open, with a total valuation of $8.1 billion. Ares Management is set to purchase 10% of the team, while Tsai, owner of the Brooklyn Nets, is in talks to buy an additional 3% stake. This potential deal would mark the first private equity investment in the NFL since the league approved new finance rules in August. Stephen Ross, who bought the team in 2009 for $1.1 billion, plans to use the proceeds from the sale to expand his South Florida real estate portfolio and further invest in sports. Ross is among a few team owners who also own and operate the team’s stadium, allowing him to generate revenue from various events, including the Miami Grand Prix and Miami Open, in addition to the Dolphins’ $673 million in revenue in 2023. Earlier this year, Ross reportedly turned down a $10 billion offer for control of the team, Formula One Miami Grand Prix, and Hard Rock Stadium, expressing his desire to keep the team within his family. The NFL recently approved select private equity firms to invest up to a 10% stake in teams, with Ares Management being one of the approved groups. Tsai, who owns multiple sports teams and venues, is also expanding his sports empire with various investments across different leagues.

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