The Buss Family Trust: Inside Story of Lakers' $5 Billion Empire [2025 Guide]
The Buss family trust stands as one of the most successful sports ownership stories in history. Their $67.5 million investment in 1979 has turned into a remarkable $10 billion empire by 2024.
Jerry Buss's purchase of the Los Angeles Lakers created a legacy that brought 10 NBA championships with legendary players like Magic Johnson, Kareem Abdul-Jabbar, Shaquille O'Neal, and Kobe Bryant.
The family's success story continued after Jerry's passing in 2013. His six children received equal voting rights through the family trust that maintained 66% ownership of the franchise. The Lakers' winning tradition flourished under Jeanie Buss's leadership, and she became the first female controlling owner to lead her team to an NBA championship in 2020.
The family's net worth has seen remarkable growth, with Jeanie's personal fortune reaching $1 billion. This is a big deal as it means that the Lakers' valuation reached $7.1 billion by Forbes in October 2024 before the recent sale. Let us explore the structure, growth, and future of this remarkable family business dynasty.
Breaking Down the Buss Family Trust
The Buss family trust serves as a sophisticated legal framework that helps the family control the Lakers and plan for smooth succession. This 10-year-old trust has become the life-blood of the Lakers' ownership structure since Dr. Jerry Buss passed away in 2013, with a 66% stake in the franchise.
What is a family trust?
A family trust acts as a legal entity that holds and manages assets to benefit specific family members. The structure needs three key parties: a grantor who creates the trust, a trustee who manages it, and beneficiaries who receive the assets' benefits. These trusts serve several purposes:
- Protecting assets from creditors
- Reducing estate taxes
- Providing for minors or dependents with special needs
- Managing wealth transfer between generations
It's worth mentioning that these trusts can be either revocable (changeable during the grantor's lifetime) or irrevocable (unchangeable once created). Each type gives different levels of control and protection.
How Jerry Buss set up the Lakers trust
Dr. Jerry Buss showed remarkable vision when he created the Lakers trust. He drafted a trust document in 2006 that spelled out his succession plans for the franchise. The trust let his children keep control of the team after his death.
Jerry's careful planning made this arrangement special. He paid inheritance taxes on the Lakers ahead of time so his children wouldn't face tax burdens when inheriting their shares. The trust also ensures each child gets annual checks from the team's profits—about $10 million each.
The trust document was crystal clear: "the Trustees shall take whatever actions are reasonably available to them to have Jeanie M. Buss appointed as the Controlling Owner of the Los Angeles Lakers, Inc.". This statement became vital during later family conflicts.
Voting rights and ownership stakes
Jerry's death in 2013 meant his 66% controlling interest in the Lakers went to his six children through the family trust. Each child received an equal 11% share. Joey, Jesse, Jim, Jeanie, Johnny, and Janie all became beneficiaries with equal ownership stakes.
Ownership didn't mean equal control. The trust named Jeanie as the controlling owner—a significant NBA title that gives her final decision-making power. Jeanie, Johnny, and Jim became co-trustees to protect her position.
The trust laid out several key rules about team control and potential sale:
- The ownership stake couldn't be split up and sold in pieces
- Selling the team would need at least four siblings to agree
- Ownership couldn't pass down to heirs after death
This setup faced a big test in 2017. Brothers Jim and Johnny Buss tried to remove Jeanie as controlling owner. She defended her position through legal action, proving such a move went against the trust's terms.
The strong structure Jerry Buss created ended up protecting his legacy. His children still control one of sports' most valuable franchises a decade after his passing.
How the Lakers Became a $5 Billion Franchise
Dr. Jerry Buss turned the Los Angeles Lakers from a $67.5 million purchase into a sports empire worth $5 billion by 2021. His brilliant business moves, fresh take on entertainment, and new revenue streams built this remarkable growth that continues today.
Key business moves under Jerry Buss
Dr. Buss started reshaping the sports business model right after buying the Lakers in 1979. His background in real estate helped him look at arena seating differently. He created new pricing tiers that brought in more revenue. "My dad changed the landscape of the NBA… He came up with the concept of the floor seats, making them the most special seat in any sporting event anywhere," said Jeanie Buss.
He turned traditional press areas into premium seating that wealthy fans would pay top dollar for. He also created the Senate seats program—which later inspired modern club suites—because he understood fans would pay different prices.
His most creative idea was selling naming rights. He signed the first major venue naming rights deal in sports history and turned the Forum into the Great Western Forum. Every professional sports team now follows this business model.
The Showtime era and entertainment model
Buss saw basketball as more than just a game—he wanted it to be pure entertainment. "Dr. Buss actually started in his first season, 1979-80, with a combination of USC and UCLA pom girls and the USC band," which created an amazing atmosphere. The Laker Girls became permanent fixtures by his third season, proving his vision of basketball as entertainment.
The Forum Club became "the hottest night club within a building" where celebrities like Hugh Hefner and Michael Jackson hung out. This exclusive space made money and created buzz. Sports writer Vincent Bonsignore described it as "a mixture of the Oscars and the Grammy Awards with a little bit of the Playboy Mansion and Studio 54 mixed in".
This focus on entertainment became known as "Showtime." Teams worldwide still try to copy this model that turned the Lakers into a must-see spectacle for celebrities.
Modern revenue drivers: media, branding, and global reach
The team's current $5-7.1 billion value comes mainly from several money-making powerhouses:
- Media rights deals – The Lakers signed a 20-year, $3 billion television contract with Spectrum in 2012. They also benefit from the NBA's new 11-year, $77 billion league-wide media rights agreement.
- Corporate partnerships – Korean food brand Bibigo pays $20 million yearly in a five-year, $100 million jersey patch deal—the NBA's second-highest. This deal brought a 66% increase from their previous partnership.
- Global brand expansion – Lakers' COO Tim Harris says "90 percent of Lakers fans live outside North America". The team works with Wasserman agency to find international sponsors.
The Lakers keep finding new ways to grow. Their 2021 deal with AEG secured 20 more years at Crypto.com Arena. The NBA's growing popularity helps too—league sponsorship revenue hit $1.62 billion, jumping 91% in five years.
Young fans love the Lakers. The NBA ranks first among 18-34 year olds in America, which sets up the team for future success. This appeal to youth, smart business moves, and worldwide reach explains how the Buss family's investment grew 75 times larger over four decades.
Jeanie Buss’s Leadership and Vision
Jeanie Buss became the driving force behind the Buss family trust after taking over as controlling owner in 2013. She guided the Lakers franchise through substantial growth and transformed its strategy.
Her rise through the organization
Jeanie's path was different from most sports executives. She started at age 19 by managing her father's professional tennis team. She then served as general manager of the Los Angeles Strings before becoming World Team Tennis's commissioner at just 26 years old.
Her Lakers career started in 1995 when she oversaw the Forum (then the team's home arena) and later became executive vice president of business operations.
Jeanie faced substantial challenges within the family structure despite her business expertise. Jerry Buss had named her as his successor in the trust document, but her brother Jim managed to keep control over basketball operations.
The team's poor performance led her to make a tough choice to assert control as the owner. She ended up gaining complete operational control by 2017.
Strategic hires and firings
The Lakers went through significant personnel changes under Jeanie's leadership that brought back the franchise's championship culture. Her key moves included:
- Bringing Magic Johnson aboard as President of Basketball Operations in 2017
- Hiring Rob Pelinka as General Manager to create a new front office structure
- Making a bold move to sign LeBron James in 2018, which substantially increased the team's value
- Recruiting coach Frank Vogel, who led the team to the 2020 NBA Championship
These decisions paid off when the Lakers won their 17th championship in 2020. Jeanie became the first female controlling owner to win an NBA title.
Balancing legacy with innovation
Jeanie has struck a careful balance between honoring her father's legacy and bringing in new business strategies. She preserved Jerry's 10-year-old family-like atmosphere by keeping long-time employees and traditions. She also modernized operations through analytics, enhanced digital content production, and expanded international partnerships.
Her business approach combines Jerry's entertainment-focused vision with modern sports management principles. The Lakers' value more than doubled during her leadership. This success led to the unprecedented $10 billion sale to Mark Walter and Todd Boehly's group in 2024, while she stayed on as team governor.
Jeanie's leadership style blends respect for tradition with forward-thinking business sense. This approach has helped the Buss family trust maximize the Lakers' competitive success and financial growth in today's NBA world.
The Sale of the Century: Lakers Sold for $10B
The sports world received shocking news at the time of June 2025. The Buss family trust agreed to sell their majority ownership of the Los Angeles Lakers to businessman Mark Walter. The deal valued at $10 billion became the most expensive sale of an American professional sports team in history.
Timeline of the sale
The remarkable deal started when Walter purchased a 26% minority stake in the Lakers in 2021. This purchase secured him a right of first refusal on the majority share. Jerry's six children approved the deal through a majority vote after Walter presented an irresistible offer.
The Buss family's four-decade control of basketball's most glamorous franchise ended with this sale. They will maintain approximately 15-18% ownership temporarily.
Who is Mark Walter?
Mark Walter, a 65-year-old billionaire with Forbes-estimated net worth of $6.1 billion, has exceptional experience in sports ownership. His role as CEO and chairman of TWG Global and investment firm Guggenheim Partners has led to an impressive sports portfolio:
- Los Angeles Dodgers (MLB) – purchased in 2012
- Los Angeles Sparks (WNBA)
- Cadillac Formula One team
- Chelsea FC (English Premier League)
- Professional Women's Hockey League
Walter keeps a modest profile despite his extensive holdings. He once told the Chicago Tribune, "I'm a fairly quiet and private person".
What changes with new ownership?
The Lakers will see increased resources and investment under Walter's leadership. Magic Johnson, Walter's business partner, supported the move and said Walter "will put in the resources needed to win!". The franchise might modernize its approach to player development and scouting. Sports analysts expect more aggressive pursuit of top talent.
Jeanie's continued role as governor
Jeanie Buss will stay as the Lakers' governor and continue managing team operations. Walter fully endorsed this arrangement as part of the agreement. The Athletic reports Buss will maintain this role for "at least the next five seasons".
This ensures organizational stability during the ownership transition. Walter showed his respect for the franchise by saying, "I know how much this special organization matters to Southern Californians and to sports fans everywhere".
Buss Family Net Worth and Legacy
The Buss family trust's financial trip stands as one of sports' most remarkable success stories. They started as real estate investors and ended up as sports moguls who built extraordinary generational wealth.
Estimated net worth of Jerry, Jeanie, and the family
Dr. Jerry Buss had built a net worth of approximately $700 million when he died in 2013. His 66% ownership stake in the Lakers formed the foundation of his wealth. Jeanie Buss's net worth now reaches $1 billion, which combines her Lakers ownership and other business ventures.
The siblings watched their combined wealth grow as the franchise value jumped from $1 billion in 2013 to over $7.1 billion by late 2024.
How the sale impacted their wealth
Mark Walter's historic $10 billion purchase changed the Buss family's finances overnight. Each of Jerry's six children received about $1 billion pre-tax, which dwarfed their father's original $67.5 million investment. The family kept an 18% minority stake worth roughly $1.8 billion, maintaining their financial connection to the franchise.
Legacy in sports ownership and business
Jerry Buss created revolutionary business concepts that reshaped sports economics. His innovations brought premium seating structures, venue naming rights, and entertainment integration to the sport.
These changes helped turn the NBA into a global entertainment powerhouse. Former NBA Commissioner David Stern summed it up best when he called Buss a "visionary owner whose influence on our league is incalculable".
Conclusion
The Buss family trust shows how visionary sports ownership can turn a modest investment into one of the most valuable franchises in professional sports history. Their $67.5 million purchase in 1979 has brought extraordinary returns, leading to a historic $10 billion sale while keeping the family's influence through retained ownership stakes.
The family dynasty's success comes from business practices that changed how sports franchises operate. Jerry's groundbreaking ideas—premium seating, venue naming rights, and the entertainment-focused "Showtime" model—created a blueprint that sports teams worldwide still follow today. He saw basketball's potential as entertainment when others missed it completely.
Jerry's death proved the worth of their well-laid-out family trust. It ensured smooth succession and protected the franchise during family conflicts. Jeanie's emergence as the first female controlling owner to win an NBA championship strengthened the family's legacy and boosted the team's value significantly.
Mark Walter's recent purchase hasn't diminished the Buss family's influence. Jeanie continues as team governor with their minority ownership intact. Their business approach has reshaped sports economics, making the Lakers a global brand loved by fans everywhere.
This remarkable story of transformation from real estate investor to sports empire builders created extraordinary wealth—about $1 billion for each sibling plus retained equity—while leaving a lasting mark on sports business. The Buss family trust shows how vision, planning, and innovation can build a cultural institution that lasts generations.
FAQs
Q1. How much did the Buss family originally pay for the Lakers?
Jerry Buss purchased the Los Angeles Lakers for $67.5 million in 1979, which has since grown into a multi-billion dollar franchise.
Q2. Why did the Buss family decide to sell the Lakers?
The decision to sell was likely influenced by several factors, including the unprecedented $10 billion valuation, the desire to secure wealth for future generations, and the challenges of maintaining competitiveness in the modern NBA landscape.
Q3. What role will Jeanie Buss have after the sale?
Jeanie Buss will remain as the Lakers' governor and continue to oversee team operations for at least the next five seasons, ensuring continuity in leadership during the ownership transition.
Q4. Who is the new owner of the Los Angeles Lakers?
Mark Walter, the CEO of Guggenheim Partners and owner of the Los Angeles Dodgers, has purchased the controlling stake in the Lakers at a $10 billion valuation.
Q5. How has the Lakers' value grown since Jerry Buss's initial purchase?
The Lakers' value has increased dramatically, from the initial $67.5 million purchase in 1979 to a $10 billion valuation in 2025, representing one of the most successful investments in sports history.