McCourt May Not Get Group Rate

Boston real estate developer Frank McCourt will fully finance the purchase of the Dodgers on his own if unable to assemble an investment group before owners vote on the proposed sale, a person close to McCourt said Saturday.

McCourt has moved slowly in his bid to attract investors, baseball executives said, stirring questions within the industry about whether the club’s prospective owner has sufficient financial backing to complete the deal with News Corp.

But McCourt is not concerned about the pace of his discussions with potential investors, believing he has the resources to take control at Chavez Ravine if owners, as expected, approve the transaction in a mid-November vote.

“If people are speculating that Frank has a problem with finances, they’re wrong,” said the person familiar with McCourt’s plans to acquire the Dodgers. “He’s determined that nothing will interfere.

“If this has to be put together before a November owners’ meeting, he has the wherewithal to finance the purchase by himself and put a group together at a later date. He’s willing to do that.”

News Corp. has an agreement in principle to sell the Dodgers to McCourt for a listed price of $430 million.

The actual dollar value for the club and its property holdings, however, will be about $330 million once discounts and credits are factored into the accounting, executives said. Investment banker Allen & Co. negotiated the deal for News Corp.

The sale cannot be finalized until approved by owners, and Commissioner Bud Selig is expected to schedule a vote next month.

It appears doubtful that McCourt, focusing his efforts on bringing in investors while moving forward with transition plans at Dodger Stadium, will have a completed ownership group in place before a vote occurs.

McCourt apparently is unfazed by the timing of the process, and major league baseball remains confident in the Bostonian.

“I’ve talked to Allen & Co., the club and McCourt all in the last 48 hours, and it’s my impression that it’s full speed ahead,” said Bob DuPuy, baseball’s chief operating officer. “Aside from background checks, we’re not really involved until the total package is presented, but I have no reason to think there’s a problem.”

Selig made similar strong comments on McCourt’s behalf shortly after the sides reached a purchase agreement, stressing he was “not concerned” because Allen & Co. and News Corp. would not have gone this far “if they felt there were economic problems that couldn’t be surmounted.”

But questions about McCourt’s ability to close the deal have lingered because his net worth is unknown.

Although McCourt and his wife, Jamie, have significant Boston property holdings, which some baseball officials believe might be appraised as high as $400 million, and are partners in a successful real estate development firm, they were not included on Forbes Magazine’s most recent list of the 400 richest Americans, which required a net worth of at least $600 million.

Moreover, McCourt was not perceived to be in position to finance the purchase of the Boston Red Sox or Angels on his own.

The Red Sox ultimately sold for $700 million, which also included the New England Sports Network.

Arte Moreno bought the Angels for $180 million from the Walt Disney Co.

The difference this time is there is at least one other major financial backer in McCourt’s still-developing group, a high-ranking baseball official said. The presence of the unidentified individual apparently has helped to convince the commissioner’s office that the deal will remain on track.

Meanwhile, after courting potential backers in Beverly Hills last week, McCourt is expected to return to the Southland this weekend to resume his recruiting efforts.

Former Dodger owner Peter O’Malley recently acknowledged he has been advising the McCourts on how to get off to a good start with Dodger fans, and it appears the door is ajar for O’Malley to join the McCourts in an official capacity with the club.

Whether O’Malley would be willing to reinvest his money in the Dodgers is unknown. Attempts to contact O’Malley on Saturday were unsuccessful.

Another possibility is that News Corp., if McCourt does require additional financing help, might retain a small ownership stake in the club. News Corp. won’t comment on the sale until it is completed.