Robert Pera’s initial plan involved moving the Grizzlies to Las Vegas. A hidden clause, however, prevented the lucrative relocation.
New details have surfaced about Robert Pera’s original intentions after purchasing the Memphis Grizzlies in 2012, revealing that relocation, not long-term stability in Memphis, was once the endgame.
According to reporting from Pablo Torre, who's been doing groundbraking investigation via his Pablo Torre Finds Out, Pera’s long-term goal at the time of purchase was to eventually move the franchise to Las Vegas, a market widely viewed across professional sports as significantly more lucrative than Memphis.
"Robert Pera's whole goal when he bought the Grizzlies was to move it to Las Vegas," Pablo said. "Memphis David, you know if you were to put it in the sort of hierarchy of markets not a particularly attractive one better than Green Bay and not as good as Vancouver. Yeah. Certainly less valuable than Vegas."
However, the plan never advanced beyond theory, however, due to a little-known safeguard written directly into the Grizzlies’ sale agreement.
That safeguard was a so-called “poison pill” clause. As the story goes, NBA ownership groups were determined to prevent a new owner from immediately profiting off relocation.
At the time, Las Vegas was seen as a future expansion prize rather than a market to be handed to an incoming owner. Allowing a newcomer to buy a team at one valuation and then unlock a massive increase through relocation would have violated an unwritten hierarchy among long-tenured owners.
To prevent that outcome, the Grizzlies’ sale included a clause allowing other ownership partners to intervene if a relocation application was ever submitted.
Had Pera formally attempted to move the team, minority owners would have retained the right to buy out his shares at the original 2012 valuation, effectively stripping away any financial incentive to relocate.
The clause was designed as a deterrent, not a mechanism expected to be exercised. But its presence was enough to shut down any serious attempt to move the franchise. In practical terms, it ensured that Memphis would not lose its team immediately after the sale, calming local concerns and preserving league-wide ownership balance.
The logic behind the restriction mirrors how other leagues have handled similar situations. Rather than allowing individual owners to capture the windfall of relocation, leagues prefer to monetize premium markets through expansion, spreading massive fees across all owners.
That approach ultimately became reality, with Las Vegas later entering the NBA conversation as a multibillion-dollar expansion opportunity rather than a relocation target.
The resurfacing of this information arrives at a complicated moment for Pera. In recent days, scrutiny has intensified around Ubiquiti, the telecommunications company he founded, following investigative reporting that its equipment has appeared in Russia’s war in Ukraine.
While those allegations are separate from his role as an NBA owner, they have placed Pera back in the national spotlight.
Within Memphis, the revelations also land amid ongoing negotiations over the future of FedExForum and the team’s long-term lease. Despite the historical relocation ambitions, expectations remain that the Grizzlies will continue operating in Memphis, where the franchise has grown into a central civic institution and consistent playoff presence.