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Stations for Sale
- Thread starter Ward
- Start date
R
Radio-X
Guest
> OK, I want to buy either a decent FM or a decent AM station.
> How much would it cost me for each in this market?
>
Well, for starters, it would be tough to buy just one FM station in today's market.
The last FM station that was sold in Miami was 93.1 in 2000, I think...it went for a cool $100 million.
Your best bet would be getting J-P's combo...I bet they'd sell for 350-400 million...but I'm not sure...have to look at the billing
AM's can be relatively cheap...around $10 million.
Your best bet would get a rimshot Palm Beach station like WRMF...somewhat cheaper.
Granted, I do not know much about how much the Palm Beach stations bill...
Radio-X
> How much would it cost me for each in this market?
>
Well, for starters, it would be tough to buy just one FM station in today's market.
The last FM station that was sold in Miami was 93.1 in 2000, I think...it went for a cool $100 million.
Your best bet would be getting J-P's combo...I bet they'd sell for 350-400 million...but I'm not sure...have to look at the billing
AM's can be relatively cheap...around $10 million.
Your best bet would get a rimshot Palm Beach station like WRMF...somewhat cheaper.
Granted, I do not know much about how much the Palm Beach stations bill...
Radio-X
> > OK, I want to buy either a decent FM or a decent AM
> station.
> > How much would it cost me for each in this market?
> >
>
> Well, for starters, it would be tough to buy just one FM
> station in today's market.
>
> The last FM station that was sold in Miami was 93.1 in 2000,
> I think...it went for a cool $100 million.
>
> Your best bet would be getting J-P's combo...I bet they'd
> sell for 350-400 million...but I'm not sure...have to look
> at the billing
>
> AM's can be relatively cheap...around $10 million.
>
> Your best bet would get a rimshot Palm Beach station like
> WRMF...somewhat cheaper.
>
> Granted, I do not know much about how much the Palm Beach
> stations bill...
>
> Radio-X
>
So I guess getting a decent FM signal in Miami for under 3.5 Million is out of the question...huh?
> station.
> > How much would it cost me for each in this market?
> >
>
> Well, for starters, it would be tough to buy just one FM
> station in today's market.
>
> The last FM station that was sold in Miami was 93.1 in 2000,
> I think...it went for a cool $100 million.
>
> Your best bet would be getting J-P's combo...I bet they'd
> sell for 350-400 million...but I'm not sure...have to look
> at the billing
>
> AM's can be relatively cheap...around $10 million.
>
> Your best bet would get a rimshot Palm Beach station like
> WRMF...somewhat cheaper.
>
> Granted, I do not know much about how much the Palm Beach
> stations bill...
>
> Radio-X
>
So I guess getting a decent FM signal in Miami for under 3.5 Million is out of the question...huh?
M
mike704
Guest
> So I guess getting a decent FM signal in Miami for under 3.5
> Million is out of the question...huh?
Wow way out of the question! RKO General bought WAXY 105.9 Fort Lauderdale for 1 million and even that was underpriced in 1973 before RKO did all the much needed improvments to the signal. This was also way before the inflated station prices in the 1990's.
Under 3.5 mil? Try Sebring...not anything even close to Miami.
Mike
> Million is out of the question...huh?
Wow way out of the question! RKO General bought WAXY 105.9 Fort Lauderdale for 1 million and even that was underpriced in 1973 before RKO did all the much needed improvments to the signal. This was also way before the inflated station prices in the 1990's.
Under 3.5 mil? Try Sebring...not anything even close to Miami.
Mike
> > So I guess getting a decent FM signal in Miami for under
> 3.5
> > Million is out of the question...huh?
>
> Wow way out of the question! RKO General bought WAXY 105.9
> Fort Lauderdale for 1 million and even that was underpriced
> in 1973 before RKO did all the much needed improvments to
> the signal. This was also way before the inflated station
> prices in the 1990's.
>
> Under 3.5 mil? Try Sebring...not anything even close to
> Miami.
>
> Mike
>
OK...who do I bribe? Just because I HONESTLY do not know, what drives a radio station price to darn high? It can't be just the billing, can it?
> 3.5
> > Million is out of the question...huh?
>
> Wow way out of the question! RKO General bought WAXY 105.9
> Fort Lauderdale for 1 million and even that was underpriced
> in 1973 before RKO did all the much needed improvments to
> the signal. This was also way before the inflated station
> prices in the 1990's.
>
> Under 3.5 mil? Try Sebring...not anything even close to
> Miami.
>
> Mike
>
OK...who do I bribe? Just because I HONESTLY do not know, what drives a radio station price to darn high? It can't be just the billing, can it?
> >
> OK...who do I bribe? Just because I HONESTLY do not know,
> what drives a radio station price to darn high? It can't be
> just the billing, can it?
>
It is billing and potential.
In Miami, with total market revenue of about $300 million each year, a share point is worth up to $5 million to an FM (higher rated stations take a disproportionat share of revenue). Since all the full FMs have over a 2.5, an FM is pretty much guaranteed $10 to $12.5 million billing, with the good ones doing around $20 million.
Stations in that range usually cash flow arouund 50% of billing. So at $20, BCF is around $10 million. Such a station is worth from $150 to $180 million. One billing $10 million and having BCF of $4.5 million would be worth $75 to $100 million based on billing... but often abuyer pays a premium to get into a market they really want... and Miami is one of those desirable markets.
AMs are pretty much worth whatever the owner can get. The good ones, which are very few (610, 710, maybe 790, 940, 1140) are owend by large groups. The rest pretty much suck.
> OK...who do I bribe? Just because I HONESTLY do not know,
> what drives a radio station price to darn high? It can't be
> just the billing, can it?
>
It is billing and potential.
In Miami, with total market revenue of about $300 million each year, a share point is worth up to $5 million to an FM (higher rated stations take a disproportionat share of revenue). Since all the full FMs have over a 2.5, an FM is pretty much guaranteed $10 to $12.5 million billing, with the good ones doing around $20 million.
Stations in that range usually cash flow arouund 50% of billing. So at $20, BCF is around $10 million. Such a station is worth from $150 to $180 million. One billing $10 million and having BCF of $4.5 million would be worth $75 to $100 million based on billing... but often abuyer pays a premium to get into a market they really want... and Miami is one of those desirable markets.
AMs are pretty much worth whatever the owner can get. The good ones, which are very few (610, 710, maybe 790, 940, 1140) are owend by large groups. The rest pretty much suck.
> >
> So I guess getting a decent FM signal in Miami for under 3.5
> Million is out of the question...huh?
>
That amounnt would not buy a decent signal in Palm Springs, CA. It would not buy one in Talahassee... or Albany, GA. It might get you two of 'em en Lake City, FL, perhaps.
> So I guess getting a decent FM signal in Miami for under 3.5
> Million is out of the question...huh?
>
That amounnt would not buy a decent signal in Palm Springs, CA. It would not buy one in Talahassee... or Albany, GA. It might get you two of 'em en Lake City, FL, perhaps.
> > >
> > OK...who do I bribe? Just because I HONESTLY do not know,
>
> > what drives a radio station price to darn high? It can't
> be
> > just the billing, can it?
> >
>
> It is billing and potential.
>
> In Miami, with total market revenue of about $300 million
> each year, a share point is worth up to $5 million to an FM
> (higher rated stations take a disproportionat share of
> revenue). Since all the full FMs have over a 2.5, an FM is
> pretty much guaranteed $10 to $12.5 million billing, with
> the good ones doing around $20 million.
>
> Stations in that range usually cash flow arouund 50% of
> billing. So at $20, BCF is around $10 million. Such a
> station is worth from $150 to $180 million. One billing $10
> million and having BCF of $4.5 million would be worth $75 to
> $100 million based on billing... but often abuyer pays a
> premium to get into a market they really want... and Miami
> is one of those desirable markets.
>
> AMs are pretty much worth whatever the owner can get. The
> good ones, which are very few (610, 710, maybe 790, 940,
> 1140) are owend by large groups. The rest pretty much suck.
>
So buying a group out may be the way to go?
> > OK...who do I bribe? Just because I HONESTLY do not know,
>
> > what drives a radio station price to darn high? It can't
> be
> > just the billing, can it?
> >
>
> It is billing and potential.
>
> In Miami, with total market revenue of about $300 million
> each year, a share point is worth up to $5 million to an FM
> (higher rated stations take a disproportionat share of
> revenue). Since all the full FMs have over a 2.5, an FM is
> pretty much guaranteed $10 to $12.5 million billing, with
> the good ones doing around $20 million.
>
> Stations in that range usually cash flow arouund 50% of
> billing. So at $20, BCF is around $10 million. Such a
> station is worth from $150 to $180 million. One billing $10
> million and having BCF of $4.5 million would be worth $75 to
> $100 million based on billing... but often abuyer pays a
> premium to get into a market they really want... and Miami
> is one of those desirable markets.
>
> AMs are pretty much worth whatever the owner can get. The
> good ones, which are very few (610, 710, maybe 790, 940,
> 1140) are owend by large groups. The rest pretty much suck.
>
So buying a group out may be the way to go?
T
TampaTV
Guest
> > >
> > So I guess getting a decent FM signal in Miami for under
> 3.5
> > Million is out of the question...huh?
> >
>
> That amounnt would not buy a decent signal in Palm Springs,
> CA. It would not buy one in Talahassee... or Albany, GA. It
> might get you two of 'em en Lake City, FL, perhaps.
>
Heck, a couple of years ago, a friend of mine sold his stand-alone 3,000 watt FM in a city in Texas (population 200,000) for 2.5 million!!!
After he paid off his investors, he walked away with 1.2 million cash. He signed the station on when he got the FCC license in 1977, no one else wanted it. He ran a very successful station for 25 years, sold it and is now retired. The whole staff got laid off and the station is now totally automated except for the one man morning show. Sales and admin. are handled by a co-owned station about 30 miles away.
> > So I guess getting a decent FM signal in Miami for under
> 3.5
> > Million is out of the question...huh?
> >
>
> That amounnt would not buy a decent signal in Palm Springs,
> CA. It would not buy one in Talahassee... or Albany, GA. It
> might get you two of 'em en Lake City, FL, perhaps.
>
Heck, a couple of years ago, a friend of mine sold his stand-alone 3,000 watt FM in a city in Texas (population 200,000) for 2.5 million!!!
After he paid off his investors, he walked away with 1.2 million cash. He signed the station on when he got the FCC license in 1977, no one else wanted it. He ran a very successful station for 25 years, sold it and is now retired. The whole staff got laid off and the station is now totally automated except for the one man morning show. Sales and admin. are handled by a co-owned station about 30 miles away.
> AMs are pretty much worth whatever the owner can get. The
> good ones, which are very few (610, 710, maybe 790, 940,
> 1140) are owend by large groups. The rest pretty much suck.
That sounds as if AMs are worth next to nothing. Compared to FMs I guess that's true, in Phoenix 50kW AMs with no numbers went for $4-6 million while decent FMs for $130-160 million. However, a couple million is no chunk of change, especially to beleagured R-I posters with likely shallow pockets. Of course, rules of finance can increase the price, such as owner financing.
> good ones, which are very few (610, 710, maybe 790, 940,
> 1140) are owend by large groups. The rest pretty much suck.
That sounds as if AMs are worth next to nothing. Compared to FMs I guess that's true, in Phoenix 50kW AMs with no numbers went for $4-6 million while decent FMs for $130-160 million. However, a couple million is no chunk of change, especially to beleagured R-I posters with likely shallow pockets. Of course, rules of finance can increase the price, such as owner financing.
> ...RKO General bought WAXY 105.9 Fort Lauderdale for 1 million and even that
> was underpriced in 1973 before RKO did all the much needed improvments to
> the signal. This was also way before the inflated station prices in the 1990's.
Have a minute? Here is a true story:
It is the early 1970's. WIXX AM (lightbulb daytimer on 1520) & FM (monaural) simulcast a reasonably successfully country format in Broward County. This RKO guy walks into the WIXX office at 520 East Oakland Park Blvd and offers the owner a million bucks for the station. The owner agrees but stipulates that he can only have it if he takes the FM with it. The RKO guy says he only WANTS the FM. So, after the owner is revived and gets up off the floor (figuratively) the deal is done, the RKO guy leaves with the "worthless" FM and the AM owner probably goes out and gets drunk with his newly found million dollars, plus he still has his AM moneymaker. The call letters are changed to WEXY(1520) and WAXY(105.9). The FM is moved from some 200 foot rooftop in Fort Lauderdale to the very tippy top of a new tower at 3300 Pembroke Rd next to the new TV channels 45 & 51, where they remain and continue to enjoy the highest antenna of any FM station within two miles of Countyline Road. The AM now preaches the gospel of our lord JC to anyone who might stumble across it. We all know how Paul Harvey would end this story, but I wonder how much an NYC FM would have cost back then or in the fifties or sixties.<P ID="signature">______________
_____________________________________________
Proud 2 B a pioneering satellite radio subs¢riber
Ai4i is always on the trailing edge of technology</P><P ID="edit"><FONT class="small">Edited by ai4i on 08/03/05 06:16 PM.</FONT></P>
> was underpriced in 1973 before RKO did all the much needed improvments to
> the signal. This was also way before the inflated station prices in the 1990's.
Have a minute? Here is a true story:
It is the early 1970's. WIXX AM (lightbulb daytimer on 1520) & FM (monaural) simulcast a reasonably successfully country format in Broward County. This RKO guy walks into the WIXX office at 520 East Oakland Park Blvd and offers the owner a million bucks for the station. The owner agrees but stipulates that he can only have it if he takes the FM with it. The RKO guy says he only WANTS the FM. So, after the owner is revived and gets up off the floor (figuratively) the deal is done, the RKO guy leaves with the "worthless" FM and the AM owner probably goes out and gets drunk with his newly found million dollars, plus he still has his AM moneymaker. The call letters are changed to WEXY(1520) and WAXY(105.9). The FM is moved from some 200 foot rooftop in Fort Lauderdale to the very tippy top of a new tower at 3300 Pembroke Rd next to the new TV channels 45 & 51, where they remain and continue to enjoy the highest antenna of any FM station within two miles of Countyline Road. The AM now preaches the gospel of our lord JC to anyone who might stumble across it. We all know how Paul Harvey would end this story, but I wonder how much an NYC FM would have cost back then or in the fifties or sixties.<P ID="signature">______________
_____________________________________________
Proud 2 B a pioneering satellite radio subs¢riber
Ai4i is always on the trailing edge of technology</P><P ID="edit"><FONT class="small">Edited by ai4i on 08/03/05 06:16 PM.</FONT></P>
> stumble across it. We all know how Paul Harvey would end
> this story, but I wonder how much an NYC FM would have cost
> back then or in the fifties or sixties.
>
I did a deal for WTFM in Lake Success, NY, in 1979 and had a signed option with Friendly Frost at $8.9 million.
At the same time, I did another deal with Jack Roth for WWOK and WJOK in Miami for $3.2 million, and WLVH in Hartford for $1 million.
In 1975, a friend bought an operating FM in San Juan, PR (Market 14) for $75,000. It is now worth about $75 million based on billings.
In 1969, I was with EZ Communicatins when we bought a B in Richmond for $78,000.
> this story, but I wonder how much an NYC FM would have cost
> back then or in the fifties or sixties.
>
I did a deal for WTFM in Lake Success, NY, in 1979 and had a signed option with Friendly Frost at $8.9 million.
At the same time, I did another deal with Jack Roth for WWOK and WJOK in Miami for $3.2 million, and WLVH in Hartford for $1 million.
In 1975, a friend bought an operating FM in San Juan, PR (Market 14) for $75,000. It is now worth about $75 million based on billings.
In 1969, I was with EZ Communicatins when we bought a B in Richmond for $78,000.
> > good ones, which are very few (610, 710, maybe 790, 940, 1140)
Could I add a new kid on the block, WWFE, 670?<P ID="signature">______________
Proud 2 B a pioneering satellite radio subs¢riber
Ai4i is always on the trailing edge of technology
______________</P><P ID="edit"><FONT class="small">Edited by ai4i on 08/05/05 03:15 PM.</FONT></P>
Could I add a new kid on the block, WWFE, 670?<P ID="signature">______________
Proud 2 B a pioneering satellite radio subs¢riber
Ai4i is always on the trailing edge of technology
______________</P><P ID="edit"><FONT class="small">Edited by ai4i on 08/05/05 03:15 PM.</FONT></P>
> > > good ones, which are very few (610, 710, maybe 790, 940,
> 1140)
>
> Could I add a new kid on the block, WWFE, 670?
Horrible night signal.
>
> 1140)
>
> Could I add a new kid on the block, WWFE, 670?
Horrible night signal.
>
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