Inside how Los Angeles Lakers billionaire icon Magic Johnson’s Starbucks gamble changed his life, paving the way for a $200 million LA Dodgers fortune

Magic Johnson has built a huge business empire since retiring from the NBA. The basketball legend made some of his biggest gains through smart investments. One of his most successful ventures was his partnership with Starbucks, which eventually helped him invest in the Los Angeles Dodgers.Johnson used money from the Starbucks deal to become part of the Dodgers ownership group in 2012. He invested $50 million of his own money in the baseball franchise. The Dodgers are now valued at around $8 billion, making his sports investment worth far more than it was when he bought in.How Starbucks helped Magic Johnson build his enormous sports empireMagic Johnson’s journey into business began long before his Los Angeles Dodgers investment.While he was still associated with the NBA, he started building businesses through Magic Johnson Enterprises. His goal was to invest in companies that served communities that were often overlooked by major brands.One of his biggest moves came through Urban Coffee Opportunities, his partnership with Starbucks.Johnson built Starbucks stores in urban neighbourhoods. Instead of taking profits from each store, he reinvested the money to expand the business.“So, what I did with Starbucks, I let the first one build the second one,” he said per The Sun.Johnson eventually sold his 50 percent interest in Urban Coffee Opportunities in 2010. The deal reportedly earned him between $75 million and $100 million.That money later helped him enter professional sports ownership.“I sold Starbucks, and who would have ever thought that the Dodgers would be for sale? So I used the money that came back to me from the Starbucks sale, and put it into the Dodger deal”, he added.Johnson joined Guggenheim Baseball Management in the $2.15 billion purchase of the Dodgers in 2012. He reportedly invested $50 million personally.The investment has become extremely valuable. The Dodgers are now estimated to be worth around $8 billion. Based on Sportico’s valuation, Johnson’s stake is worth about $200 million.The Dodgers are only one part of Johnson’s sports portfolio.He also has ownership interests in the Los Angeles Sparks of the WNBA, Los Angeles FC of MLS, the Washington Commanders of the NFL, the Washington Spirit of the NWSL and esports organisation Team Liquid.His investment success extends beyond sports. Johnson has also been involved in movie theatres, fitness centres, real estate, energy and finance. He previously held a 60 percent stake in EquiTrust.Johnson earned roughly $40 million during his NBA career. His business ventures have since generated wealth far beyond his playing salary.His estimated net worth is now around $1.2 billion (per BBC Sports). His story shows how he successfully turned basketball earnings into long-term investments.From Starbucks stores to one of baseball’s most valuable franchises, Johnson has transformed himself from an NBA superstar into one of America’s most successful athlete-businessmen.Get the latest Sports News and Live updates. Download the TOI app.