Fanatics bets $50M on New York expansion

• Fanatics will invest more than $50 million to fit out and equip an expanded Manhattan office footprint, nearly doubling its existing space at 95 Morton Street.
• The project will create 300 new high-quality jobs over the next five years across technology, product, corporate, and operations teams.
• Empire State Development will support the project with up to $5 million in performance-based tax credits through the Excelsior Jobs Program, tied directly to job creation benchmarks.

Fanatics has announced a major expansion of its New York presence, committing more than $50 million to add approximately 95,000 square feet of office space to its existing location at 95 Morton Street in Manhattan, nearly doubling its current footprint.

The investment, confirmed by New York Governor Kathy Hochul, will create 300 new high-quality jobs over the next five years across technology, product, corporate, and operations functions.

The company currently employs approximately 650 people in New York. The additional hiring is designed to support scaling across Fanatics Commerce, Fanatics Collectibles, and Fanatics Betting and Gaming as the company continues to build out its three-division global platform.

In contrast, DraftKings has allegedly laid off 5% of its employees in a restructuring move that will see the jobs taken by AI.

State incentives tied to job creation benchmarks

The project will be eligible for up to $5 million in performance-based tax credits through the state’s Excelsior Jobs Program, administered by Empire State Development. Incentive funding is directly tied to measurable employment outcomes, meaning Fanatics must hit agreed hiring milestones to access the full tax credit allocation.

Governor Kathy Hochul framed the development as part of a broader economic agenda to attract high-growth sectors to New York City. She said:

“By supporting [Fanatics’] significant investment and the creation of 300 new good-paying jobs, we are reinforcing New York City’s role as a global hub for technology, digital commerce, and creative industries and ensuring that the jobs of tomorrow are created right here at home.”

Executive Vice President and Chief Financial Officer Glenn H. Schiffman reinforced the company’s strategic view of the city, stating:

“New York City plays an important role in growing our global platform by offering unmatched access to talent and connections across sports and entertainment. From continuing to grow our presence in the city to bringing fans together at events like Fanatics Fest — the world’s #1 fan festival which is returning to the Javits Center for its third year in July, New York is key to how we serve fans around the world.”

Revenue picture and long-term ambitions

Fanatics operates across three core business lines. Fanatics Commerce, which covers licensed fan gear, jerseys, and apparel, remains the largest contributor. Fanatics Collectibles handles physical and digital trading cards, memorabilia, and other collectible assets.

Fanatics Betting and Gaming is the newest and fastest-growing division, building out its sportsbook and iGaming platform to compete with established operators such as DraftKings and FanDuel, though the segment has not yet reached profitability. Fanatics serves a database of more than 100 million global sports fans and maintains partnerships with over 900 professional leagues, teams, and brands.

CEO Michael Rubin has outlined ambitious long-term goals for the company. Remarks delivered at the National Retail Federation Big Show included projections of reaching $50 billion in annual revenue within five to ten years, according to Forbes.

Rubin also indicated interest in expanding into prediction markets and financial services, reflecting a strategy of growing Fanatics into adjacent industries at the intersection of sports, media, and fintech.

No IPO plans yet

International expansion is another stated priority. Fanatics opened a flagship trading card store on Regent Street in London in April 2025, serving as an early indicator of its collectibles growth ambitions outside the United States.

Their leadership has identified overseas revenue as a meaningful long-term opportunity, with US operations still accounting for the majority of the company’s business.

On the question of a potential public market listing, Rubin has indicated there are no immediate plans for an initial public offering (IPO). The company carries a widely cited valuation of approximately $13 billion, though some recent estimates have placed the figure higher depending on the methodology used.