(Photo credit: James Guillory-Imagn Images)

The NBA Board of Governors approved the sale of the Portland Trail Blazers from the estate of Paul Allen to a group led by Carolina Hurricanes owner Tom Dundon, the league announced Monday.

Valued at approximately $4.25 billion, the transaction will be a two-part deal, with 80.1% being bought this week, closing by March 31, and the remaining 19.9% to close no later than Sept. 1, 2028, according to multiple reports.

Under the agreement, the team will remain in Portland, and Dundon will serve as the Trail Blazers' governor.

At least two members of the ownership group have connections to Oregon. Sheel Tyle is the founder of Collective Global, based in Portland. And Peggy Cherng, part of the family that owns Panda Express restaurants, attended Oregon State.

Other members of Dundon's ownership group include Chicago's Marc Zahr, co-president of investment firm Blue Owl, and Stanley Middleman, founder and CEO of Freedom Mortgage who is also part-owner of the Philadelphia Phillies.

The Dundon group has multiple challenging tasks ahead of it.

The Blazers, once a perennial playoff participant, were 117-211 (.357) in four seasons under head coach Chauncey Billups before Billups was suspended indefinitely in October while facing charges of money laundering and wire fraud conspiracy in connection with a federal investigation into illegal gambling. Billups remains on leave from the team but is not expected to return.

Under interim head coach Tiago Splitter this season, the Trail Blazers are 38-38 with six games remaining and will be in the play-in tournament. The Trail Blazers' only NBA championship came in 1977 with Bill Walton at center and Jack Ramsay as their head coach.

The Moda Center, which opened in 1995, also is in need of renovation or replacement and is seen as the centerpiece of the revitalization of the Rose Quarter section of the city.

In early March, the state Senate approved a proposal to spend $365 million to renovate the arena with funds from income tax revenues. Additionally, Multnomah County and Portland Mayor Keith Wilson pledged funds to help with the renovation, proposals which need to be voted on by city councilors. A date has not been set for that vote.

Allen, the billionaire co-founder of Microsoft, purchased the Trail Blazers for $70 million in 1988. He died in 2018, with his will directing his estate to sell the team to fund philanthropic efforts.

Allen's estate also owns the NFL's Seattle Seahawks and a 25% stake in the Seattle Sounders of MLS.

--Field Level Media