The NHL is again positioning itself for expansion, with Texas at the center of the conversation. Commissioner Gary Bettman confirmed the league is evaluating a second franchise in the state, focusing on Houston and Austin, after a Board of Governors meeting in New York. The process has moved beyond early interest and into a formal exploratory phase with a defined ownership group.
That group is led by billionaire Dan Friedkin, whose organization has entered a six-month window to assess viability in either market. The estimated $3.5 billion investment would cover the expansion fee and arena development, signaling how sharply franchise values have climbed since the league last expanded in 2021.
The business momentum around the NHL has also drawn attention from betting markets. Early futures posted on OxyBET list the defending Stanley Cup champion Carolina Hurricanes as +600 favorites for the 2026-27 season, followed by the Colorado Avalanche at +750, the Edmonton Oilers at +800, the Toronto Maple Leafs at +900, and the New York Rangers at +1000. That growth in engagement reflects a league that continues to expand its footprint both on and off the ice.
Texas Expansion Gains Momentum
Bettman made it clear that expansion remains conditional, not guaranteed. Ownership, market strength, and arena readiness remain the league’s core criteria. Houston is the fourth-largest metro area in the United States, while Austin has a fast-growing population and a strong corporate base.
The Friedkin Group brings established experience in sports ownership. The company already controls Italian club AS Roma and Premier League side Everton, giving the NHL confidence in its operational capability. Bettman emphasized that the league views Texas as a long-term growth region rather than a short-term play.
The Dallas Stars, who relocated from Minnesota in 1993, would not face territorial conflicts under the current framework. Bettman indicated the expectation is that Dallas would support another franchise in-state, viewing it as a net positive for hockey development.
Houston has long been considered a leading candidate. The city’s size, corporate presence, and existing sports culture make it a natural fit. Austin presents a different profile. It lacks an NHL-ready arena today, but offers rapid population growth and a younger demographic that aligns with the league’s future audience strategy.
Expansion Economics Continue To Climb
The financial scale of this potential expansion highlights how much the NHL has evolved. The Vegas Golden Knights entered the league in 2017 for a $500 million fee. The Seattle Kraken followed in 2021 at $650 million. A projected $3.5 billion total investment now underscores both rising franchise valuations and the increasing cost of infrastructure.
League revenues have also surged. The NHL is projecting between $7.5 billion and $8 billion in revenue, a record level. The salary cap will jump to $104 million for the 2026-27 season, up $8.5 million year over year. That growth gives ownership groups more confidence in long-term returns, even with higher entry costs.
Bettman addressed questions from governors about how far expansion could go. He declined to set a limit on the number of teams, noting that competitive balance and league strength matter more than maintaining an even number of franchises.
Other Markets Still In Play
Texas may be leading the current cycle, but it is not alone. Bettman confirmed the league continues to monitor other markets, including Atlanta and Arizona. Both have been discussed in recent years, though neither has progressed as far as the Friedkin-backed effort.
Arizona remains complicated by arena uncertainty, despite multiple ownership attempts to stabilize the market. Atlanta has seen two previous NHL franchises relocate, but its size and media reach keep it on the league’s radar.
The NHL’s approach is deliberate. Expansion is no longer about filling geographic gaps. It is about identifying ownership groups with deep capital, securing modern arenas, and ensuring each new team strengthens league-wide revenue.
For now, the focus is firmly on Texas. The next six months will determine whether Houston or Austin can meet the league’s benchmarks. If either city clears those hurdles, the NHL could soon move beyond 32 teams and into its next phase of growth.