Getty Image / David Dee Delgado
The baseball world changed forever when hedge fund owner Steve Cohen bought the New York Mets after the 2020 season. The founder of Point 72 Ventures became the richest owner in baseball, with a net worth of over $13 billion. And, not only is he rich, but he grew up with the New York Mets as his boyhood team. And, from the start, he said he was willing to spend. He proved it by trading for Francisco Lindor and singing him to a massive extension before the 2021 season.
Naturally, other owners in a famously cheap group of MLB owners were scared of his financial position and willingness to spend. So, in the last set of CBA negotiations before the 2022 season, a new luxury tax level was implemented. It has been nicknamed the “Cohen Tax”.
ESPN wrote an article on it last year
A new fourth tier some negotiators said was aimed at Cohen starts at $290 million with a rate of 80% for first-time offenders, 90% for second and 110% for third.
“I’m still new to baseball. I know there’s a name for it,” Cohen said. “They call it the Cohen Tax or whatever. You know, that’s what [Brandon] Nimmo called it. The way I describe it is that it’s better than a bridge being named after you or something like that. It’s still a lot of money to spend on a payroll. I don’t feel like it’s so confining that I can’t live with it.”
But, the tax has not made any difference on his spending.
Steve Cohen blew by the tax by Signing Brandon Nimmo on Thursday
The Mets lost Jacob DeGrom in free agency to the Rangers earlier in the month. But, they immediately signed reigning Cy Young winner and future first ballot Hall of Famer Justin Verlander to replace him.
That’s not all though. They added Jose Quintana too. Then, on Thursday they made a big splash.
HE'S BACK!
Brandon Nimmo and the Mets have agreed to an eight-year deal worth $162 million: https://t.co/slQ1PszBGO pic.twitter.com/PnujmoAQdH
— SNY Mets (@SNY_Mets) December 9, 2022
They also added reliever David Roberston on a one-year, $10 million deal.
That puts them well over the tax.
With the Nimmo and Robertson signings….
The Mets are now up to a $326M payroll + a $59.8M luxury tax penalty. https://t.co/0RVmjEKEqH
— Christopher Soto (@SotoC803) December 9, 2022
It doesn’t matter to Uncle Steve, as Mets fans call him. They’re not done spending.
They named a luxury tax threshold after Steve Cohen and he responded by spending more.
— Jacob Resnick (@Jacob_Resnick) December 9, 2022
Contrary to what one might believe, the addition of Kodai Senga has become MORE likely tonight after the addition of Brandon Nimmo and David Robertson. Senga has many interested suitors, but Mets have conveyed they are intent on winning now and Senga is their top FA SP target.
— Michael Marino (@MarinoMLB) December 9, 2022
What a great time to be a Metropolitan.