The Los Angeles Lakers' 2024 offseason is off to an encouraging start.
They hired JJ Redick, a young and promising coach. They selected Dalton Knecht, a top-10 rookie with the 17th pick in the 2024 NBA Draft. They made history by selecting LeBron James and his eldest son, Bronny James, with the 55th pick. D'Angelo Russell, who could be their biggest domino of the offseason, opted in to give them a mid-sized expiring contract that could be traded.
Then, according to Shams Charania of The Athletic, on Saturday morning, nearly five hours before the 5 p.m. ET deadline, LeBron James opted out of his contract with the intention of re-signing with the Lakers. The Athletic previously reported that the Lakers want James back and are willing to offer him any type of contract he likes.
James' choice to jump out of contract is another win for the Lakers, as James' choice to jump out of contract instead of exercising a $51.4 million player option for next season could save the Lakers at least $1.5 million in salary space. (James' price is that he qualifies for adding a non-tradable clause to his contract, which would give him control over his future.) ）
According to the Bleacher Report, James may be willing to accept a larger pay cut on top of that if the Lakers can offer a non-taxpayer mid-class exception (worth about $12.9 million) for the right players. James' agent, Klutch Sports CEO Rich Paul, told ESPN that his clients are only willing to give discounts for "influential players," and James Harden, Klay Thompson, and Jonas Valanciunas reportedly fit the bill. The non-taxpayer middle class exception would be a major pay cut for Harden and Thompson.
However, as first reported by The Athletic's Shams Charania and Anthony Slater, there is a shared interest between the Lakers and Thompson. Thompson was born in Southern California to Michael Thompson, who played for the Showtime Lakers from 1987 to 1991 and is currently a radio commentator for the team. Thompson Jr., a four-time NBA champion, is a four-time NBA champion and one of the greatest shooters of all time — arguably the second-largest shooter behind current teammate Stephen Curry. Thompson spent 12 professional seasons with the Golden State Warriors, but the relationship between the two has broken down and Thompson is likely to leave. The Lakers, Dallas Mavericks, and Los Angeles Clippers are all pursuing him.
If James accepts the discount so that the Lakers get the full non-taxpayer middle-class exception, the Lakers' initial salary cap will be $178.7 million. That means James has to accept a discount of more than $16 million, while his starting salary for the 2024-25 season is around $33 million. According to league sources, the most likely package of pay cuts is for James to sign a two-year contract, with a 2025-26 player option, allowing him to opt out and re-sign in 2025 for more pay. The Lakers could also make one (or two) smaller pay cut trades to create more financial wiggle room and allow James to accept smaller pay cuts.
According to ESPN, James will sign a max contract if the Lakers are unable to sign a star or high-level starter with a non-taxpayer mid-class exception. If LeBron signs a maximum contract extension for the 2024-25 season (about $49.9 million), the Lakers will receive about $182.3 million in committed salary. That means their second contract ($189.5 million) is less than $8 million. James is also hoping to resolve his contract issues before training begins at the U.S. Men's Olympic Basketball Mini Camp in Las Vegas on July 6.
Regardless of the exceptions for James and the Lakers, the Lakers are well positioned to upgrade their roster if they want to. How the rest of this offseason unfolds, they decide for themselves.
Rob Pelinka, the Lakers' vice president and general manager of basketball operations, lowered his expectations twice earlier this week, saying the deal would be harder to execute under the NBA's new collective bargaining agreement. On the face of it, this is true, taking into account the new punitive restrictions on the first and second aprons.
At the same time, the trade activity of the past week, especially for the top teams in the Western Conference, reflects a different reality. During that period, the Oklahoma City Thunder traded for defensive ace Alex Caruso, the Minnesota Timberwolves traded for Robert Dillingham, the Denver Nuggets traded for Daron Holmes II and got rid of Reggie Jackson to keep Kentavius Caldwell-Pope, the Dallas Mavericks got rid of Tim Hardaway Jr. to keep starting Derrick Jones Jr. (or sign Thompson), and the New Orleans Pelicans got rid of former Lakers target Dejounte Jr. Murray made a shrewd trade.
Other teams in the West are looking for trade opportunities to improve their rosters or serve as forerunners for other initiatives. Now it's the Lakers' turn to do the same.
They have what it takes to make a big deal. Russell's $18.7 million contract gives them a level of flexibility to choose which types of players to pursue. Add to that their future one- or two-round picks, up to three pick swaps, and the middling salaries of Hachimura, Jarred Vanderbilt, and/or Gabe Vincent, and the Lakers can sign just about any non-star player (even some low-end stars). Again, this doesn't take into account the possibility that Thompson or other high-impact players could join the team as a non-taxpayer middle-class exception.
As far as the trade goes, unless there is an unforeseen secret deal, the Lakers are unlikely to get the third star through the trade. According to reports, Donovan Mitchell may sign a contract extension with Cleveland, which will rule him out for the time being. As previously reported by The Athletic, Trae Young's move from Klutch Sports to CAA also reduces the likelihood that he will be traded to the Lakers. Murray is now in New Orleans and has pulled out of the trade. Darius Garland may be traded, but he's clearly a step behind stars of Mitchell and Young's calibre.
Still, there are good options. According to league sources, wing players such as Portland's Jerami Grant, former Lakers player Kyle Kuzma, and the Nets' Dorian Finney-Smith and Cam Johnson are expected to enter the trade market. They're not the biggest movers, but any of these four players will enhance the Lakers' perimeter defense, frontcourt size, and/or space. Grant meets all of the above criteria; He has quietly shot over 40 percent from three-point range in Portland for two consecutive seasons.
The Lakers' current roster simply can't stand out from the Western Conference. They can win a round or even two if the rankings are in their favor, but they have too many holes compared to other top teams in the West, especially on the wings. They lack outside height, defense, overall speed, and athleticism compared to their competitors. James and Davis recently said they believe the team needs to be upgraded.
The Timberwolves, Thunder, Mavericks and Pelicans all have better rosters than they did last season. Denver's standings could change if they lose Caldwell Pope in the free agent market, and if the Clippers lose Paul George, their rankings could drop, but more importantly, the rest of the West is regrouping, which could widen the gap between them and the Lakers. If the Lakers are really as serious about competing for a championship with James and Davis as they claim, they will have to strengthen this roster.
The most immediate problem with this effort is the roster crunch that the Lakers are facing. Assuming LeBron James re-signs, they will have 14 players signed after Russell, Christian Wood, Jackson Hayes and Cam Reddish opt to sign and select Knecht and Bronny James. And that's not counting other free agents (Max Christie, Torrien Prince, and Spencer Dinwiddie) or any potential free agents.
Lakers sources confirmed to The Athletic that they made a qualifying offer to Christie, officially making him a restricted free agent. According to sources, management wants to keep Christie and wants him to be a rotation player for next season. However, the Lakers need to free up more money and a spot to sign Christie and another player with a non-taxpayer mid-class exception.
If Russell opts out, the Lakers will have fewer options on the trade market. But now that he's opted in, James is willing to take a pay cut for the right free agent, and the Lakers have multiple middranged-salary, two first-round picks and multiple draft pick swaps on their hands to trade, there's no reason why Los Angeles shouldn't drastically improve their roster with one or two major moves over the next few days.