Con: Opportunity Cost
Per Ian Begley’s previously alluded to report, the New York Knicks were prepared to offer a first-round draft pick for Terry Rozier. That doesn’t necessarily mean it would be New York’s 2020 selection, but it was a disconcerting sign given the franchise’s longstanding reluctance to embrace the NBA Draft as a tool for team building.
It’s also entirely possible that such an asset was put in place to try to unload Julius Randle’s contract, but Rozier’s isn’t any different—in fact, it’s a heavier burden.
The third season on Randle’s contract will see him make just $4 million guaranteed. That’s a rather minimal cap hit with a deep class of free agents looming in 2021—one that the Knicks haven’t exactly hidden their intentions of cashing in on.
Randle also has $1.8 million in annual incentives that will only be paid out if he makes the All-Star Game, meaning he’s actually being paid a nearly identical amount as Rozier.
Rozier has a frontloaded contract, which could ease some of the concerns about paying him a high dollar amount. In saying that, he’s still due a hefty $18.9 million in 2020-21, as well as just over $17.9 million during the 2021-22 campaign—fully guaranteed.
That could potentially prevent the Knicks from signing multiple top free agents during the vaunted 2021 period of free agency.
It’s a hard sell for such costs to be incurred.