Heat Exercise $19.4M Team Option For Goran Dragic

[RealGM Wiretap]

The Miami Heat have exercised their $19.44 million team option for 2021-22 for guard Goran Dragic.

Subsequent reporting from ESPN's Adrian Wojnarowski is that Dragic could be used as part of a sign-and-trade for Toronto Raptors guard Kyle Lowry. Lowry will be an unrestricted free when 2021 free agency opens.

Miami could have created as much as $20 million in cap space, had they declined Dragic's team option. That amount was likely too shy of Lowry's desired salary. Now, the Heat can trade Dragic with another smaller contract or two, and can get to the first-year salary Lowry wants.

By taking this path, Miami will also conserve the ability to sign-and-trade some of their other free agents. The Heat will also have the full Non-Taxpayer Mid-Level exception of $9.5 million available in free agency. And the team has their own free agents like Duncan Robinson and Kendrick Nunn to consider re-signing as well.

Via RealGM Staff Report

[Indeed]

I think Toronto would prefer TPE over Dragic, but will see.

[Oncloud9]

Raps have no need for Dragic at that value. If Riley wants a S&T for Lowry he'll have to engage a 3rd team that has assets the Raps want/need like Indiana's Turner to take Dragic. Both the Mav's and Pels have much better assets.

[HotelVitale]

I think Toronto would prefer TPE over Dragic, but will see.

Can’t get TPE if the team receiving the player isn’t using cap space to match contracts (at least I don’t think so). Sounds like the whole point is to use Dragic as expiring to package with other things to entice the Raptors and give lowry the contract he wants.

[HotelVitale]

Raps have no need for Dragic at that value. If Riley wants a S&T for Lowry he'll have to engage a 3rd team that has assets the Raps want/need like Indiana's Turner to take Dragic. Both the Mav's and Pels have much better assets.

What assets do the Mavs have that the Heat don’t? Their advantage seems to be that they might be able to sign and absorb lowry into cap space, and at that point they don’t need to give up any assets or anything. Just regular unrestricted free agent.

In any case, lowry’s in the drivers seat here, he gets to decide where he wants to go and the Raptors are only getting something for him if he insists on going to a team that’s over the cap.

[Pickled Prunes]

Raps have no need for Dragic at that value. If Riley wants a S&T for Lowry he'll have to engage a 3rd team that has assets the Raps want/need like Indiana's Turner to take Dragic. Both the Mav's and Pels have much better assets.

Expiring deals are great. What they bring back with him might mean more but they could definitely re-trade Dragic by the deadline to a team that needs his skills or his expiring deal. That's all a whole lot better than watching Lowry walk for nothing.

[Indeed]

I think Toronto would prefer TPE over Dragic, but will see.

Can’t get TPE if the team receiving the player isn’t using cap space to match contracts (at least I don’t think so). Sounds like the whole point is to use Dragic as expiring to package with other things to entice the Raptors and give lowry the contract he wants.

They have cap space, particularly not exercising Dragic, but I don't think that is the case once they exerise Dragic.

[njknicks]

Goran = trade bait waiting to happen

[Darthlukey]

I think Toronto would prefer TPE over Dragic, but will see.

Can’t get TPE if the team receiving the player isn’t using cap space to match contracts (at least I don’t think so). Sounds like the whole point is to use Dragic as expiring to package with other things to entice the Raptors and give lowry the contract he wants.

They have cap space, particularly not exercising Dragic, but I don't think that is the case once they exerise Dragic.

They exercised dragic to create an expiring deal that can be combined with other contracts to get to say 30m, which is what lowry is asking for. There will be no tpe, but this way the raps can probably get a pick or a young talent instead of lowry walking for nothing

[Indeed]

Can’t get TPE if the team receiving the player isn’t using cap space to match contracts (at least I don’t think so). Sounds like the whole point is to use Dragic as expiring to package with other things to entice the Raptors and give lowry the contract he wants.

They have cap space, particularly not exercising Dragic, but I don't think that is the case once they exerise Dragic.

They exercised dragic to create an expiring deal that can be combined with other contracts to get to say 30m, which is what lowry is asking for. There will be no tpe, but this way the raps can probably get a pick or a young talent instead of lowry walking for nothing

Again, I believe Toronto would prefer TPE.
There is no reason that the Heat wants to exercise the Team Option for Dragic and think Toronto would take him for S&T, particularly Heat can no longer sign Lowry out right with Dragic salary.

I suspect Lowry is not heading to Heat, so Heat exercise Dragic Team Option.

[HotelVitale]

They have cap space, particularly not exercising Dragic, but I don't think that is the case once they exerise Dragic.

They exercised dragic to create an expiring deal that can be combined with other contracts to get to say 30m, which is what lowry is asking for. There will be no tpe, but this way the raps can probably get a pick or a young talent instead of lowry walking for nothing

Again, I believe Toronto would prefer TPE.
There is no reason that the Heat wants to exercise the Team Option for Dragic and think Toronto would take him for S&T, particularly Heat can no longer sign Lowry out right with Dragic salary.

I suspect Lowry is not heading to Heat, so Heat exercise Dragic Team Option.

I think you’re misunderstanding the situation. The Heat didnt have enough cap space to sign Lowry outright, and they also would’ve had to renounce ALL of their FA’s to clear enough cap space to bring on Lowry that way. This way they can re-sign some players and still get Lowry.

Also TOR would get absolutely nothing if Lowry just signs for cap space, there’s no need for a S&T and no benefit for MIA in doing one. In the Dragic scenario, TOR and MIA both have motivation and benefit to a S&T—TOR gets some assets instead of nothing for Lowry, MIA gets to have Lowry plus some of their FAs—and Lowry gets what the $ and team situation he wants too.

[Indeed]

They exercised dragic to create an expiring deal that can be combined with other contracts to get to say 30m, which is what lowry is asking for. There will be no tpe, but this way the raps can probably get a pick or a young talent instead of lowry walking for nothing

Again, I believe Toronto would prefer TPE.
There is no reason that the Heat wants to exercise the Team Option for Dragic and think Toronto would take him for S&T, particularly Heat can no longer sign Lowry out right with Dragic salary.

I suspect Lowry is not heading to Heat, so Heat exercise Dragic Team Option.

I think you’re misunderstanding the situation. The Heat didnt have enough cap space to sign Lowry outright, and they also would’ve had to renounce ALL of their FA’s to clear enough cap space to bring on Lowry that way. This way they can re-sign some players and still get Lowry.

Also TOR would get absolutely nothing if Lowry just signs for cap space, there’s no need for a S&T and no benefit for MIA in doing one. In the Dragic scenario, TOR and MIA both have motivation and benefit to a S&T—TOR gets some assets instead of nothing for Lowry, MIA gets to have Lowry plus some of their FAs—and Lowry gets what the $ and team situation he wants too.

1) The Heat did have enough cap space, maybe they even have enough cap space after re-signing Dragic as the look from it
https://hoopshype.com/salaries/miami_heat/

2) Again, and again, and again, Toronto prefer TPE, which is not nothing. If they did not sign Dragic, Toronto does a S&T with Heat, Toronto gets back TPE. So I really not sure what you are saying here, as not signing Dragic can do both S&T for TPE or signing straight with no return to Toronto.

[HotelVitale]

1) The Heat did have enough cap space, maybe they even have enough cap space after re-signing Dragic as the look from it https://hoopshype.com/salaries/miami_heat/

2) Again, and again, and again, Toronto prefer TPE, which is not nothing. If they did not sign Dragic, Toronto does a S&T with Heat, Toronto gets back TPE. So I really not sure what you are saying here, as not signing Dragic can do both S&T for TPE or signing straight with no return to Toronto.

1) The Heat would need to have less than $78m in contracts to sign Lowry with nothing but cap space, they could get there but they would need to renounce ALL their possible free agents, including several starters in K Nunn and D Robinson. If the Heat cleared all of their available contracts and just used their cap space on Lowry, they would have no cap space left and would have only 5 guys under contract: Lowry/Butler/Herro/Precious/Bam. The rest of the team would need to be vet minimum and exception guys, and that leaves the team extremely, dangerously thin. They don't want to do that if the point is to compete the next two years.

2) Last time I'll say this: THE HEAT WILL NOT GIVE THE RAPTORS ANYTHING IF THEY SIGN LOWRY WITH CAP SPACE. Just like when any player signs with a team in unrestricted free agency, the team that he leaves gets nothing, zero. So it doesn't matter if the Raptors prefer a TPE, they have zero right to ask for it if Lowry was to sign with MIA with their cap space. They get nothing if that happens, unless they bribe the Heat and give up some assets to entice them.

So again the entire point of this idea is that both teams get what they want if they do a S&T, there's motivation on both sides.

[HotelVitale]

DOUBLE POST

[Indeed]

1) The Heat did have enough cap space, maybe they even have enough cap space after re-signing Dragic as the look from it https://hoopshype.com/salaries/miami_heat/

2) Again, and again, and again, Toronto prefer TPE, which is not nothing. If they did not sign Dragic, Toronto does a S&T with Heat, Toronto gets back TPE. So I really not sure what you are saying here, as not signing Dragic can do both S&T for TPE or signing straight with no return to Toronto.

1) The Heat would need to have less than $78m in contracts to sign Lowry with nothing but cap space, they could get there but they would need to renounce ALL their possible free agents, including several starters in K Nunn and D Robinson. If the Heat cleared all of their available contracts and just used their cap space on Lowry, they would have no cap space left and would have only 5 guys under contract: Lowry/Butler/Herro/Precious/Bam. The rest of the team would need to be vet minimum and exception guys, and that leaves the team extremely, dangerously thin. They don't want to do that if the point is to compete the next two years.

2) Last time I'll say this: THE HEAT WILL NOT GIVE THE RAPTORS ANYTHING IF THEY SIGN LOWRY WITH CAP SPACE. Just like when any player signs with a team in unrestricted free agency, the team that he leaves gets nothing, zero. So it doesn't matter if the Raptors prefer a TPE, they have zero right to ask for it if Lowry was to sign with MIA with their cap space. They get nothing if that happens, unless they bribe the Heat and give up some assets to entice them.

So again the entire point of this idea is that both teams get what they want if they do a S&T, there's motivation on both sides.

1) How did you get 78m? Salary cap is 112m, and minus 30m for Lowry, that is 82m. They are currently at 98m (including Nunn and Robinson cap, which is around 4.5m each, reference: https://www.spotrac.com/nba/miami-heat/cap/). So I don't get how you claim all those. All information to me is that, they don't re-sign Dragic, they can either sign Lowry out right, or provide Toronto a TPE.

2) And sure, the Heat doesn't get the 10m MLE. There is an advantage for Heat to do that as well. Keep in mind that when the Heat signed Bosh, they endup giving Toronto the TPE, because they can get close to the tax (instead of hard cap).

[HotelVitale]

1) The Heat did have enough cap space, maybe they even have enough cap space after re-signing Dragic as the look from it https://hoopshype.com/salaries/miami_heat/

2) Again, and again, and again, Toronto prefer TPE, which is not nothing. If they did not sign Dragic, Toronto does a S&T with Heat, Toronto gets back TPE. So I really not sure what you are saying here, as not signing Dragic can do both S&T for TPE or signing straight with no return to Toronto.

1) The Heat would need to have less than $78m in contracts to sign Lowry with nothing but cap space, they could get there but they would need to renounce ALL their possible free agents, including several starters in K Nunn and D Robinson. If the Heat cleared all of their available contracts and just used their cap space on Lowry, they would have no cap space left and would have only 5 guys under contract: Lowry/Butler/Herro/Precious/Bam. The rest of the team would need to be vet minimum and exception guys, and that leaves the team extremely, dangerously thin. They don't want to do that if the point is to compete the next two years.

2) Last time I'll say this: THE HEAT WILL NOT GIVE THE RAPTORS ANYTHING IF THEY SIGN LOWRY WITH CAP SPACE. Just like when any player signs with a team in unrestricted free agency, the team that he leaves gets nothing, zero. So it doesn't matter if the Raptors prefer a TPE, they have zero right to ask for it if Lowry was to sign with MIA with their cap space. They get nothing if that happens, unless they bribe the Heat and give up some assets to entice them.

So again the entire point of this idea is that both teams get what they want if they do a S&T, there's motivation on both sides.

1) How did you get 78m? Salary cap is 112m, and minus 30m for Lowry, that is 82m. They are currently at 98m (including Nunn and Robinson cap, which is around 4.5m each, reference: https://www.spotrac.com/nba/miami-heat/cap/). So I don't get how you claim all those. All information to me is that, they don't re-sign Dragic, they can either sign Lowry out right, or provide Toronto a TPE.

2) And sure, the Heat doesn't get the 10m MLE. There is an advantage for Heat to do that as well. Keep in mind that when the Heat signed Bosh, they endup giving Toronto the TPE, because they can get close to the tax (instead of hard cap).

Okay bud, these teams just did exactly what I was trying to explain to you here so hopefully it makes sense now. The cap numbers you’re looking at for Nunn and Robsonson are the qualifying offers, I won’t explain that but you can look it up if you don’t know what those are. They’re not actual salary figures.

Also for 2) the issue isn’t missing on the MLE, it’s that they would have to renounce Robinson and Nunn if they use cap space on a player who’s not already on the team. The whole point of the sign and trade idea was to avoid that.

[Indeed]

1) The Heat would need to have less than $78m in contracts to sign Lowry with nothing but cap space, they could get there but they would need to renounce ALL their possible free agents, including several starters in K Nunn and D Robinson. If the Heat cleared all of their available contracts and just used their cap space on Lowry, they would have no cap space left and would have only 5 guys under contract: Lowry/Butler/Herro/Precious/Bam. The rest of the team would need to be vet minimum and exception guys, and that leaves the team extremely, dangerously thin. They don't want to do that if the point is to compete the next two years.

2) Last time I'll say this: THE HEAT WILL NOT GIVE THE RAPTORS ANYTHING IF THEY SIGN LOWRY WITH CAP SPACE. Just like when any player signs with a team in unrestricted free agency, the team that he leaves gets nothing, zero. So it doesn't matter if the Raptors prefer a TPE, they have zero right to ask for it if Lowry was to sign with MIA with their cap space. They get nothing if that happens, unless they bribe the Heat and give up some assets to entice them.

So again the entire point of this idea is that both teams get what they want if they do a S&T, there's motivation on both sides.

1) How did you get 78m? Salary cap is 112m, and minus 30m for Lowry, that is 82m. They are currently at 98m (including Nunn and Robinson cap, which is around 4.5m each, reference: https://www.spotrac.com/nba/miami-heat/cap/). So I don't get how you claim all those. All information to me is that, they don't re-sign Dragic, they can either sign Lowry out right, or provide Toronto a TPE.

2) And sure, the Heat doesn't get the 10m MLE. There is an advantage for Heat to do that as well. Keep in mind that when the Heat signed Bosh, they endup giving Toronto the TPE, because they can get close to the tax (instead of hard cap).

Okay bud, these teams just did exactly what I was trying to explain to you here so hopefully it makes sense now. The cap numbers you’re looking at for Nunn and Robsonson are the qualifying offers, I won’t explain that but you can look it up if you don’t know what those are. They’re not actual salary figures.

Also for 2) the issue isn’t missing on the MLE, it’s that they would have to renounce Robinson and Nunn if they use cap space on a player who’s not already on the team. The whole point of the sign and trade idea was to avoid that.

I still not sure what you are talking about.
The cap hold on the reference I post had Nunn and Robinson at 4.5m, and the Heat can sign him out-right, or provide the Raptors the TPE even without renouce Nunn and Robinson. Perhaps you can provide your reference on why you find the salary cap higher, instead of thinking I don't understand how those works.

2) No, they don't have to renouce Robinson and Nunn, the number I provided shown they have cap space even they keep Robinson and Nunn.

Again, your reference that they need to renounce, which I don't see it from 2 reference sites, they can sign Lowry with Robinson and Nunn on their book.

[HotelVitale]

1) How did you get 78m? Salary cap is 112m, and minus 30m for Lowry, that is 82m. They are currently at 98m (including Nunn and Robinson cap, which is around 4.5m each, reference: https://www.spotrac.com/nba/miami-heat/cap/). So I don't get how you claim all those. All information to me is that, they don't re-sign Dragic, they can either sign Lowry out right, or provide Toronto a TPE.

2) And sure, the Heat doesn't get the 10m MLE. There is an advantage for Heat to do that as well. Keep in mind that when the Heat signed Bosh, they endup giving Toronto the TPE, because they can get close to the tax (instead of hard cap).

Okay bud, these teams just did exactly what I was trying to explain to you here so hopefully it makes sense now. The cap numbers you’re looking at for Nunn and Robsonson are the qualifying offers, I won’t explain that but you can look it up if you don’t know what those are. They’re not actual salary figures.

Also for 2) the issue isn’t missing on the MLE, it’s that they would have to renounce Robinson and Nunn if they use cap space on a player who’s not already on the team. The whole point of the sign and trade idea was to avoid that.

I still not sure what you are talking about.
The cap hold on the reference I post had Nunn and Robinson at 4.5m, and the Heat can sign him out-right, or provide the Raptors the TPE even without renouce Nunn and Robinson. Perhaps you can provide your reference on why you find the salary cap higher, instead of thinking I don't understand how those works.

2) No, they don't have to renouce Robinson and Nunn, the number I provided shown they have cap space even they keep Robinson and Nunn.

Again, your reference that they need to renounce, which I don't see it from 2 reference sites, they can sign Lowry with Robinson and Nunn on their book.

Look, Nunn and Robinson are restricted free agents, they’re not signed for the tiny figures that are listed there, those are their theoretical qualifying offers and not real contracts. If you don’t know what that means, google it.

[Indeed]

Okay bud, these teams just did exactly what I was trying to explain to you here so hopefully it makes sense now. The cap numbers you’re looking at for Nunn and Robsonson are the qualifying offers, I won’t explain that but you can look it up if you don’t know what those are. They’re not actual salary figures.

Also for 2) the issue isn’t missing on the MLE, it’s that they would have to renounce Robinson and Nunn if they use cap space on a player who’s not already on the team. The whole point of the sign and trade idea was to avoid that.

I still not sure what you are talking about.
The cap hold on the reference I post had Nunn and Robinson at 4.5m, and the Heat can sign him out-right, or provide the Raptors the TPE even without renouce Nunn and Robinson. Perhaps you can provide your reference on why you find the salary cap higher, instead of thinking I don't understand how those works.

2) No, they don't have to renouce Robinson and Nunn, the number I provided shown they have cap space even they keep Robinson and Nunn.

Again, your reference that they need to renounce, which I don't see it from 2 reference sites, they can sign Lowry with Robinson and Nunn on their book.

Look, Nunn and Robinson are restricted free agents, they’re not signed for the tiny figures that are listed there, those are their theoretical qualifying offers and not real contracts. If you don’t know what that means, google it.

https://www.hoopsrumors.com/2019/03/hoops-rumors-glossary-cap-holds-3.html

A cap hold for a restricted free agent can vary based on his contract status. A restricted free agent’s cap hold is either his free agent amount as determined by the criteria mentioned above, or the amount of his qualifying offer, whichever is greater.

I searched before I made my previous response, and you have yet to provide me your reference. I see Robinson and Nunn can be on the book and sign Lowry out right.

Your reference?

[HotelVitale]

I still not sure what you are talking about.
The cap hold on the reference I post had Nunn and Robinson at 4.5m, and the Heat can sign him out-right, or provide the Raptors the TPE even without renouce Nunn and Robinson. Perhaps you can provide your reference on why you find the salary cap higher, instead of thinking I don't understand how those works.

2) No, they don't have to renouce Robinson and Nunn, the number I provided shown they have cap space even they keep Robinson and Nunn.

Again, your reference that they need to renounce, which I don't see it from 2 reference sites, they can sign Lowry with Robinson and Nunn on their book.

Look, Nunn and Robinson are restricted free agents, they’re not signed for the tiny figures that are listed there, those are their theoretical qualifying offers and not real contracts. If you don’t know what that means, google it.

https://www.hoopsrumors.com/2019/03/hoops-rumors-glossary-cap-holds-3.html

A cap hold for a restricted free agent can vary based on his contract status. A restricted free agent’s cap hold is either his free agent amount as determined by the criteria mentioned above, or the amount of his qualifying offer, whichever is greater.

I searched before I made my previous response, and you have yet to provide me your reference. I see Robinson and Nunn can be on the book and sign Lowry out right.

Your reference?

Okay, think you’re missing the main premise here. If MIA was trying to sign Lowry outright, they’d need to be less than about $80-82m in contracts. They already have:
$36 Butler
$28 Bam
$4 Herro
$3 Precious
$2 Okpala
$5 Robinson hold
$5 Nunn hold
$5 R Anderson dead space

That’s $88m, and they don’t have any way to cut into it without renouncing their RFAs. The entire point of Dragic and the sign and trade stuff was to get around that.