It speaks to the unprecedented longevity of LeBron James’ career that his deserving max money was never in question for a player about to enter his 22nd NBA season, during which he will turn 40. The questions were more about how the Lakers would build around him this summer, maximize the years he has left, and try to get him one more ring.
The contract part is done. LeBron James has agreed to a two-year, $104 million max contract with a player option in the second year and a no-trade clause, a story broken by Adrian Wojnarowski of ESPN and since confirmed by other reports. He had opted out of $51.4 million for this season.
Free agent LeBron James has agreed to a two-year, $104 million maximum deal to return to the Los Angeles Lakers, sources tell ESPN. Deal includes player option and no trade clause. pic.twitter.com/gAEOmvfAzZ
— Adrian Wojnarowski (@wojespn) July 3, 2024
LeBron is worth that money on the court. He remains one of the best players in the league, making his 20th All-NBA and All-Star teams last season when he averaged 25.7 points, 8.3 assists and 7.3 rebounds a game. More than just raw numbers, he was the energy barometer for this team — his level of energy and force played with on any given night determined how good the Lakers were. He remained the hub of everything they did.
LeBron wanted to close this deal before July 6, when the NBA’s signing moratorium ends and Team USA training camp for the Paris Olympics opens in Las Vegas. LeBron will represent the USA this summer in Paris.
The Lakers’ efforts to upgrade the roster to maximize the final years of LeBron have been a swing and a miss so far this offseason. His signing a max deal sets the tone for the Lakers’ future moves.
With LeBron at the max — and Bronny agreeing to a four-year minimum deal worth $7.9 million — the Lakers have a full 15-man roster, and the team’s current payroll of $190 million is $1.1 million into the second tax apron, which severely limits the franchise’s team building options. That second apron serves as a de facto hard cap for Los Angeles. Wojnarowski said the Lakers and LeBron are talking about him taking a $1 million or so discount to keep them below the apron. However, the other option is a trade or two where some lower-salary Lakers are traded into another team’s cap space (and the Lakers take back a protected second-round pick, no salary) to get below the second apron line of $188.9 million.
Even with that, the Lakers can no longer use the mid-level exception to add a player this offseason. The only way the Lakers can make a roster upgrade now is to make a trade, one that brings back less salary than it sends out (the Lakers can make a trade where they aggregate salaries as part of it, but it has to be executed before LeBron signs his deal, which brings us back to the July 6 deadline). For example, the Lakers have been linked to DeMar DeRozan, he can’t now take the mid-level exception (not that he ever was going to, that’s below market for him) and the Lakers would have to get him to sign dollar-for-dollar for what De’Angelo Russell and any other players in the trade make. (Note, there is a lot more momentum lately to DeRozan signing with the Heat.)
The Lakers made moves this summer to make LeBron happy, drafting his son Bronny James and firing coach Darvin Ham, then replacing him with LeBron’s podcast partner J.J. Redick. That and a max contract was enough to keep him in Los Angeles, although there was never much expectation in league circles that he was leaving.
LeBron can opt out next summer to keep the pressure on the Lakers to build out the roster, but it looks like he will retire in Los Angeles.
