LeBron James declined the $51.4 million player option in his contract with the Los Angeles Lakers and entered unrestricted free agency, according to multiple reports. James is expected to re-sign with the Lakers and, according to Yahoo Sports, could come with a local discount.
James is eligible to sign a three-year, $162 million max contract with the Lakers, but for Los Angeles to use its full mid-level exception (worth roughly $13 million under the new collective bargaining agreement), James would have to agree to at least one contract $162 million maximum with the Lakers and a $20 million pay cut.
Just In: Los Angeles Lakers four-time champion LeBron James intends to opt out of his $51.4 million player option for next season, sources tell @TheAthletic @Stadium. The expectation is James will return to the Lakers on a new deal. pic.twitter.com/wQAbSAwCQD
— Shams Charania (@ShamsCharania) June 29, 2024
If James doesn’t take a pay cut, the Lakers will enter the offseason above the first cap limit, which would limit how much they can spend and send in a potential trade.
James has only taken a pay cut once before: in 2010, when he, Dwyane Wade and Chris Bosh took less money to team up with the Miami Heat. James signed a two-year, $68.6 million contract, $15 million less than the maximum a team could offer him in free agency.
This time, James’ incentive to take a pay cut would be to spend the final years of his career with a true contender. It’s also worth noting that the Lakers selected James’ oldest son, Bronny, with the 55th pick in the 2024 NBA Draft on Thursday and hired James’ friend and former podcast co-host JJ Redick to be his head coach.
JJ Redick is the new head coach of the Lakers
Darvin Ham’s replacement has no previous experience as a head coach
