NEWS: Grayson Allen agrees to a two-year, $20 million (ish) contract extension
Jon Horst beat the buzzer on rookie scale contract extensions by locking up Allen after a strong preseason.
Deandre Ayton buzz dominated the rookie scale contract extension deadline news cycle, but just before the deadline at 5 pm CST the Milwaukee Bucks got involved by reaching a contract extension with Grayson Allen worth $20 million over two seasons, according to Adrian Wojnarowski.
I loved the deal right off the bat, but then Jim Owczarski made me love it even more by reporting the deal is actually worth up to $20 million and includes both individual and team incentives to get there. At this point we don’t know exactly what those incentives might be, although I would wager the team ones will either be tied to winning the title or reaching a certain point in the postseason. The player ones could range widely from cap-saving “unlikely” bonuses that are basically set just above Allen’s last season statistics to actual lofty goals for him to reach. This is all speculation, but that’s how most contract incentives in the NBA work these days.
Anyway, back to Allen. It’s understandable to be somewhat nervous about handing an eight-figure annual value extension to a player who has logged exactly 0 real games with the Bucks, but clearly the organization was all in on the flashes he showed in the preseason games he played, plus whatever has happened at practices and workouts. He adds a combination of shooting and playmaking the Bucks haven’t had at the two-guard position since Malcolm Brogdon departed for Indiana, and seems poised to be the last piece in Milwaukee invigorating its often bogged down offense.
The nice part about a contract like this is that even if Allen isn’t a tremendous fit, it won’t be difficult to move him next summer if the Bucks need to — Jon Horst has flipped out of worse deals, and it’s never that harmful to have salary blocks during trade szn.
Speaking of trade szn, this trade speaks volumes on how Milwaukee perceives Donte DiVincenzo, as does the fact that the Bucks did not reach an extension with him ahead of the final year of his rookie deal. It was our take on the last Gyro Step podcast that the Bucks would use the season to determine who out of Grayson and Donte ends up sticking around long-term, but Horst decided he didn’t need to wait to know he wanted Grayson for the next three seasons.
That doesn’t mean Donte is gone for certain, either by the trade deadline or by the start of next season. I think it’s highly unlikely he is re-signed, but if his market isn’t robust and he isn’t traded before free agency maybe he takes a prove-it deal or something.
In the shorter term, though, I don’t think it’s a lock he is traded this season. Salary matching makes trading players on rookie deals somewhat difficult for capped out teams — the Bucks can only take back about $6 million in salary if Donte is the sole player being sent in a deal, which doesn’t leave room for many quality players who would be available. My current pipe dream is the Cleveland Cavaliers take Donte and some second round picks or something for Collin Sexton, but I’m not holding my breath on that one.
Milwaukee could simply take back a draft pick for Donte, but given he can get healthy would the Bucks really give up a capable rotation player for future assets? Horst’s track record indicates he will prioritize winning in the near future, so I think the Bucks will hold onto DiVincenzo through the playoff run if they can’t find a suitable trade that brings them a player they actually like.
Letting a player walk in free agency is often seen as a waste, but it’s less of one for a contending team. If you’re the Orlando Magic, you’d rather flip a player on an expiring contract for a future pick since it won’t impact your ceiling. If you’re the Bucks, who saw up close how important depth is in the championship run, it’s probably not worth the 15th pick in 2023 or whatever to give up Donte, even if Allen is starting now.
One last note on trades: Grayson cannot be traded before the offseason now, since his new salary is significantly higher than the $4 million he’s making this season. Jon Horst and the Milwaukee Bucks are all in on him, and I am too, so I’m a big fan of getting him locked up before the year. It’s easy to imagine Allen commanding more annually than $10 million if he’s a good starter on a title team, and that is what Milwaukee aspires to be again this season.