The Knicks seem to have finalized the framework of the Mikal Bridges deal, allowing them to stay below the first salary cap apron in doing so, and they have further saved some cap space in signing their two draft picks.
SNY’s Ian Begley reports that the Knicks are paying Ratiopharm Ulm, the German club for which Pacome Dadiet was playing, an $850,000 buyout to free Dadiet, and paying him 80 percent of the rookie salary scale – approximately $1.8 million in actual salary.
However, per Frad Katz, the Knicks will pay Dadiet 120 percent of the rookie scale in years two through four of his deal – giving Dadiet about $1.4 million more than a straight scale cost over the life of the deal, but saving the Knicks $904K against the hard cap this season (the difference between the 80 percent he’s being paid and the 120 percent maximum).
Meanwhile, The Knicks have also signed second-round pick Tyler Kolek to a four-year, $9 million contract, using the second-round pick exception. The contract is guaranteed for three seasons, with a fourth-year option.
Dadiet was selected No. 25 overall last week, giving him a rookie scale median of $2,260,100, but the NBA CBA says that draft picks can be signed for as little as 80 percent or get up to 120 percent of their scale number.
Signing Dadiet to the 80 percent number is, per Begley, due to the buyout being paid, but as overseas buyouts up to $850K do not count towards the salary cap, that is how the Knicks are still saving money.
Those signings, plus the finalization of the Bridges trade, gives the Knicks about $17.7 million in space under the second salary cap apron, as well as the full $5.2 million mid-level taxpayer exception.