Raptors’ Kyle Lowry Will Opt-Out of Contract

In the off-season the Toronto Raptors were able to re-sign all-star DeMar DeRozan. Now their focus must switch to re-signing another all-star, Kyle Lowry.

Like many free agents did this past off-season, Lowry is looking to cash in. It’s been reported that he will opt out of the last year of his contract, which would have paid him $12 million. However, he’s stated that he would like to stay with the organization.

That’s good news and let’s face it – Lowry has earned a raise. Since signing with the Raptors in 2014, he has been a two-time NBA All-Star and a key piece as the team reached the Eastern Conference Finals last season.

Furthermore, he has found a home in Toronto, which has allowed him to flourish. Plus, it’s rare that star players like to stay. From Tracy McGrady to Chris Bosh, when a star player has a chance to leave, they leave. However, DeRozan bucked this trend in the off-season and Lowry would like to continue it.

As a result, they have formed the most successful duo in Raptors history. As the team looks to contend and possibly bring another star into the fold, Lowry will be an important member of the Raptors going forward.

Pluses & Minuses

With the Raptors looking to potentially add a star player, they need to have other stars. In this new NBA, players want to play with other stars, so it would make sense for them to keep their star players as they hope to eventually attract one more.

Nonetheless, it’s not a simple road for the Raptors going forward. Although they would like to attract one more superstar, they must decide whether or not to pay Lowry.

Giving big money to a 30-year-old is risky. The body can break down due to age, which results in the team being stuck with a player who will not perform up to their contract. The Raptors should pass on the idea of re-signing Lowry.

However, they could easily re-sign him because there aren’t a lot of replacement options. Unless they decide to spend that money on another point guard in free agency, Lowry is looking like the best option.

The number of years they give him will be key if the team wants Lowry to stick around long-term. Flexibility has been a mantra for the Raptors over these past few seasons. They have spent their money wisely and have not been handcuffed with an albatross contract.

Then there’s the matter of dollars; when age factors in, it’s not a good combination. Lowry will be looking to break the bank, by that I mean he will be looking at a max deal similar or even bigger to the one Mike Conley did. If Conley is getting that type of money it’s safe to assume that Lowry will as well.

As it stands, the Raptors total cap $107,608,411, which has them $13,465,411 over the cap. With the league’s salary cap increasing again next year and some contracts coming off the books, the team will get some cap relief. However, fitting Lowry’s contract demands will become problematic. 

Currently, Lowry has a cap hit of $12 million, but that will change over the off-season. Using Conley’s contract as an example, Lowry could have a cap hit around $26 million or higher when he receives his new pay raise.

What to do?

Masai Ujiri cannot have DeRozan and Lowry taking up most of the team’s salary cap. Doing so can result in them joining the likes of the Memphis Grizzlies and New Orleans Pelicans. Those are teams with high payrolls which flame out or don’t even make the playoffs.

In the end, Ujiri has a tough task at hand over the next calendar year. The organization can have their backcourt locked up, but it still won’t be enough to overtake the Cleveland Cavilers. Plus the salary cap ramifications that will come with these max deals.

The next 12 months will be interesting to follow and can result in big changes for the Raptors.