Nugsets offer Watson $70m deal as suitors explore sign-and-trade routes
Denver’s initial contract proposal falls short of the 23-year-old wing’s market expectations, prompting rival franchises to investigate complex roster moves.
The Denver Nuggets have presented a four-year, $70 million contract offer to restricted free agent Peyton Watson, a package that includes a team option for the fourth season. According to league sources cited by Yahoo Sports, the proposal falls significantly short of Watson’s own valuation of his market worth, setting the stage for a potentially protracted negotiation period.
While Denver remains in active trade discussions regarding a sign-and-trade scenario, the 23-year-old wing is attracting attention from several other franchises. The Cleveland Cavaliers, Milwaukee Bucks, and LA Clippers are all reportedly exploring avenues to acquire Watson, though each faces distinct structural or strategic hurdles in finalising a deal.
Cleveland has been actively examining trade possibilities involving D’Angelo Schröder and Max Strus to create the necessary salary cap space for a competitive four-year offer. Schröder is set to earn $14.8 million in the 2026-27 season and $15.5 million in 2027-28, with only $4.4 million guaranteed in the latter year. Strus holds an expiring $16.7 million contract for the current season, part of a four-year, $63 million deal originally signed with Miami.
However, the Cavaliers’ pursuit may be complicated by internal pressures elsewhere in the organisation. Reports indicate that James Harden and his representatives are growing impatient regarding his own contract situation, which could impact Cleveland’s ability to execute the complex trades required to bring Watson to the team.
The Milwaukee Bucks have expressed interest in Watson but are reportedly hesitant to include a first-round pick in any trade package. As the franchise continues to build out its asset base following the Antetokounmpo era, the Nuggets would need to derive most of the value from the players involved in any potential deal with Milwaukee.
Meanwhile, the LA Clippers’ interest in Watson is currently on hold pending the conclusion of an investigation into Kawhi Leonard. One potential scenario under discussion would allow Los Angeles to expand the Leonard trade to acquire Watson without sending salary back to Denver, though this remains contingent on the investigation's outcome.
Watson currently holds a one-year, $6.5 million qualifying offer, which would render him an unrestricted free agent in the following summer if no agreement is reached. The Nuggets continue to engage with multiple teams to facilitate a sign-and-trade, but the gap between their initial offer and Watson’s perceived value suggests the market remains fluid.
