Kofi Inkoom
Phoenix Suns guard Grayson Allen has agreed to a four-year contract extension worth $70 million, including a player option, according to ESPN’s Adrian Wojnarowski.
The agreement ensures that Allen will not become an unrestricted free agent this summer and acknowledges his outstanding performance during his time with the Suns.
Allen, who started 73 games, recorded career-high averages of 13.4 points, 3.1 assists, 3.9 rebounds, and 33.5 minutes per game.
After joining his fourth team in six seasons, the 28-year-old Allen was keen to re-sign with the Suns, where he benefits from playing alongside Devin Booker, Kevin Durant, and Bradley Beal, enjoying ample space and opportunities on the court. His impressive 46.1% accuracy on 3-pointers led the NBA this season.
Allen’s decision to re-sign comes with significant luxury tax implications for owner Mat Ishbia. The Suns would have been limited to signing minimum contract free agents if they had not retained Allen, making his re-signing crucial for maintaining the team’s core.
The first year of Allen’s contract will see him earn $15.6 million, pushing the Suns’ payroll and tax expenses to $79 million and Ishbia’s projected 2024-25 payroll to $206 million, with an additional $104 million in luxury tax, the highest in the league.
As the sixth-seeded team, the Suns will face the third-seeded Minnesota in the first round of the Western Conference playoffs.
Currently, the Suns are set to exceed the league’s second apron by $16 million, which carries punitive consequences under the new Collective Bargaining Agreement.
Exceeding the second apron would restrict the Suns from sending cash in deals, aggregating contracts, or utilizing preexisting trade exceptions.
Moreover, if the Suns finish the 2024-25 season over the second apron, their 2032 first-round pick will be frozen and unavailable for trade use.
Allen joined the Phoenix Suns as part of a three-team trade involving Damian Lillard, which brought him from Milwaukee. Originally drafted 21st overall by the Utah Jazz in 2018, Allen spent two years with the Memphis Grizzlies before joining the Milwaukee Bucks.