Sunday was a big day for the Denver Nuggets and their offseason as they were faced with their first major deadline, Vlatko Cancar’s team option. After sitting out all of last season with a torn ACL, Cancar’s contract had a team option for $2.346 million for the 2024-25 season, which would have been the last year of his deal.
Nuggets decline team-option for Vlatko Cancar
But on Sunday, the Nuggets decided to decline the option, making Cancar an unrestricted free agent. On the surface, it would appear as though this is the end of the road for Vlatko in Denver, but that may not actually be the case.
The Nuggets are declining Vlatko Cancar’s 2024-25 team option, source tells @DenverPost. Cancar can re-sign on a new minimum contract that would be mutually beneficial to him and Denver, simultaneously increasing his salary and decreasing his cap hit.
— Bennett Durando (@BennettDurando) June 23, 2024
There is a scenario where Cancar now agrees to a new minimum contract with the Nuggets which would pay him slightly more next season while also lowering his cap hit for the team. This would be a mutually beneficial situation, but of course, it assumes that both sides want a reunion in Denver.
Nuggets may still intend to bring Cancar back next season
Cancar was drafted by the Nuggets in 2017 and was coming along as a role player before his knee injury. He’s still just 27 years old and a big 6’8” wing player with shooting ability would be a great addition to the Nuggets’ rotation next season. A lot of his ability is still based on upside and potential, but with the limited assets the team has, Cancar is a worthy risk to take. He's set to play for Team Slovenia in Olympic qualifiers later this month.
If the Nuggets do end up re-signing Cancar to a new deal, he could make roughly $90,000 more with an extra year of service in the league. But his cap hit for the team would be lowered by about $300,000. This could end up saving ownership nearly $1 million in luxury tax payments and will help the front office on the margins this offseason.
For those that want an in-depth explanation of the finances behind how this benefits all parties (ownership, Vlatko, and the front office), I went over it several weeks ago in my offseason preview:https://t.co/RIkYTI2HIg https://t.co/cLwJVaeGY5
— Jake Coyne (@TheStatSquatch) June 23, 2024
It may seem like a small deal, but this could end up having huge ripple effects for the Nuggets this offseason. Every move and every dollar will count and the team must be incredibly prudent and diligent while operating on the margins. There will be bigger, more important moves this offseason, but everything is connected and this seems to be a pretty solid start.