Karl-Anthony Towns Can Save the Knicks Millions With His Next Contract

With the New York Knicks having secured most of their key free agents from last season’s championship roster, the next pressing item is extending their core stars still under contract. Jalen Brunson, Karl-Anthony Towns, and Josh Hart sit at the top of that list, with Brunson and Towns carrying the heaviest price tags.

That creates a real tension for the Knicks, whose owner James Dolan publicly stated at the start of this offseason that he would not exceed the second apron under any circumstances, even if it cost the team critical role players. Whether that position holds when franchise cornerstones are the ones at risk of walking is an open question, but it cannot be dismissed.

A Team-Friendly Trend Already in Motion

One pattern has emerged quietly across this Knicks roster: players taking below-market deals to stay in New York. Landry Shamet and Jose Alvarado both signed team-friendly contracts in free agency when they likely could have earned more elsewhere. That culture of collective sacrifice could extend to star-level extensions.

Brunson, though, is a different case. He already took a pay cut once, a decision that directly enabled the Knicks to build the championship roster. After winning Finals MVP and cementing himself as arguably the most beloved athlete in New York sports right now, asking him to do it again is not realistic.

The Towns Extension Debate

That shifts the financial burden of flexibility squarely onto Towns. His contract extension has been in discussion since the 2025 offseason. Towns is eligible for a supermax worth roughly $220 million, a figure that reflects his value as the Knicks’ second-best player but would create serious cap stress.

Stefan Bondy of the New York Post floated an alternative: a four-year, $180 million extension. That structure would require Towns to accept a cut that dips below what he currently earns on a per-year basis, but would keep him in New York well into the later years of his career while giving the organization room to retain his teammates.

Why Towns Might Actually Agree

Asking a star to leave $40 million on the table is a significant request. The San Antonio Spurs just watched Towns lead the Knicks past them in the 2026 NBA Finals, a moment that cemented his legacy in New York. Towns has shown consistent enthusiasm about being a Knick that predates the championship. His teammates attended his wedding. The cohesion within this roster has been a documented factor in their success.

The desire to preserve those relationships and compete at this level could outweigh maximizing earnings. A discounted extension keeps the group intact and positions the Knicks to lock down Hart and others without blowing past the second apron. That outcome benefits Towns as much as anyone on the roster.

Read also: NBA Southwest Division 2026-27: Offseason Moves and Season Outlook for Every Team

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