Lakers Get Promising Update on Dream $90 Million Free Agent Amid New Report

The Los Angeles Lakers are in the market for some changes after a virtually unprecedented end to their season.

First order of business on the to-do list will revolve around in-house names. The Lakers have some sorting out to do with Reaves, who has a player-option for the 2026-27 season, and James, who is set to enter unrestricted free agency. 

The Lakers have expressed desire to retain both players, but that won’t come easy. 

In the meantime, the L.A. front office will also seek to get a lay of the free agency land.There are multiple names that have been tied to the Lakers over the last several months, perhaps none more than Denver Nuggets rising star Peyton Watson.

According to NBA insider Tim Bontempts, the Nuggets will aim to maintain Watson by weighing the trade market for their other forwards, but if things don’t meet up, that’s where the door cracks open for another bidding team to swoop in.

“Watson is one of the more intriguing free agents this summer, even though Denver can match any offer sheet,” Bontemps wrote on ESPN.com. “The 23-year-old fits one of the most coveted archetypes in the modern NBA — versatile 6-foot-8 wing — but retaining Watson and keeping the current roster intact would push Denver far into the luxury tax.”

What This Report Means for the Lakers

GettyLuka Doncic (C) of the Los Angeles Lakers holds his new jersey while standing alongside general manager Rob Pelinka (L) and head coach JJ Redick (R) during a press conference at UCLA Health Training Center on February 04, 2025 in El Segundo, California.

The Nuggets have not shied away from facing apron penalties, as Bontempts notes, so there is no reason to believe they won’t do whatever it takes to retain Watson. But things aren’t always that simple.

Watson just wrapped up the final year of a four-year rookie scale contract he received upon being drafted four years ago. He has a cap hit of just under $4.5 million — next to nothing for a rising, multi-faceted wing. Some projections have the Denver star landing upward of a $90 million deal this offseason. 

But in order for the Nuggets to avoid losing Watson’s services this offseason, they’ll likely need to move on from existing players on larger contracts; otherwise, Denver will be strapped in negotiations with Watson, which could lead him to explore options elsewhere.

“The Nuggets have never been big spenders,” Bontemps wrote, “which is why the belief around the league is that Cameron Johnson (on an expiring $23 million deal) or Christian Braun (on a five-year, $125 million extension signed in the fall) is likely to be moved to create enough room to give Watson something in the per-year range of those players.”

Peyton Watson Would Be Dream Target if Star Moves on From Denver

Depending on where the Lakers end up with James, Watson could become both a dream and a desperate target. He’s young, ascending and appears to be an ideal fit next to franchise cornerstone Luka Doncic. 

Further, who could argue the Lakers wouldn’t be making a better choice by allocating the $25 million or $30 million they could pay James for Watson instead? 

The major drawback of pursuing Watson — if he becomes an available target — over James is durability. 

James, even at 41, has proven to be remarkably healthy over his career. Despite being the oldest player in the NBA, James was the best — and most available — star player on a Los Angeles team that won a playoff series without its leading scorer.

Watson, just 23, struggled to stay on the court this season with a persisting hamstring strain. If the Lakers end up landing Watson and lose James only for their new addition unable to stay healthy, that’s a massive loss.

James brought nearly 21 points per game to the table this season on over 51% shooting while playing north of 33 minutes per game. Supplanting James with Watson would be a high-risk/high-reward scenario. 

But if it’s a miss, it’ll be a big miss.

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