The New York Knicks have paused contract extension talks with center Karl-Anthony Towns until later in the season, even as both sides express interest in reaching a long-term agreement before the defending champions open their title defense.
The franchise offered Towns a four-year deal worth about $200 million, roughly $76 million to $80 million below the maximum extension he is eligible to sign. Towns, who holds a $61 million player option for the 2027-28 season, has indicated he is open to taking less than the max to help keep the core intact, but the sides remain apart.
New York Post columnist Stefan Bondy reported that both the Knicks and Towns want a deal completed.
“Logic indicates the Knicks and Towns will agree to an extension,” Bondy wrote. “They make the most sense for each other. Like Simon & Garfunkel or The Beatles.”
Towns, who turns 31 on Nov. 15, has until June 30, 2027, to decline his player option and either sign an extension or enter free agency. If he signs an extension before Oct. 19 without declining the option, the new deal would replace the option for its first year.
“Put another way: Towns has until the end of June to negotiate. There’s no time crunch,” Bondy added.
League sources told Bondy that free agency is difficult for players under the current collective bargaining agreement and that the Knicks value Towns more highly than most other teams. Those factors limit his leverage, though the player option shifts some power back to him.
“We asked for Towns’ value around the league and the different paths this saga might travel,” Bondy wrote after speaking with three NBA executives and two agents. “The consensus responses were twofold: 1) Free agency stinks for players nowadays, and 2) the Knicks likely value Towns more than the rest of the league does. Those are bad developments for Towns’ leverage, but he does hold a $61 million player option for the 2027-28 season, which swings the power dynamic back toward the player.”
If Towns reaches free agency next summer, the Los Angeles Clippers and Chicago Bulls are viewed as the strongest potential suitors because of available cap space, according to an Eastern Conference executive who spoke with Bondy. Other teams, including the Brooklyn Nets, Golden State Warriors and Dallas Mavericks, face greater challenges in creating comparable room.
That executive said he would hesitate to offer Towns more than $60 million per season.
“I wouldn’t feel great about giving him his actual max in 2027-28 [about $61 million]. I would feel better in the $45-50 million range.”
Towns publicly expressed disappointment after the Knicks announced Friday that extension talks would be tabled so the team could focus on the season.
“It was news to me,” he said. “Very disappointed to say the least. Let’s state the obvious: It’s business, but there is business on court for us to handle.”
Towns averaged 20.1 points, 11.9 rebounds and 3.0 assists in 75 games last season while shooting 50.1% from the field and 36.8% from 3-point range. He earned his sixth All-Star selection and helped the Knicks end a 53-year championship drought by defeating the San Antonio Spurs in five games in the NBA Finals.
In the 2026 playoffs, Towns averaged 15.9 points, 10.6 rebounds and 4.9 assists over 19 games as the Knicks swept the Philadelphia 76ers and Cleveland Cavaliers before beating the Spurs. In his first season with New York in 2024-25, he averaged 24.4 points and a career-high 12.8 rebounds in 72 games while earning All-NBA recognition.
The Knicks open the 2026-27 season Tuesday against the Philadelphia 76ers at Madison Square Garden, where they will raise their championship banner. Towns is under contract for $57 million this season as the team prioritizes a repeat title run over immediate negotiations.
