The Cleveland Cavaliers have made another major offseason move, landing Peyton Watson in a sprawling five-team trade that also sends Max Strus to the Los Angeles Clippers.
Watson will sign a four-year, $88 million contract with Cleveland that includes a player option and trade kicker, Klutch Sports CEO Rich Paul and agents Lucas Newton and Calvin Andrews told ESPN’s Shams Charania.
The 23-year-old is coming off the best season of his young career, averaging 14.6 points, 4.9 rebounds, 2.1 assists and 0.9 steals while shooting 41 percent from three-point range. Watson started 40 games for Denver and recorded four 30-point performances after failing to reach that mark once across his first three NBA seasons.
Cleveland’s move for Watson comes after an Eastern Conference Finals appearance ended with a sweep at the hands of the New York Knicks. The Cavaliers have since reshaped parts of their roster, with Strus now heading to the Clippers.
Denver receives Cleveland’s unprotected 2031 first-round pick and a 2032 Sacramento Kings second-round pick in the deal, according to ESPN’s Shams Charania.
The Nuggets entered the trade sitting $1.3 million above the second apron and without a tradable first-round pick. Moving Watson also creates a trade exception worth 50 percent of his salary, although Denver cannot use it in a way that would leave the franchise above the second apron due to the sign-and-trade.
The deal extends beyond Cleveland, Denver and Los Angeles. The Cavaliers are also acquiring Cam Whitmore from the Washington Wizards while sending Tre Mann, a 2027 second-round pick and cash to Washington, according to Charania. Julian Reese is heading from Washington to Denver, where the Nuggets are expected to waive him from his two-way contract.
Dennis Schroder’s earlier move from Cleveland to the Charlotte Hornets is also folded into the transaction, making it a five-team deal.
Watson had attracted interest from several teams during restricted free agency, with the Milwaukee Bucks, Portland Trail Blazers and Clippers among those involved before Cleveland emerged with the guaranteed $88 million agreement, according to Charania.
For the Cavaliers, the deal adds another young, athletic wing to a roster looking to take the next step after reaching the conference finals.
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