Athletic swingman K.J. McDaniels is re-signing with the Houston Rockets on a three-year, $10-million deal, according to Mark Berman, sports director at Houston’s FOX affiliate KRIV. The deal does not include any options, Berman reports.
McDaniels confirmed the news on his Twitter and seemed thrilled to return.
But I’m too happy and too blessed and thankful to be back apart of #RedNation
— K.J (@KJMcDaniels) July 19, 2015
McDaniels: "I feel loyalty to the team. I have a great relationship with the players. I love the city and the history of the Rockets."
— Jonathan Feigen (@Jonathan_Feigen) July 19, 2015
It’s an interesting move for McDaniels, who showed serious flashes of elite athleticism and defense in Philadelphia before riding the bench after the contending Rockets dealt for him at the 2015 trade deadline. On the whole, McDaniels finished his rookie season with averages of 7.9 points and 3.2 rebounds in just under 22 minutes per game — a total that included a meager 1.1 points in 10 games with the Rockets, largely in mop-up duty.
Now in his second year, the 6-foot-6, 205-pound swingman out of Clemson had no shortage of suitors. At one point, his agent said that 12 teams had reached out to express interest, many of whom would undoubtedly offer more playing time than what the Rockets did. And with James Harden, Trevor Ariza, Corey Brewer, Marcus Thornton and rookie Sam Dekker all under contract at the wing spots, there doesn’t appear to be a rotation spot for McDaniels in Houston to open the season.
So why would McDaniels choose to stay? One reason could be that he had little choice. After all, McDaniels was a restricted free agent, meaning the Rockets could match any outside offer. Led by GM Daryl Morey, the Houston front office was set on re-signing him — essentially picking McDaniels over Josh Smith with their mid-level exception (MLE), which led to Smith departing for the Clippers.
Another possibility is that the Rockets could eventually make a major trade that clears a rotation spot for McDaniels. Morey consistently probes the market for larger moves, just as he did in meeting with LaMarcus Aldridge to kick off this summer’s free agency — and it could be that he has another move in mind before the end of this offseason. Sports Illustrated reported last week that the Rockets had spoken with Denver about the availability of troubled point guard Ty Lawson, and the Rockets have almost $7 million in non-guaranteed contracts (Kostas Papanikolaou, Pablo Prigioni) to help facilitate a deal for any non-contender who may want to cut costs.
For now, the Rockets will continue to work with McDaniels on refining his three-point stroke (29-percent in his rookie season). If they can slowly turn him into the “3&D” prototype, much like Ariza, that three-year, $10-million contract could prove to be a steal.
Meanwhile, the contract could also have broader implications. If you remember, McDaniels was a second-round pick by Philadelphia in the 2014 draft. Since NBA teams aren’t required to sign second-round picks yet still control their rights, teams usually leverage their strong bargaining position into gaining several years of cheap, club-controlled labor. That’s what Houston did with Chandler Parsons, a second-round pick in the 2011 draft who signed a four-year deal paying him under $1 million per season.
McDaniels, however, rejected the usual structure and essentially bet on himself — signing a one-year, $500,000 contract with the Sixers in hopes of playing his way into a much bigger payday the next summer as a free agent. One year and $10 million later, it’s clear McDaniels made the right call.
Could his story lead to more second-round picks making that gamble? Time will tell.
Ben DuBose is a veteran sports reporter who has followed the Houston Rockets and the NBA since Hakeem Olajuwon was Akeem Olajuwon. He writes for both SheridanHoops and ClutchFans, an independent Rockets blog. You can follow him on Twitter.