Karl-Anthony Towns, Josh Hart seek Knicks

Karl-Anthony Towns and veteran wing Josh Hart are seeking contract extensions from the New York Knicks, but negotiations have stalled with the season opener approaching. The Knicks, aiming to stay under the luxury tax's restrictive second apron, face complex financial decisions regarding their key players.

Karl-Anthony Towns has two years remaining on his existing four-year, $220.4 million contract. He is eligible for a four-year extension projected to be worth between $272 million and $276 million, which would replace his $61 million player option for the 2027-28 season. The 30-year-old center stated his desire to remain in New York long-term. "I’ve made it known that I want to play here; I’ve been a fan since a kid," Towns said. He also expressed a preference for resolving his contract situation, noting, "I would like to get one done. I’d like to get it done and step on the floor and feel as comfortable as possible." However, talks have stagnated, with reports indicating the two sides are eight figures apart annually. The Knicks have reportedly discussed deals starting in the $45-50 million per year range, asking Towns to take a pay cut from his maximum possible salary.

Josh Hart, 31, is also extension-eligible and has made securing a new deal a priority. His current contract includes a $22.4 million team option for the 2027-28 campaign, keeping him under team control for two more seasons. Hart stated he wants an agreement finalized as soon as possible to avoid the uncertainty of in-season negotiations affecting his performance. He warned that if issues remain unresolved by the February trade deadline, the situation could change, as contract talks can lead to relocation via trade. Hart said there has been little movement in discussions and he does not expect a deal before the season starts on October 20.

Luxury tax constraints

The Knicks' financial strategy is complicating extension talks for Towns and Hart. Team owner James Dolan has indicated the organization plans to avoid surpassing the salary cap's second apron, a threshold set around $222 million. This constraint is critical as the Knicks look ahead to future contract negotiations for stars Jalen Brunson and OG Anunoby, who become extension-eligible next offseason. Handling these luxury tax rules is a primary reason the team is asking Karl-Anthony Towns to accept a contract below his maximum eligible extension. Towns, who can become an unrestricted free agent in 2027 if he declines his player option, is seeking long-term security with the franchise he followed as a youth.

Player movement and roster changes

Recent roster shifts have also influenced the team's contract flexibility and surprised key players. The Knicks decided not to re-sign backup center Mitchell Robinson, their longest-tenured player, who subsequently left in free agency to join the Boston Celtics. Robinson signed a three-year, $47.4 million deal with Boston, a move the Knicks made partly to control spending. Karl-Anthony Towns said he was very surprised by the team's decision. Veteran center Andre Drummond has been brought in to replace Robinson on the roster.

The Knicks will open their 2026-27 season against the Philadelphia 76ers at Madison Square Garden on October 20, with both Karl-Anthony Towns and Josh Hart starting the campaign without new contracts in place.