In the world of NBA transactions, nothing is quite as complex as a multi-team trade, especially one involving as many as seven teams. The adage about eating an elephant one bite at a time holds true when it comes to orchestrating such blockbuster deals.
Having been involved in numerous transactions during my tenure as the vice president of basketball operations for the Memphis Grizzlies from 2012 to 2019, I have gained insight into the intricate process behind these massive trades. A deal of this magnitude is often a compilation of several smaller transactions, each carefully crafted to meet the requirements set forth by the league.
One fundamental reason teams opt for multi-team trades is the advantage offered by trade exceptions. The collective bargaining agreement stipulates that a “simultaneous trade” provides a larger trade exception than if deals are executed sequentially, regardless of how close in time those deals may occur.
For instance, during the 2016 trade deadline, the Grizzlies had a deal lined up to send Courtney Lee to the Charlotte Hornets in exchange for Brian Roberts, P.J. Hairston, and two second-round picks. Since the incoming players had lower salaries than Lee’s, this legally limited the total amount of money we could incorporate into the transaction.
Had we opted for a direct Lee-for-Roberts trade, the resulting trade exception would have been merely the difference in their salaries—$1.6 million at the time. However, by strategically involving other teams, we could maximize the trade exception that resulted from the deal.
In this instance, the Miami Heat, finding themselves over the luxury tax and facing the league’s repeater penalty, were looking to reduce their payroll. This opened up an opportunity for us to send Roberts to Miami in exchange for Chris Andersen’s larger contract, along with a second-round pick and another protected pick. This maneuver allowed us to expand the deal into a three-team trade, with each team receiving valuable consideration.
From something as straightforward as a three-team deal, it is possible for trades to escalate into larger transactions. A recent example is the significant seven-team deal centering around Kevin Durant. This multifaceted trade blossomed from five earlier transactions that were negotiated the week of the draft. The final addition of the Atlanta Hawks was the only aspect tied to free agency, but the bulk of the discussions revolved around those preceding trades.
In theory, the earlier trades could have been executed sequentially. However, implementing them as a multi-team trade simplified the execution for all involved parties, thereby streamlining the entire process.
The mechanics behind these vast multi-team trades differ, as we saw in the year prior when Klay Thompson was signed and traded to the Dallas Mavericks in a six-team deal. The nature of these transactions often hinges upon making the most of trade exceptions, much like my example with the Grizzlies.
Notably, peak times for multi-team trades typically occur on July 6, when teams can officially begin signing free agents, and before the trade deadline. Each of these points represents unique opportunities for teams to leverage their dealings.
On July 6, the extended timeline following the draft and the free-agency moratorium allows teams to refine and enhance deals already in negotiation. They can combine distinct transactions to ensure they maximize their trade exceptions.
Conversely, as the trade deadline approaches, the urgency to finalize trades means teams can no longer afford to execute trades successively; all deals must be wrapped up in a timely manner before the buzzer sounds. This leads to a flurry of last-minute trades and the formation of complex arrangements.
A recent case involved the Houston Rockets negotiating a basic transaction with the Phoenix Suns to send the 10th pick, along with five second-round picks and players like Dillon Brooks and Jalen Green, in exchange for Durant. With two weeks at their disposal, the Rockets recognized they could enhance the deal’s value by adding another contract as free agency commenced.
To streamline this multi-team deal, they invited Atlanta into a sign-and-trade involving Clint Capela. Framing the trade this way enabled them to fulfill the necessary criteria that each team must offer and receive something, thus ensuring compliance with league regulations.
As the dust settled, Atlanta sent David Roddy, a two-way player, to the Rockets, while Phoenix welcomed Daeqwon Plowden in return. Both players were quickly waived post-trade, highlighting the transactions’ often cutthroat nature.
As the draft unfolded, the Suns traded several of the second-round picks acquired from Houston to further their objectives, leading to a series of exchanges that ultimately involved more teams. For instance, the 59th pick from the draft made its journey from Houston to Phoenix, then to Golden State, and finally to Memphis.
In the meantime, the Suns moved their own second-round pick (No. 52) to Golden State in return for the 41st pick. This maneuver brought the Warriors into the mix, meeting the league’s demands for all involved teams to have reciprocal exchanges.
Additionally, while the Suns utilized some future second-round picks to secure the 36th pick from the Brooklyn Nets, they traded that same pick and another for the 31st, leading to the selection of Rasheer Fleming. Along this winding path, the Minnesota Timberwolves and Los Angeles Lakers got involved, tying the knots of this multi-team trade into a seamless structure.
The Lakers, for their part, sent a combination of cash and the 45th pick to the Timberwolves while obtaining the 36th pick from Brooklyn, which they had secured in a prior trade with the Chicago Bulls.
Seattle’s deal with Denver, which involved cash and a second-round pick heading to Charlotte to facilitate their salary-dumping of Reggie Jackson, rounded out the realignment of this intricate web of transactions. Each new twist and turn allowed for further teams to take part in the burgeoning deal, enabling creativity in the trade market.
The question arises: why didn’t the Grizzlies opt to join the fray and make it an eight-team trade? It seems both sides may have preferred to keep certain aspects of the deal independent for their own potential multi-team trades in the future.
This unique dynamic showcases how fluid and interconnected NBA trades can be, as evidenced by a similar situation the previous year with the Thompson trade, where various deals were simultaneously interconnected and benefitting from valuable trade exceptions.
The ultimate goal of these expansive deals usually revolves around maximizing the assets and flexibility each team can gain through clever trading maneuvers. Often, the major players involved in these massive trades are merely the facade presented to the public, while critical components exist in transactions that seem minor at first glance.
As NBA executives work behind the scenes to set up these complex arrangements, it’s essential to acknowledge that they don’t usually wake up with the intention of executing a multifaceted seven-team deal. The varying motivations behind each trade, the interplay of salaries, players, and picks, all contribute to the eventual outcome.
Given the rising frequency of these deals, it wouldn’t be surprising if we see even more multi-team trades, particularly as trade exceptions grow more favorable under the current collective bargaining agreement. As the league moves forward, it promises an exciting landscape for fans and executives alike, reflecting the rapidly evolving nature of the NBA.
Indeed, as we settle into 2025, basketball enthusiasts should prepare for another exhilarating offseason filled with surprises. The stage is set, and the countdown to next summer’s trade escapades has officially begun.
image source from：nytimes
