The New York Knicks are approaching training camp with two unresolved contract matters, as discussions over a new deal for Karl-Anthony Towns have stalled while second-round draft pick Tyler Nickel remains unsigned.
ESPN reported that a Towns extension was considered unlikely in the short term, despite extensive offseason discussions. Separately, BasketNews, citing The Athletic’s James L. Edwards III, reported that Nickel had not agreed terms with the Knicks as of 23 September.
The reports describe stalled Towns negotiations and Nickel’s unsigned status. Taken together, they suggest the reigning NBA champions are managing immediate roster choices alongside longer-term spending commitments before training camp.
Towns talks have lost momentum before camp
According to ESPN sources, negotiations between Towns and the Knicks had stagnated, with no recent movement after the sides spent significant time discussing a possible extension during the offseason. ESPN said an agreement was unlikely as training camp approached, although a deal could still be reached later in the season.
ESPN reported that the parties had spent extensive time on a potential extension during the offseason, but that progress had subsequently halted. Its sources said an agreement was not imminent, while leaving open the possibility of the Knicks and Towns reaching one at any point during the season.
Towns is eligible for an extension of up to four years and $276m, ESPN’s Bobby Marks reported. Towns is due $57m in 2026/27 and has a $61m player option for 2027/28, giving the discussions considerable importance for New York’s future planning.
The financial backdrop is central to the situation. ESPN reported that Knicks owner James Dolan has repeatedly said he wanted the club to remain below the punitive second salary-cap apron. The report said Mitchell Robinson’s offseason move to the Boston Celtics followed that approach.
New York also have other forthcoming decisions to weigh. ESPN reported that Josh Hart is eligible for an extension, while Jalen Brunson and OG Anunoby will become extension-eligible next offseason. Taken together, those reported contract timelines suggest Towns’ negotiations are part of a broader planning issue for New York, even if no immediate resolution is expected.
ESPN described Towns as an All-Star in his two seasons in New York. The network reported that he averaged 15.9 points, 10.6 rebounds and 4.9 assists on 55% shooting through last season’s playoffs, when New York won the NBA title.
ESPN also reported that the Knicks went 16-3 during those playoffs and defeated the San Antonio Spurs in five games in the NBA Finals. The network said the championship was New York’s first NBA title in 53 years, providing the competitive context for the club’s effort to repeat while managing several significant contract decisions.
Nickel’s unsigned status keeps roster options open
Nickel, selected 47th overall from Vanderbilt in the 2026 NBA Draft, was still without a Knicks contract on 23 September, according to the reporting cited by BasketNews. Edwards wrote that Nickel and the Knicks were expected to reach some kind of contract agreement.
BasketNews reported that the issue had continued into the period immediately before training camp. Its account identified a two-way deal as one possible route, while also raising the prospect of New York creating room for a standard contract.
The forward has an alternative outside the NBA. BasketNews reported that a federal court ruling granted Nickel a fifth year of college eligibility, meaning a return to college remained possible if an agreement with the Knicks did not materialise. The report also said he could potentially earn more through NIL compensation in college than on a two-way deal with New York.
Edwards raised the possibility that the Knicks could be attempting to open a standard roster place for Nickel rather than use a two-way contract, rather than reporting that New York had made such a move. The suggestion was his assessment of how the situation had unfolded, not confirmation of a Knicks trade plan or a pending transaction.
BasketNews said Pacome Dadiet had been mentioned as a player who could be easier to move if New York sought another roster opening, while Miles McBride had also emerged as a possible trade candidate. BasketNews presented both names as possibilities in a hypothetical roster-opening scenario.
Taken together, the reports suggest New York is weighing Towns’ existing salary commitments alongside the structure of a potential agreement with its newly drafted player.