Knicks, Lee reach agreement on one-year contract

After a summer in which neither side was able to make a deal that was to their liking, the New York Knicks and forward David Lee reached agreement Thursday on a one-year deal that could be worth up to $8 million. The deal will make Lee an unrestricted free agent next summer, adding his name to the already star-studded free agent class of 2010.

The 26-year-old Lee was coming off a career season in which he led the league in double-doubles (65) and finished third in rebounds per game (11.7). He was hoping to get a huge payday. But Lee was a restricted free agent and the Knicks had the right to match any contract offer from another team for him. And New York made it clear that it would, which had a chilling effect on teams that were interested in the 6-foot-9 forward. But the Knicks also would not commit to more than one year on a contract, trying to save space for that same '10 free agent class in which Lee will now be part.

That left sign-and-trade deals as possibiliites, but throughout the summer, potential deals for Lee with several teams -- with Portland one of the more prominent teams mentioned- -- fell through. As the few teams with cap room signed other players, Lee's bargaining power dwindled. Although word was floated last month that Lee could be a holdout, he really had nowhere to turn, and the past couple of weeks have been mostly a waiting game as Mark Bartlestein, Lee's agent, and the Knicks hammered out a compromise deal.

New York didn't have to pay Lee more than the $2.7 million qualifying offer it made to him last June, which gave the Knicks matching rights. But the Knicks wound up paying almost three times more, partly as a reflection of Lee's worth -- but, perhaps, an olive branch to keep the lines of communication open for next summer, when Lee will be one of the top big men available, along with Toronto forward Chris Bosh and Utah forward Carlos Boozer.

"There's never been a player who signed a deal worth more than the qualifying offer on a one-year deal," Bartlestein said by phone Thursday afternoon. "We're very appreciative of that. They did something that's unprecedented ... they could have taken a much harder stance on this. We'll deal with next summer when we get to it."

With the Knicks also about to re-sign their other major free agent, guard Nate Robinson, to a one-year deal, New York has accomplished its major goal -- keep its team intact for this coming season without commiting any significant 2010 money that the Knicks desperately want to use on a significant free agent. The Knicks drafted Arizona forward Jordan Hill early in the first round after not being able to move up to take Davidson guard Stephen Curry, and traded for guard Toney Douglas late in the first round, and they believe that forward Danilo Galinari is set for a breakout season after being slowed for much of his rookie year with back problems.

The Knicks tried to swing a deal for restricted free agent guard Ramon Sessions, but were unable to get a deal done with his old team, Milwaukee, again fearing using up some of their 2010 room. Sessions ultimately signed with Minnesota.

Bartlestein said there were "five or six" legitimate sign-and-trade deals on the table for Lee this summer. In the end, though, Lee had to come back to New York.

"This was about the most unique situation you could have in the NBA," Bartlestein said. "It was the perfect storm of what you don't want to have when you're a free agent."

It made for a frustrating summer for Lee, who was forced to sit out USA Basketball minicamp in July because he was unsigned. But Bartelstein said he appreciated the Knicks giving Lee a deal for well above his qualifying offer, which was for under $3 million.

"I think they really wanted to show David great respect for what he's done for the organization. They came and met us and did something that was very unique," Bartelstein said.

The Knicks said nothing would be official until Friday, when they also are expected to announce they have re-signed Nate Robinson, another restricted free agent. Robinson thanked the Knicks, his agents and Walsh on his Twitter page Thursday night.

The Associated Press contributed to this report.