The Knicks have a tricky offseason dilemma regarding Karl-Anthony Towns, according to Jared Schwartz of the New York Post writes.

Towns will make $57,078,728 next season and holds a $61,015,192 option on his contract for the 2027/28 season. He is eligible for a four-year, $272MM extension, a staggering average annual value of $68MM, Schwartz notes.

If Towns chooses to decline the option and test the market next offseason, he could sign for the standard veteran maximum of $266.6 MM over four years. If he exercises that option and then tests the market in 2028, he could get an even higher deal.

Jalen Brunson gave the Knicks a discount on his extension to help the front office retain cap flexibility. It remains to be seen if Towns will do the same and sign an extension before next season.

Here’s more from the Atlantic Division:

• In their official announcement of signing LeBron James, the Sixers’ managing partner expressed his excitement of seeing James join a loaded starting lineup. “I cannot wait to see LeBron alongside Jaylen Brown, VJ Edgecombe, Joel Embiid, Tyrese Maxey, and our talented roster as we work to deliver a championship for Philly,” Josh Harris said. “To LeBron and his family: we are grateful you chose the 76ers, and look forward to this next chapter of your legendary career.” President of basketball operations Mike Gansey also released a comment about the signing, noting his long-term relationship. “There is no doubt LeBron is one of the greatest players to ever play the game of basketball and there are no words to measure the impact he’ll have on this organization,” he said. “I have had the pleasure of knowing LeBron since high school and have seen the high-level impact he’s produced at every stop of his basketball journey. He is a consummate professional, the ultimate competitor, and a tireless worker. But he is also an incredible person with natural leadership traits, a family man, and someone who possesses unwavering commitment to community and those around him.”
• The fact that James may commute from New York City to Philadelphia was an indication that he would have seriously considered joining the defending champion Knicks. However, the feeling wasn’t mutual, according to Schwartz. They feel they can repeat with the roster they already have and they’ll have to prove in the postseason that their confidence is justified.
• With a focus on Summer League performances, Brian Lewis of the New York Post delves into the winners and losers on the Nets’ roster this offseason. Noah Clowney was firmly placed in the latter category with the acquisition of Julius Randle and second-year player Danny Wolf and rookie Joshua Jefferson pushing for playing time at power forward. Clowney will be a restricted free agent next offseason unless he signs a rookie scale extension. Wolf and fellow second-year players Ben Saraf and Drake Powell also have much to prove after underwhelming Vegas outings.