MIAMI — Lockdown defensive specialist Caleb Martin became a free agent and the prediction came true for the Miami Heat, with the versatile forward moving to the Philadelphia 76ers.
Because the Heat are limited by the punitive luxury tax under the NBA's new collective bargaining agreement, Martin agreed to a deal with the Heat's biggest rival instead.
According to multiple NBA sources, Martin turned down a five-year, $65 million contract extension with the Heat before becoming a free agent, which required him to opt in to the final year of his contract by last Saturday's deadline, making the offer impossible once he opted out.
The Heat were eligible to offer Martin a five-year extension worth up to $78 million.
NBA sources said Martin's deal is worth $32 million over four years, with the potential to reach $40 million total with bonuses, a significantly lower annual average than what the Heat were offering.
Martin's deal with the 76ers came as the NBA's offseason signing period began Saturday.
The addition of Martin to the 76ers follows the free-agent acquisitions of Paul George, Andre Drummond and Eric Gordon and further strengthens the team's core with the return of Joel Embiid and Tyrese Maxey.
The Martin move is similar to the Heat's free-agent trajectory a year ago, when supporting players Max Strus and Gabe Vincent were shipped off to the Cleveland Cavaliers and Los Angeles Lakers, respectively.
This is similar to when the Heat traded forward P.J. Tucker to the 76ers in 2022 free agency, when they also drew the line at how much they were willing to offer such a supporting player.
The departure of the 28-year-old Martin leaves the Heat with another defensive specialist, Haywood Highsmith, who previously drew reported interest from the 76ers.
A week ago, the Heat had nine potential free agents on their roster at the end of the 2023-24 season: Martin, Highsmith, Josh Richardson, Thomas Bryant, Kevin Love, Patty Mills, Jamaal Cain, Cole Swider and Alondes Williams.
Of those eight, Richardson, Bryant and Love agreed to return, Highsmith, Mills, Cain, Swider and Williams are still free agents and Martin was traded to the 76ers.
The Heat officially announced Love's signing on Saturday.
In a smaller personnel move Saturday, the Heat signed undrafted Colorado State guard Isaiah Stevens to an Exhibition 10 camp tryout contract, a move likely intended to get Stevens to join the Heat's G League affiliate, the Sioux Falls Skyforce.
Stevens, who is 6-foot-tall, according to Heat records, finished his five seasons with the Rams as the school's all-time leader in points, assists and 3-pointers made.
Martin's departure to the 76ers reduces the options for him to play in the small-ball lineups that head coach Erik Spoelstra has emphasized the past few seasons, in which the 6-foot-5, 210-pound Martin often plays as a power forward.
The Heat's only free agent acquisition was free-agent wing Alec Burks from the New York Knicks. The Heat also acquired center Kell-El Ware out of Indiana with the 15th pick in the draft and guard Pelle Larsson out of Arizona with the 44th pick this offseason.
The Heat are under contract for next season with Burks, Love, Richardson, Bryant, Bam Adebayo, Jimmy Butler, Tyler Herro, Terry Rozier, Jamie Jaquez Jr., Duncan Robinson, Nikola Jovic, Orlando Robinson and draft picks Ware and Larson.
Of those 14, only Orlando Robinson's contract isn't fully guaranteed for next season, with his guarantee date being July 15th.
In recent years, the Heat have started the season with 14 players, one below the league limit, as a way to save on luxury tax.
This story will be updated.
