The Denver Nuggets are searching for a way to patch their roster after moving Peyton Watson, and the name at the center of their next move is DeMar DeRozan.
After weeks of talks went nowhere, Denver sent its restricted free agent to the Cleveland Cavaliers and got back a 2031 unprotected first-round pick from Cleveland plus a 2032 second-round pick from the Kings. The deal did not bring a player back in return, beyond Julian Reese’s contract, which is expected to be waived. With the roster now sitting at 13 players, the Nuggets still need to fill the required 14th spot.
That search has reportedly turned toward DeRozan. Chris B. Haynes, the senior NBA insider with NBA on Prime and NBATV, said Denver is targeting the six-time All-Star as it tries to stay under the second apron.
“The Denver Nuggets are pivoting and have their eyes directed on six-time All-Star DeMar DeRozan, who remains a free agent in demand for contenders, league sources tell me,” Haynes wrote on X.
DeRozan, 37, became a free agent this summer after the Kings waived his contract. He finished the 2025-26 season averaging 18.4 points, 4.1 assists, and 2.9 rebounds while shooting 49.7% from the field and 32.0% from behind the three-point line.
On the court, that kind of production still makes him a real piece for a team with championship ambitions. The problem for Denver is the same one that shaped the Watson deal in the first place: money.
A veteran minimum for DeRozan would be worth more than $3.9 million, but sources say he is expected to seek exception money ranging from $6 million on the taxpayer end to roughly $15 million on the non-taxpayer end. The Nuggets, already in the second apron, do not have access to those exceptions.
That is what makes this pursuit tricky. Unless DeRozan is willing to take less, Denver does not have a clean path to make it happen.
The Nuggets have been linked to the veteran since his split with the Kings, but they are not alone. Miami is also in the mix, though Barry Jackson of the Miami Herald reported that the Heat are leaning toward using their $8 million midlevel exception on Klay Thompson instead.
“Miami could pay Thompson $8 million of its midlevel exception to supplement whatever potential buyout he takes from Dallas… The Heat has 12 players on standard deals; the 13th would go to Thompson if Dallas buys him out and he agrees to terms.”
“The 14th could go to a center, with small forward Demar DeRozan and guard Gabe Vincent among others who have received consideration. But DeRozan wants exception money, and the Heat is holding that for Thompson,” wrote Jackson in his latest report.
Miami’s broader roster plan is aimed at spacing the floor around Giannis Antetokounmpo and Bam Adebayo, which makes DeRozan a more complicated fit there as well. So Denver may still have a shot. But if the Nuggets want him, the financial picture has to break their way.
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