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The Denver Nuggets wanted to create some clearance around the tax aprons for making moves this offseason. The Charlotte Hornets are in asset-collection mode. That makes them natural partners for a salary-dump.

Here are the particulars:

Denver Nuggets acquire: Cash

Charlotte Hornets acquire: Reggie Jackson, three future second-round picks

Let’s dive in!

(Note: We are analyzing this deal as it has been reported. If the trade is adjusted to include additional players or teams, we’ll adjust the analysis.)

Denver Nuggets

Incoming salary: None

Outgoing salary: $5.3 million in 2024-25

  • Reggie Jackson (PG, one year, $5.3 million)

This trade is super straightforward for Denver. They cleared more than $5 million off their books for next season by salary-dumping Reggie Jackson.

The Nuggets should now have about $8.7 million in room under the first apron. And Denver is about $19.5 million under the second apron.

The main priority for the Nuggets this summer is re-signing Kentavious Caldwell-Pope, who opted out of his contract for next season. Doing so will take the Nuggets back over the first apron, but could leave them with some wiggle room under the second apron.

Charlotte Hornets

Incoming salary: $5.3 million in 2024-25

  • Reggie Jackson (PG, one year, $5.3 million)

Outgoing salary: None

For second time in about a year-and-a-half, the Hornets are eating Reggie Jackson’s contract in a trade. And for a second time, the Hornets will probably waive or buyout Jackson too.

This trade for Charlotte was about renting out some salary space to add three second-round picks. That’s fine for a team that is still in rebuilding mode and collecting as many assets as they can.