How Pelicans’ Trey Murphy III could ink $223.65 million contract extension this offseason

The New Orleans Pelicans fought through a season of unfortunate, ill-timed injuries just to once again fall short in the NBA Playoffs. Now the front office is looking ahead with a bit of urgency to put together another Western Conference contender for the 2024-25 campaign. With a lack of top-end free agent talent and a weak draft class, contract extensions and trade market maneuverings are on top of EVP David Griffin’s priority lists.

Griffin said the front office would operate with a sense of urgency this offseason but there is no rush to make a move. The currently “mild” market for Brandon Ingram has time to heat up. The Pelicans also have until October 21 to sign Trey Murphy III to a rookie-scale contract extension. The 17th overall pick in the 2021 NBA Draft has outplayed that non-lottery status, but how much? ClutchPoints broke down the CBA to lay out a few different offer possible offer sheets.

100% Max-Level Deal with CBA capped 8% raises

This is the top-end of what Trey Murphy III can earn on a rookie scale extension. It’ll be a tough ask, but any agent worth their commission has to use this guideline as a starting point. Murphy might even want a player option for the fifth season. That would make it easier to opt-out and get All-Star money, should he earn that achievement. It’s doubtful the Pelicans throw in the Player Option if they go with this level of investment.

• 2025-26: $38.75 million
• 2026-27: $41.04 million
• 2027-28: $44.32 million
• 2028-29: $47.86 million
• 2029-30: $51.68 million
• Total:  $223.65 million

100% Max-Level with 4% COL raises

This option allows Murphy to start at a max level but bakes in a modest 4% cost-of-living raise year-over-year. The Pelicans show a bit of goodwill by giving Murphy the max-level status. Murphy gives in a bit on the increases so the team can build a contender as the roster gets more expensive. Again, it’s hard to see a Player Option being a part of this kind of agreement.

• 2025-26: $38.75 million
• 2026-27: $40.31 million
• 2027-28: $41.92 million
• 2028-29: $43.59 million
• 2029-30: $45.33 million
• Total: $209.9 million

95% Max-Level with 5% raises

Now we are starting to compromise. Murphy is arguably a tier below a max-level player right now. Other 2021 NBA Draft lottery picks will fall far short of getting more on their next deals. Josh Giddey (6th), Jonathan Kuminga (7th), Franz Wagner (8th), and Davion Mitchell are good examples of guys who will have to take what the market gives instead of demanding a max-level deal. The front office can propose this structure in good faith knowing full well that $200 million is hard to turn down.

• 2025-26: $36.8 million
• 2026-27: $38.64 million
• 2027-28: $40.57 million
• 2028-29: $42.59 million
• 2029-30: $44.72 million
• Total: $203.32 million

90% Max-Level with 8% raises

Now this is where the hard bargaining starts. The front office has to lock up Murphy to maintain positive political capital with the fanbase. The sharpshooter might not take much less though, not without feeling slighted. A Player Option becomes more likely as the percentage of the max decreases.

• 2025-26: $34.87 million
• 2026-27: $36.72 million
• 2027-28: $38.88 million
• 2028-29: $41.04 million
• 2029-30: $44.33 million
• Total: $195.84 million

Bobby Marks Bargain Special plus 8% raises

It’s probably not worth doing the math on anything less than a deal worth $155 million. However, ESPN Insider and Sports Business Classroom lead instructor Bobby Marks threw out a starting salary as low as $22 million for Murphy III. Any offer that low is almost assuredly coming with a Player Option on the last year of the deal.

• 2025-26: $25 million
• 2026-27: $27 million
• 2027-28: $29.16 million
• 2028-29: $31.49 million
• 2029-30: $34.01 million
• Total: $146.66 million

Trey Murphy III knows the Pelicans have a bright future

Murphy III had no defeat in his voice during exit interviews. He was not shy about taking credit for accomplishing some franchise history, nor selfish when looking forward to a new contract.

“I think overall it was a decent season…Winning 49 games is not an easy feat in the NBA. If we were in the Eastern Conference we’d be the third seed,” said Murphy III. “Obviously, we wanted it to end differently but overall team success was good. I was able to contribute to that as well, and it was my first time having a major injury so coming back from that was something I had to deal with.”

The fan-favorite known affectionately as “Trigga Trey” will look for a fair deal from the Pelicans, nothing more or nothing less.

”Obviously, we’re going to try to do what’s best for me and the Pelicans. I hope we can get something done but at the end of the day, it’s not about money. I want to play basketball…,” Murphy stated. “I’m not going to act like it’s not about the money at all, that would be stupid of me. It’s a chance to have generational wealth and do things for my family that I haven’t been able to. So obviously it means a lot, but I’m not going to be super money-hungry to the point where I think I’m being selfish. Let me say that.”

No offense, but Marks might need to shake a few coach cushions. Murphy III is just too good already, with too much upside, to not take a bet on the 23-year-old. It will also be tough for his agents to ask for a salary in 2025-26 that is near Brandon Ingram’s current 2024-25 cap figure of just over $36 million.

The Virginia alum still needs to refine his ball-handling, passing, rebounding, and defense to get on the same level as even a one-time NBA All-Star. A five-year, $175 million deal seems like the middle ground considering the rising cap and Murphy III’s potential.