Nuggets Matching OKC’s Offer Sheet For Spencer Jones

As Charania tweets, Denver’s projected luxury tax bill will rise from $36MM to $68MM by matching Jones’ offer sheet. Charania suggests the team may choose to make in-season trades, rather than offseason deals, to reduce its tax bill.

The Nuggets, who are now operating over the second tax apron, will turn their attention to figuring out Peyton Watson‘s free agency amid external interest from the Hawks, Bucks and Clippers, Charania adds.

According to ESPN’s Bobby Marks (Twitter link), if Watson ends up accepting his $6.5MM qualifying offer to become an unrestricted free agent next year, Denver’s projected tax bill would be $112MM. That figure would rise dramatically if the Nuggets retain Watson at a higher salary.

Jones became a RFA at the end of June when the Nuggets formally tendered him a $2.65MM qualifying offer. That gave Denver the right of first refusal, and the team exercised that right by matching the deal Jones signed with Oklahoma City.

Jones’ new contract is technically worth $11.75MM over two years, per Marks (Twitter link). He’ll make $6MM in 2026/27 and $5.75MM in ’27/28 and will have the right to veto trades for the current league year.

The 25-year-old went undrafted in 2024 after five college seasons at Stanford. He signed a two-way contract with the Nuggets that summer and didn’t see much NBA action as a rookie, playing 125 total minutes across 20 appearances (6.3 minutes per game).

Jones returned to the Nuggets on another two-way deal last offseason and carved out a significant role in year two amid a wave of injuries, most notably to Aaron Gordon. Jones, who was converted to a standard contract in February, averaged 5.5 points, 3.3 rebounds and 0.8 steals on .504/.394/.608 shooting splits in 64 games in 2025/26, including 37 starts (22.1 MPG).

The Thunder used their taxpayer mid-level exception to sign Jones, and since the offer sheet was unsuccessful, they’ll regain access to that exception, notes Yossi Gozlan of Third Apron (Twitter link). Oklahoma City, which is $6.9MM beneath the second apron, can’t trade for Jones for one calendar year, Gozlan adds.

The Nuggets were able to match Jones’ offer sheet using his Early Bird Rights. He’ll have the right to veto any trade during the 2026/27 season.