Grayson Allen agrees to sign 4-year contract extension with Suns

Grayson Allen and the Phoenix Suns agreed to a four-year, $70 million contract extension Monday after the guard’s first regular season in the Valley saw him lead the NBA with 46.1% three-point accuracy. ESPN’s Adrian Wojnarowksi reported Allen’s agency confirmed the agreement that includes a player option and adds that the $15.6 million in salary and additional taxes will add up to $79 million.

As a team, Phoenix at present is looking at the highest 2024-25 payroll in the league at $206 million with $104 more in taxes, Wojnarowski adds.

The team made the move official on Tuesday.

“Grayson embodies our values and we are committed to him being a key member of our core as we continue to build together into the future,” Suns president of basketball operations and general manager James Jones said in a release.

“He has been outstanding for us this season, leading the league in three-point shooting while providing a versatile skillset and competitive spirit on both ends of the floor. Phoenix has become a home for Grayson and his family, and we are thrilled that they want to be part of this community and our winning culture for years to come.”

If the Suns adding Bradley Beal’s pricy long-term salary that includes a no-trade clause was the double-down by owner Mat Ishbia on committing to spending last offseason, this was the triple down.

Allen was eligible for a four-year contract extension totaling $75 million beginning on March 27. He could have signed it through June 30.

Performance-wise, it would be a no-brainer for Phoenix.

Allen averaged 13.4 points, 3.1 assists and 3.9 rebounds in 33.5 minutes per game.

He started 74 of 75 games played alongside the Big Three of Beal, Devin Booker and Kevin Durant.

Often times, Allen took on the assignment of chasing the league’s elite point guards. More often than not, he matched up against the toughest perimeter opponent.

Why would the Suns pay that luxury tax to sign Grayson Allen to a contract extension?

Because the Suns were already projected to be above the second luxury tax apron, they can only sign outside free agents to minimum deals and cannot aggregate salaries in trades.

Locking up Allen now was a no-brainer to avoid losing not only a rotation player but arguably one of the most consistent Suns during this up-and-down season that saw Phoenix finish sixth in the Western Conference with a 49-33 record.

Looking beyond this year’s postseason, Allen could be dealt for salaries just below is own, which is above the mid-level exception.

The Suns notably don’t have any exceptions beyond the vet’s minimum to spend in their financial situation. Eating that cash to pay Allen gives Phoenix more flexibility in trades that wouldn’t exist otherwise.

That, or Allen continues to perform and contribute as a top rotation player.

ESPN’s Bobby Marks said Allen’s contract has a six-month trade restriction on it. He wouldn’t be able to be traded until October.

Allen, 28, joined the Suns in the package that also included Jusuf Nurkic, Nassir Little and Keon Johnson heading to Phoenix. That trade shipped center Deandre Ayton to the Portland Trailblazers in the blockbuster that additionally saw Damian Lillard head from Portland to Milwaukee.

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