Analysis: Where Magic stand after NBA draft and what comes next

ORLANDO, Fla. — After introducing first- and second-round picks Jase Richardson and Noah Penda on Friday inside the AdventHealth Training Center, the Magic will shift their focus fully to free agency.

NBA teams have been allowed to negotiate with their own upcoming free agents since last Monday and will be able to begin negotiating with all other upcoming free agents this Monday (beginning at 6 p.m. ET).

July 6 is when teams can sign free agents, starting at noon ET.

It’s worth examining where the Magic stand from a financial perspective after selecting Richardson and Penda in the draft as Orlando has key roster decisions to make:

Where do the Magic stand financially after the draft?

Orlando’s total projected salary for the 2025-26 season currently sits at $190,402,741 with 12 players under contract, according to Spotrac.com.

After adding in the projected rookie salary for Richardson ($2,983,440), the Magic would move to 13 players at $193,386,181 in total salary.

The Magic would have roughly $2.5 million in first apron space under the fairly new collective bargaining agreement’s salary constraints. Although Orlando could use a portion of the projected $14.1 million non-taxpayer mid-level exception, it would hard-cap them at the first apron threshold ($195,946,000). Instead, the Magic could use the taxpayer mid-level exception, which would start at roughly $5.7 million for the first year and rise 5% for the second.

Because the Magic aggregated the contracts of Kentavious Caldwell-Pope and Cole Anthony in the Desmond Bane trade, they are hard-capped at the second apron. This doesn’t mean Orlando is in the second apron but rather that the Magic can’t exceed the second-apron threshold (which is projected at $207,825,000 for the upcoming season) for any reason.

Although it’s not required, the Magic could sign Noah Penda using the second-round exception. The first year of a three-year deal with this exception can be worth up to the minimum salary for a player with one year of NBA experience (which for Penda would be worth a projected $1,955,377).

Signing Penda would bring Orlando to a projected $195,346,438 in total salary and 14 players on standard contracts, but these totals will change as more roster decisions are made.

What does Orlando have to decide next?

The Magic face a Sunday deadline for Moe Wagner’s $11 million club option for the upcoming season.

The next day, Orlando has to make a decision about Caleb Houstan’s $2.2 million option as well.

If the options are declined, they’d both become unrestricted free agents. That would open some salary space for the Magic and leave them with 10 players on standard contracts (before signing their two rookies).

It’s worth remembering that just because the Magic decline a club option doesn’t mean that player can’t return on a new contract, but the team runs the risk of losing that player in free agency.

There’s some precedent with the pair of players.

Last summer, the Magic declined Wagner’s $8 million option before re-signing him to a two-year, $22 million deal, which included an option for the second year (2025-26). The Magic could do the same again to re-sign him on a more cap-friendly contract.

At the same time last year, Orlando guaranteed Houstan’s $2.01 million salary for the 2024-25 season. If the Magic follow this same path, Houstan would be set to become an unrestricted free agent next summer.

Beyond declining or picking up the club options, the Magic could also push the guarantee dates later, if mutually agreed upon.

Who’s going to Las Vegas Summer League?

The Magic’s full summer league roster will be announced at a later date, but they’ve already been tied to a handful of undrafted prospects beyond the expected Richardson, Penda and second-year pro Tristan da Silva.

That includes Arkansas guard Johnell Davis, who spent the first four years of his college career at FAU to help the Owls reach the 2023 NCAA Final Four. FAU confirmed his summer league signing.

Xavier University announced forward Zach Freemantle is joining the Magic for summer league as well. Fremantle finished his time at Xavier 10th in career points (1,749) and ninth in career rebounds (888).

Dayton announced forward Nate Santos will also play summer league for Orlando. Santos played the last two years with the Flyers after beginning his career at Pittsburgh.

Who will lead the summer league squad?

Magic assistant coach Ameer Bahhur will coach at summer league, Jamahl Mosley told the Orlando Sentinel.

Bahhur joined Orlando in 2022 as the team’s head video coordinator and was promoted to an assistant coach role ahead of last season.

Mosley explained his reasoning to let Bahhur lead the Las Vegas group.

“We’ve had different coaches do it each year and Ameer has done a great job from his preparation, his attention to detail,” Mosley told the Sentinel. “He’s worked closely with Caleb Houstan and Tristan da Silva, just helping them be prepared for every time they step on the floor.

“His ability to really help these guys get to their next level and also implement the things that we’re going to do for next year is going to be very important.”

What about Orlando’s regular coaching staff?

Although the Magic continue to make a push to hire Mavericks assistant God Shammgod away from Dallas, according to NBA reporter Marc Stein, Mosley wouldn’t reveal his cards Friday. But he did confirm changes are coming to his staff.

“We’ll make a few movements here,” Mosley told the Sentinel. “I tell this to each person that asks: The front office said that we’re going to get better, so they brought in players to make us better.

“As coaches, we have to continue to evaluate who we are and what we’re doing, and I’m just trying to find ways to continue to make us better, to improve to help these players be put in the best position possible.”