The Los Angeles Lakers decline Nick Smith Jr.’s team option after one season with the club, moving forward without the guard. Multiple outlets report that the decision makes Smith an unrestricted free agent. The declined option is valued at $2.5 million for the 2026–27 season, according to reporting first attributed to ESPN and echoed by other sources.
The Lakers signed Smith late last summer, and his one season in Los Angeles ends with the team choosing not to retain him through the option year. By declining the contract option, the Lakers also increase available salary-cap flexibility ahead of the start of free agency. One report states the decision provides the team with more than $50 million in cap space entering free agency on Tuesday.
Overall, the sources agree on the key points: the Lakers decline Smith’s $2.5 million option, converting his status to an unrestricted free agent, and the move is tied to improving the team’s financial room for the upcoming offseason.
