After initial Heat pursuit, Caleb Martin leaves to join 76ers. Where Miami’s roster stands

Forward Caleb Martin is off to another Eastern Conference contender.

After bypassing the $7.1 million player option in his contract with the Miami Heat for this upcoming season to become an unrestricted free agent, Martin committed to join the Philadelphia 76ers, league sources confirmed Saturday to the Miami Herald.

Martin signed a four-year contract with the 76ers that includes $32 million guaranteed and could reach up to $40 million with bonuses. The deal includes a player option in the fourth season.

“Caleb is a battle-tested performer who has elevated his game when his teams have needed it most,” 76ers president Daryl Morey said in a statement issued by the team when announcing Martin’s signing. “We’re excited for him to bring his skillset and mentality to the 76ers.”

Martin, who went undrafted in 2019 out of Nevada, spent the last three seasons with the Heat before departing in free agency this summer. He initially signed with the Heat on a two-way contract in September 2021 before quickly establishing himself as an important rotation player for Miami.

The Heat made a push to retain Martin ahead of the start of free agency, hoping to convince him to opt in to the $7.1 million player option in his contract for next season. This would have allowed Miami to make a lucrative long-term commitment to Martin in the form of an extension.

According to a league source, the Heat offered Martin a four-year extension worth about $58 million to stay in Miami. Including the $7.1 million player he would have needed to accept for this upcoming season to make that contract a reality, this deal would have paid Martin about $65 million over the next five years.

This type of contract would have kept Martin’s cap hit for the upcoming season at a manageable $7.1 million amid the team’s current salary-cap crunch, while also making up on the back end of the deal for some of the money that he would have lost this summer by opting into a lower number than he was expected to get in free agency. But a five-year commitment with an average salary per season of about $13 million wasn’t enough to re-sign Martin.

Martin and his camp expected to get bigger offers in free agency, turning down the Heat’s bid to keep him. But Martin ended up agreeing to a deal with the 76ers for an average guaranteed salary per season of about $8 million — roughly $30 million less in total money than the Heat’s initial offer, albeit Miami’s offer included one additional season than the four-year contract that Martin is signing with Philadelphia.

Now, Martin becomes part of the 76ers’ productive offseason.

Along with reaching an agreement with Martin, the 76ers landed nine-time All-Star forward Paul George on a four-year, $212 million maximum contract in free agency. George is teaming up with All-Stars Joel Embiid and Tyrese Maxey in Philadelphia to form one of the most talented trios in the league.

Other 76ers moves in free agency this summer: bringing back Kelly Oubre Jr., and adding Eric Gordon and Andre Drummond.

Martin, 28, averaged career highs in points (10 per game) and assists (2.2 per game) in 64 games (23 starts) this past regular season.

In Martin’s three seasons with the Heat, he played in two Eastern Conference finals and one NBA Finals. He finished just one vote away from being named the 2023 East finals MVP.

With Martin off the board, that leaves five players from the Heat’s season-ending roster who remain free agents: Jamal Cain (unrestricted free agent), Haywood Highsmith (unrestricted free agent), Patty Mills (unrestricted free agent), Cole Swider (restricted free agent) and Alondes Williams (restricted free agent).

Highsmith had also been linked to the 76ers in free agency, but that seemingly is no longer an option after Philadelphia added Martin. Highsmith still has interest in returning to the Heat, but nothing has yet to materialize.

So far since free agency began on June 30, the Heat has retained centers Kevin Love and Thomas Bryant. The Heat, which has been limited by its salary-cap situation and position against the punitive second apron this offseason, also added guard Alec Burks in free agency.

This has left the Heat with 13 players on guaranteed standard contracts for this upcoming season — almost at the NBA regular-season limit of 15 players on standard deals.

The Heat’s three two-way slots are filled with Dru Smith, Zyon Pullin and Keshad Johnson.

Two-way contracts do not count toward the salary cap, luxury tax or apron and allow for players to be on their NBA team’s active list for as many as 50 regular-season games, with other playing time needing to come in the G League. NBA teams can have as many as three players on two-way contracts at any one time and two-way deals can be swapped out whenever.

The Heat also announced Saturday the signing of guard Isaiah Stevens, who went undrafted this year out of Colorado State and is on Miami’s summer league team. Stevens signed an Exhibit 10 deal with the Heat, which essentially represents an invite to training camp and the chance to compete for a roster spot or transition to Miami’s G League affiliate.

Stevens, 23, played five seasons at Colorado State, averaging 16 points, 3.2 rebounds, 6.8 assists and 1.2 steals per game while shooting 47.4 percent from the field and 66 of 150 (44 percent) on threes as a graduate student this past season. During Stevens’ five-year college career, he shot 253 of 629 (40.2 percent) from behind the arc.

NBA teams are allowed to carry up to 21 players under contract in the offseason and preseason, a total that does not include those on summer league contracts. Rosters must be cut to a maximum total of 18 players (15 on standard contracts and three on two-way contracts) by the start of the regular season.

With 13 on standard contracts, three on two-way deals and one on an Exhibit 10 agreement, the Heat currently has 17 players under contract for next season.

This list does not include center Orlando Robinson. The Heat has until July 15 to guarantee Robinson’s full $2.1 million salary for this upcoming season or allow him to become an unrestricted free agent.

Free agent negotiations were allowed to begin on July 30. The NBA’s signing moratorium was lifted Saturday at 12:01 p.m., allowing the Heat to make the signing of Love official.

With other deals like minimum contracts, rookie contracts and two-way contracts eligible to be signed starting July 1, the Heat had already announced the signings of Bryant, Burks, Kel’el Ware, Pelle Larsson, Johnson, Smith and Pullin earlier in the week.