Updates on where things stand for Heat in free agency. And Adebayo news, ESPN’s Heat take

A few Thursday Heat updates as free agency moves along:

▪ As we’ve noted, the Heat has no intentions of surpassing the $188.9 million second apron because of punitive competitive consequences for doing so.

Miami stands about $7 million under that second apron and can use that money to:

A). Re-sign Caleb Martin (if he’s willing to take it, which is highly dubious) or Haywood Highsmith or

B). Sign an outside free agent with the $5.2 million taxpayer mid-level exception or

C). Trade for a player if it cuts significant salary with a second trade that is made first. Keep in mind that teams over the $178.1 million first apron can’t take back more salary in a trade than they’re sending out, and Miami is above the first apron.

But there’s a reason the Heat hasn’t quickly spent that money. According to three people who have had contact with the Heat, Miami wants to maintain flexibility with that space in case an opportunity to add a high-level player becomes available.

There have been Heat trade discussions with teams - including one with substantial cap space - though further details are unclear. One of the sources said Miami also wants to see what good players become available in the trade market in the days and weeks ahead.

So any holding pattern is the byproduct of preferring to leave options open to pursue something meaningful --not a reluctance to spend. Such an opportunity could take a couple days - or several weeks - to emerge.

▪ The Heat offered Caleb Martin a multi-year contract extension before he opted out of a contract that would have paid him $7.1 million next season. Martin declined that offer.

That decision seems questionable to this point, because he apparently hasn’t found similar money on the open market. Perhaps that changes.

Because of NBA rules, the Heat is no longer in position to offer that same contract to Martin that it offered before he opted out on Saturday. If the Heat chose to use its remaining $7 million under the second apron on Martin, a multiyear deal could not approach what Martin has been seeking because of NBA rules limiting annual raises. Raises could have been larger if Martin signed the extension before opting out.

A source close to Martin said he had been hoping for a deal easily topping $15 million annually. Teams have expressed interest, including Philadelphia, but nothing had materialized as of Thursday morning.

▪ As we reported early this week, the Heat and Bulls free agent guard DeMar DeRozan’s camp had a conversation expressing mutual interest. But at this point, it would be difficult for the Heat to create the needed flexibility or space to sign him for the type of money he’s seeking; TNT’s Chris Haynes reported he would not take $13 million (the mid-level exception owned by teams under the first apron).

Miami, at the moment, could offer DeRozan only $5.2 million.

The Heat is well above the tax line and is prohibited from doing a sign-and-trade with the Bulls because it’s slightly above the $178.1 million first apron. While DeRozan to the Heat cannot be ruled out, finding a common ground with money seems tricky.

A source in contact with the Bulls said the Kings and Spurs have shown interest in working with Chicago on a DeRozan sign-and-trade deal. The Lakers have shown interest but they’re in an even bigger financial bind than the Heat.

▪ Bam Adebayo intends to sign his three-year contract extension pretty quickly after he becomes eligible on Saturday, according to a source.

The three-year extension would include salaries of $51.2 million in the 2026-27 season, $55.3 million in the 2027-28 season and $59.4 million in the 2028-29 season.

Adebayo, who turns 27 on July 18, has two seasons remaining on his current contract with the Heat. He’s set to be the second-highest paid player on the Heat’s roster for the next two seasons — $34.8 million salary for the upcoming season and $37.1 million salary for the 2025-26 season — before the extension begins in the 2026-27 season.

ESPN’S HEAT DEBATE

ESPN this week had a segment asking which team’s championship window is closing more quickly, the Heat or the Milwaukee Bucks.

“The answer is obviously the Miami Heat,” ESPN’s Zach Lowe said. “I’m not sure the window was open to begin with. The Bucks still have Giannis [Antetokounmpo, Khris] Middleton and Dame [Damian Lillard]. The summer has gone poorly for both teams so far.”

ESPN’s Kendrick Perkins said: “I don’t know what’s going to happen with Jimmy Butler. The contract extension still hasn’t happened. He said he’s going to play this season out in Miami. They don’t have the roster [to compete]. I don’t believe in Tyler Herro. You have to have another All Star, super caliber player alongside Jimmy Butler. I don’t believe Bam and Tyler Herro are those guys.”

But ESPN’s Richard Jefferson said: “The Bucks’ window is closing faster. We don’t know about Giannis. The Heat has more Finals appearances since Giannis has been in Milwaukee.”