The Denver Nuggets have offered restricted free agent Peyton Watson a 5 year contract worth $70 million. The report comes from The Athletic’s Tony Jones.
Watson is a forward for the Nuggets. He became a restricted free agent after the team tendered him a qualifying offer earlier this summer. That qualifying offer is valued at about $6.5 million for the upcoming season.
The Nuggets offer would pay Watson an average of $14 million per year. Other teams, including the Milwaukee Bucks, Atlanta Hawks and Los Angeles Clippers, have shown interest in acquiring Watson through a sign and trade.
Denver’s payroll situation has complicated the talks. The Nuggets matched an offer sheet from the Oklahoma City Thunder for Spencer Jones. That move placed the team in the NBA’s second apron, which brings stricter limits on roster and salary moves.
Watson posted strong numbers during the 2025-26 season. He averaged nearly 15 points per game in a breakout year. His performance increased interest around the league.
Talks between Watson and the Nuggets continue. Watson is also considering the option of accepting the qualifying offer and entering unrestricted free agency next summer. The Nuggets are looking at ways to move other contracts to create more flexibility under the salary cap rules.
Watson has developed as a key part of the Nuggets roster since being drafted by the team. The current offer represents Denver’s effort to keep him under contract for the next five seasons while managing the team’s financial position.