Dan Gilbert says he's willing to spend the money to keep a quality team around LeBron James and that bodes well for the city of Cleveland.
CLEVELAND, Ohio – When Cavaliers owner Dan Gilbert addressed the media Wednesday morning for the first time since February, he did so with a purpose.
This press conference, a day before his team's season opener against the Knicks, was in part about getting the questions about his relationship with LeBron James out of the way.
That's what everybody was curious to know and for a lot of people, Gilbert's response was what they needed to hear.
"I think our relationship is very good, very solid," Gilbert said. "...Things are great. We had five great years and one bad night is the way I've been describing it. So things are good."
For James, he also needed to hear something in that presser and Gilbert delivered.
James can opt out of his two-year, $42.1 million deal with the Cavaliers at the conclusion of the 2014-15 season. Being the astute businessman that he is, he recognized the NBA's new television deal would kick in for the 2016-17 season and dramatically increases the salary of a maximum contract.
Another reason and probably the most important reason it's only a two-year window is so that James can gauge the organization's aggressiveness towards building and sustaining a championship-caliber team regardless of the luxury tax hurdles.
Mike Miller spoke to Northeast Ohio Media Group during the early part of training camp and he revealed James wasn't thrilled at all with the Miami Heat amnestying him in the summer of 2013. It was a decision that saved the franchise approximately $17 million in luxury taxes.
Miami was a championship squad and on a quest to become the first team to three-peat since the Los Angeles Lakers accomplished it in 2002.
At 29, this part is clear regarding James: He will not allow what's remaining of his prime career to be wasted due to management choosing to save a buck. Even with the ultra punitive luxury tax system in play, to keep the best player in the game happy, the breaking of bread will have to occur to ensure he's surrounded with a quality roster year-to-year.
Gilbert has never shied away from the luxury tax threshold in the past and he made it clear on Wednesday to the fan base and to James that he's not wavering one bit from that stance.
"That message is unchanged," Gilbert said adamantly. "Clearly the cap will be going up in the next couple of years based on the revenues of the league as well, but that message is still there. I think that when you have so much invested, if you want to look at this financially and take away the other stuff, I almost think it's kind of silly when you invest so much into a franchise and have such high costs already and then at the margin, I know it's a lot of raw dollars when you look at it by itself, but relative to everything that's invested, I was a little bit surprised when our franchise was going to stop right there.
"To me, it's like getting to the two-yard line, and okay, we're done now. I think it's not even smart business or maybe not even smart financially, because there is obviously risk involved. But when you're willing to do that, theoretically, your revenues can offset part of that as well and increase in revenues. Definitely, when the decisions are ours and they're regarding financial, that should not stop us or be any significant barrier to delivering championship-caliber basketball here."
Gilbert saw the fastball coming down the pipe and knocked that question out of the park. That's exactly what James needed to hear. Of course it's all about action from here, but the foundation is solid and understood.
Thursday will be a monumental, celebratory day in the city of Cleveland and Northeast Ohio. Downtown is expected to be jam-packed with individuals looking to capture the moment.
What James has given to this city is remarkable. It takes a big man to pull off something like this. After "The Decision" and the infamous "Letter," not many believed this day would be possible, let alone the impact it is having.
Cleveland, this is for you. You have endured more heartaches than any other major sports city combined. You deserve it. Cleveland is not used to catching breaks like this. I feel for you from my experiences covering the Portland Trail Blazers where they suffered through the injury-plague careers of Bill Walton, Sam Bowie, Greg Oden and Brandon Roy.
Not to mention they could have selected Michael Jordan and Kevin Durant. Cleveland, you have your Jordan or Durant in James.
All James wants to do is be the best and in order to do that, management must maintain the core nucleus and be willing to add to it. In that presser, Gilbert reassured James that he has nothing to worry about and the same holds true for the die-hard Cavalier fans.
You have nothing to worry about. Enjoy your day, brought to you by LeBron James and Dan Gilbert.