NBA News: Pelicans Trade Creates Cap Space for Potential Lonzo Ball Re-Signing

Far before the 2021 NBA trade deadline, many questioned whether Lonzo Ball would re-sign with the New Orleans Pelicans or not. In late December of 2020, it was reported that Ball didn't intend to sign an extension.

Before the trade deadline kicked in months later, there was talk about the Pelicans potentially trading Ball away, with the Chicago Bulls and the Philadelphia 76ers among teams that had reported interest.

However, Ball remained in New Orleans for the rest of the season. In 55 games during the 2020-2021 run, Ball averaged a career-high of 14.6 points per game while shooting 41-percent from the field and 38-percent from three.

This summer, Ball becomes a restricted free agent for the first time in his career. Considering he's coming off of his best season yet, he's one of the most intriguing free agent point guards at age 23. New Orleans has a chance to match an offer sheet from another team and hold onto Ball, but a report from Shams Charania of The Athletic a couple of weeks back hinted that the Pelicans wouldn't match any significant offer for Ball.

Perhaps, that could change now as the Pelicans made a trade that freed up some cap space. According to Adrian Wojnarowski of ESPN, the Pelicans and the Memphis Grizzlies struck the first trade since the 2021 NBA Finals concluded.

BREAKING: Memphis is finalizing a trade to send Jonas Valanciunas and 2021 Nos. 17 and 51 picks to New Orleans for Steven Adams, Eric Bledsoe, 2021 picks Nos. 10 and 40 and a protected 2022 first-round pick via the Lakers, sources tell ESPN.
— Adrian Wojnarowski (@wojespn) July 26, 2021

Per Wojnarowski, the Pelicans sent Steven Adams, Eric Bledsoe, a 2021 first-round pick, 2021 second-round pick, and a 2022 protected first-round pick to the Grizzlies in exchange for Jonas Valanciunas and a 2021 first-rounder and 2021 second-rounder.

Not only does New Orleans land a better floor-spacing center with Valanciunas, but they create cap space to make a big signing this offseason. What's their plan? While Wojnarowski couldn't pinpoint their agenda, he reported that they have created enough cap space to either match a significant offer sheet to re-sign Ball or pursue other notable free agent guards such as Toronto Raptors veteran Kyle Lowry.

A lot more will be revealed over time as the opening of the 2021 free agency period begins in August, but many teams around the NBA should expect to see the Pelicans get involved in the point guard sweepstakes this summer with their new cap space.

Justin Grasso covers the Philadelphia 76ers for Sports Illustrated. You can follow him for live updates on Twitter: @JGrasso_