The 1 sacrifice the Rockets made by extending Alperen Sengun

The Houston Rockets have officially extended Jalen Green and Alperen Sengun. The team's fans are celebrating.

Rightly so. The Rockets didn't just lock up two talented young players. They structured a unique deal for the inconsistent Green that allows them to move on quickly if necessary, and they got Sengun below market value.

Rockets GM Rafael Stone did well. That's particularly true in Sengun's case. Sengun is making less than plenty of peers who he has outperformed.

That's not to say there's no downside to his deal.

Rockets compromise cap space with extension

For months, we discussed Sengun's impending extension. It seemed like a consensus understanding that the Rockets wanted to preserve his modest cap hold for next summer.

Now, that cap hold is gone. Had the Rockets waited for Sengun to hit Restricted Free Agency (RFA) next summer, his cap hold would have been just $16.3 million. Now, it will be roughly $37 million. That's the difference between the Rockets having flexibility or not.

Sure, next summer's free agency crop is uninspiring. That isn't the point. The Rockets could have traded into that cap space. Now, it will require deft maneuvering to bring in a star next summer if that's what the Rockets want to do.

Did they make a mistake?

Rockets made the right call on Sengun

No.

Firstly, the Rockets didn't entirely prevent themselves from acquiring a star next summer. Theoretically, they could package Fred VanVleet and Dillon Brooks' contracts to make the money work. The Rockets have enough draft capital to offset Brooks' undesirable deal and offer an attractive package.

Moreover, they could move Sengun - or Green - if they wanted. Green's deal is less onerous than a traditional rookie extension, while Sengun's is downright desirable.

More broadly, the Rockets shouldn't be looking to trade for a star at any cost. If a top-10 (ish) player shakes loose, sure, they could pivot by opening a title window. Otherwise, letting this young core continue to develop is the most prudent course of action.

Finally, and perhaps most importantly - the Rockets got Sengun at a good price. That's the bottom line. His price point was too good to pass on. Having cap flexibility next summer isn't as valuable as having a young potential star on a discounted deal.

The Rockets' future is still ultimately unknown. We've seen NBA teams give players contracts and move them as quickly as allowed. Sengun will need to continue to improve to justify his new salary, but he's certainly on a trajectory to do so - or even give the Rockets surplus value.

That's worth the sacrifice that the Rockets made here.