11:50 am: While he confirms that Smith will be signing with the Heat, Ira Winderman of The South Florida Sun Sentinel hears the former lottery pick won’t be with the team at the start of training camp (Twitter links).

Smith will receive an Exhibit 10 contract, according to Winderman, and will likely head back to Sioux Falls to start the season. If he’s waived before 2026/27 begins and spends at least 60 days with the Skyforce, Smith would be eligible for a bonus worth up to $91K in addition to his base G League salary.

11:20 am: Free agent point guard Dennis Smith Jr. has reached a contract agreement with the Heat, agent Daniel Hazan tells Chris Haynes of NBA on Prime and NBA TV (Twitter link).

According to Haynes, the Heat have been closely monitoring the seven-year veteran throughout the offseason.

The terms of the deal were not disclosed, but Smith’s contract with Miami is likely non-guaranteed. It may be a training camp deal, which wouldn’t count against the salary cap unless Smith makes the regular season roster.

An explosive athlete who played one season of college basketball with NC State, Smith was the No. 9 overall pick in the 2017 draft. He bounced around the league over the next seven seasons, playing for the Mavericks, Knicks, Pistons, Trail Blazers, Hornets and Nets from 2017-24.

While the 28-year-old developed into a very strong perimeter defender and his decision-making improved too, his jump shot was inconsistent throughout his time in the NBA. He holds career averages of 9.7 points, 4.2 assists, 3.0 rebounds and 1.2 steals on .407/.298/.674 shooting splits in 326 games, including 152 starts (23.2 minutes per night).

Smith spent two-plus months with Real Madrid during the 2024/25 campaign but only made four appearances for the Spanish powerhouse. The North Carolina native spent most of last season in the G League, playing 11 games for the Wisconsin Herd and 21 with the Sioux Falls Skyforce, Miami’s affiliate team. In his 32 combined games, he averaged 8.1 PPG, 5.6 APG, 4.5 RPG and 1.7 SPG on .382/.280/.591 shooting.

The Heat are $2.6MM below their first-apron hard cap with 14 players on standard contracts. Carrying a 15th man on a veteran’s minimum deal would result in a $2.45MM cap hit, so there’s technically room for the team to go that route. Still, it would be a little surprising if that happens, since it would limit the team’s in-season flexibility.

Smith signed a training camp deal with Dallas last fall but he didn’t make the team’s regular season roster.