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Los Angeles Lakers superstar LeBron James is willing to take a pay cut if it would allow the team to make significant improvements.

According to NBA insider Marc Stein, James is “hopeful” they can sign five-time All-Star Klay Thompson, a Los Angeles native.

“We’ve been reporting for over 24 hours: Klay Thompson’s departure from the Golden State Warriors seems ever more imminent… and LeBron James is confident today, according to league sources, that the Lakers can mount a shot at challenging Dallas,” Stein tweeted on X (formerly Twitter) on June 29, shortly after news leaked that the Golden State Warriors were preparing to lose Thompson.

Klutch Sports CEO Rich Paul told ESPN’s Dave McMenamin that James opted out of his $51.4 million player option to give the Lakers the flexibility to sign an impact player.

“He prioritizes improving the roster. He is committed to making every effort to improve the roster,” Paul told ESPN, while McMenamin tweeted at X.

If James signs a $16 million contract, which is under the three-year maximum, he would be entitled to $162 million, leaving the Lakers with the full $12.9 million mid-level exception.

The Mavericks have fully opened their mid-level exception after putting Tim Hardaway Jr.’s remaining $16.1 million salary into the Detroit Pistons’ salary cap in exchange for Quentin Grimes, who is still on his rookie contract.