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Power forward is a position the Nuggets can definitely upgrade through in-house development.
Kenneth Faried, at only 23, has a very bright future. Even a casual observer can't help but be entertained by the motor with which this guy plays.
Over two NBA seasons, Faried has averaged just under 12 rebounds per 36 minutes, but he typically doesn't play that much because he has almost no offensive game to speak of outside of putbacks and alley-oops.
With his strength and athleticism, one or two go-to moves in the post would be sufficient for now, and some improvement at the free-throw line (63 percent for his career) wouldn't hurt either.
They could also upgrade the position by adding a more offensive-minded backup through free agency.
Paul Millsap would be expensive, but possibly doable if Iguodala doesn't come back. He has a well-rounded offensive game (16 points a game since he became a full-time starter in 2010) and isn't far behind Faried in terms of motor or rebounding ability.
Former Lakers and potential mid-level exception guys Antawn Jamison or Earl Clark could help as well. While Millsap would likely compete for the starting job, Jamison or Clark would almost definitely back up Faried.
Each has the ability to shoot from the perimeter, which would help space the floor for penetrators like Ty Lawson, Iguodala and Wilson Chandler. Jamison has always been a pure scorer and shot 36 percent from three-point range last year and Clark had a breakout year, averaging over 11 points a game.