ESPN.com's Tim MacMahon reported Tuesday that Houston's initial offer is in the ballpark of four years and $60 million. Meanwhile, Capela, per MacMahon, is looking for a deal in the range of $100 million over four years, which would be similar to Oklahoma City Thunder center Steven Adams' contract.
Just take a look at a tweet Capela sent on the first day of free agency:
Selected with the No. 25 pick in the 2014 NBA draft, the 6'10", 240-pound center took time to develop. He even had a stint in the G League.
However, Capela enjoyed a breakout season in 2016-17 and followed that with a career year this past season. He averaged 13.9 points, 10.8 rebounds and 1.9 blocks per game. He also led the league by making 62.5 percent of his shots from the floor.
The Rockets (65-17) finished with the best record in basketball and pushed the eventual champion Golden State Warriors to seven games in the Western Conference Finals.
Houston has already taken care of Chris Paul this offseason to the tune of four years and $160 million. And with James Harden's $228 million extension last summer, the Rockets are on the hook for a lot of money over the next few years.
"We know we're going to be in the luxury tax, and if you want to compete for a championship, I feel like unless you get real lucky, you're going to be in the luxury tax," Rockets owner Tilman Fertitta told MacMahon on Monday. "So it is what it is. ... It never even came up in any discussion."
When franchises face luxury-tax penalties, every dollar spent becomes more onerous.
The Rockets can match any offer a team might make to Capela, but unless another club forces the issue, it may be a while before a deal is reached in Houston.