The Miami Heat are the presumptive favorites to land guard Kyle Lowry following the team's decision to accept the club option on Goran Dragic's contract, according to NBA Insider Marc Stein. 

Miami has minimal salary-cap space to operate with in free agency by bringing Dragic back for $19.4 million in 2021-22. Stein believes the Heat will now use that contract as leverage in a sign-and-trade for Lowry that would net the Eastern Conference contenders a third star alongside Jimmy Butler and Bam Adebayo. 

Miami declined to pick up Iguodala's $15 million team option Sunday.

Lowry, 35, is coming off a one-year, $30.5 million deal in Toronto and is considered one of the premier UFA guards available this summer. In 46 games last season the Philadelphia native averaged 17.2 point, 7.3 assists and 5.4 rebounds while shooting 43.6 percent from the field. 

Dragic averaged  13.4 points, 4.4 assists and 3.4 rebounds in 50 games while playing 26.7 minutes per night by comparison. Shams Charania of Stadium and The Athletic reported Saturday that Dragic would have a number of postseason contenders interested in signing him if the Heat declined his option.

Rather than lose him in free agency, the Heat now have an opportunity to trade Dragic ahead of the season as they look to retool following a first-round sweep at the hands of the Milwaukee Bucks. 

Ira Winderman of the South Florida Sun Sentinel believes a deal for Lowry may only consist of Dragic and power forward Precious Achiuwa, who is on a two-year entry level deal that pays him $5.3 million. The No. 20 overall pick in 2020 averaged 5.0 points, 3.4 rebounds and shot 54.4 percent from the field in 12.1 minutes per night last season. 

That deal assumes Lowry will earn a salary of roughly $26 million next season, which Winderman believes to be within the guard's range. 

Stein also noted the Heat would have interest reuniting Lowry with former Raptors teammate DeMar DeRozan in free agency should it land Toronto's star this offseason. The Spurs guard is expected to reach free agency this week.