The whole article is worth a read but here's the section we care about:
http://grantland.com/the-triangle/nba-trade-cleveland-cavalier-new-york-knicks-oklahoma-city-thunder/
New York KnicksThe Knicks are in full-on tank mode, and they’re saving something like $20 million in salary and tax payments by dumping Smith and Shumpert for a second-round pick and two trade exceptions. Who knows if the Knicks will ever use those exceptions; Presti just used one to snag Waiters, but the Knicks won’t be in salary-adding mode unless they can snag a pick as the price of doing business.
That could change next season if New York hits a home run in free agency and this deal clears Smith’s poisonous $6.4 million option from its books. The Knicks could still have carved out max-level room this summer even with Smith onboard, but it would have been close, and Shumpert’s cap hold would have torpedoed any such scenario. The Knicks will now have something like $27 million in space — enough to add a superstar and a role player. We’ll see how they do. No team knows better the winner’s curse of signing the fourth- or fifth-best max-type free agent on the market.
The Knicks did not get enough for Shumpert in the end. They balked at taking a low first-rounder for him last season, and now they’ve lost him for tax relief and some flexibility they might not have needed. Yes, Shump’s appeal allowed them to offload Smith, but they got next to nothing for a solid young player, and they could have had $20 million in space this summer even with Smith around. That’s poor asset management, even if Shumpert had worn out his welcome in New York.
It’s all about this summer for the Knicks, though. They’re in the awkward spot of rebuilding around a 30-year-old maxed out star with knee issues. That’s not a situation in which patience is really an option.
Now the joy of my world is in Zion
How beautiful if nothing more
Than to wait at Zion's door
I've never been in love like this before
Now let me pray to keep you from
The perils that will surely come