Leonard agreed to speak with the Knicks after reported meetings with the Los Angeles Lakers and Los Angeles Clippers. However, the front office determined its chances to land the superstar had severely diminished when fellow free agent Kevin Durant chose to join the Brooklyn Nets, and it couldn't wait to pursue other available players.
New York entered free agency with enough cap space to add two max-contract free agents but instead agreed to several two- and three-year deals with role players to join No. 3 overall pick RJ Barrett.
Kyrie Irving, another free-agent target, also joined the Nets.
Leonard has yet to announce his decision but is expected to sign with either Los Angeles team or re-sign with the defending NBA-champion Toronto Raptors.