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Knicks run out of money to keep Jason Smith

Center Jason Smith agreed Tuesday to a one-year, $4.5 million deal with the Orlando Magic, passing on the Knicks’ offer of their $2.8 million room exception.

“The Knicks made a great attempt to try to keep him,’’ agent Mark Bartlestein said.

Bartlestein added Smith was thrilled with the Knicks medical staff, keeping him healthy for all 82 games for the first time in his eight-year NBA career, and he wanted to stay. But the money disparity was too much to turn down.

The Knicks are still talking with reps for guard Alexey Shved, who has drawn interest from two other teams.