Who here is claiming this will affect the franchise ? NOBODY. Every game will still be a sellout, including the first round playoff loss for a middling .500 team. Yippee for them. As for spending money, the Knicks were already going to be over the luxury tax threshold, with or without Jeremy Lin. And they had zero roster or salary cap flexibility so long as Stat and Melo were on the team, a condition that would end - coincidentally - at the same time Jeremy Lin's Houston offer sheet contract would have expired.
The Knicks "franchise" will be fine. It is exceptionally unlikely that signing Lin would have changed the arc of the franchise. But that isn't the point.
BTW, good to know for sure that you are a class A .