Tyson Chandler is the newest member of the New team sign-and-trade on Saturday.
In order to complete the deal, the Knicks had to waive point guard Chauncey Billups, designating him as the club's amnesty player. The move means Billups' $14.2 million salary will not count against the Knicks' salary cap this year.
Chandler, a prized free agent center, signed a reported four-year deal worth $58 million after the Knicks sent forward Ronny Turiaf, cash considerations and a 2013 second-round draft choice to the Washington Wizards and guard Andy Rautins to Dallas.
The Wizards received a 2012 second-round draft choice from Dallas, which also sent the draft rights to forward Ahmad Nivins and Giorgos Printezis to New York. Dallas also netted a conditional future second-round draft choice from Washington.
The Knicks tweeted pictures of Chandler signing his contract at Madison Square Garden Training Center.
Chandler, 29, played an integral role in the Dallas Mavericks capturing their first-ever NBA championship last season. He averaged 10.1 points, 9.4 rebounds and 1.1 blocks per game, providing a legitimate interior defensive presence which previous Dirk Nowitzki-led Mavericks teams had lacked.
"Tyson will be the anchor to our defense," Knicks head coach Mike D'Antoni said. "The trio of Amar'e Stoudemire, Carmelo Anthony and Tyson makes one of the most formidable frontlines in the entire league."
Billups, 35, averaged 16.8 points and 5.4 assists in 72 games with the Knicks and Nuggets last season, coming over to New York in the Carmelo Anthony trade.
Turiaf played in 64 games for the Knicks last season, averaging 4.2 points and 3.2 rebounds per contest.
Rautins, a 2010 second-round draft choice, played just five games in his rookie campaign.
Nivins and Printezis have yet to play in the NBA.