| During the boom period of the NBA of the | | | | Atlantic Division basement. |
| 1980s the league sought to expand itself from | | | | |
| 23 teams to 26 by the end of the decade. In | | | | Rothstein would resign as head coach at the |
| Florida, a state devoid of any NBA | | | | end of the season, but later would return to |
| franchises, groups from Orlando, Tampa/St. | | | | the Heat prior to the 2004-05 season as an |
| Petersburg and Miami all vied to land | | | | assistant coach, a role he still fulfills |
| franchises. | | | | today. |
| | | | |
| The Miami Sports and Exhibition Authority | | | | In the wake of Rothstein's resignation prior |
| eventually endorsed a group led by NBA Hall | | | | to the 1991-92 season, the Heat hired Kevin |
| of Famer Billy Cunningham and former sports | | | | Loughery, who had 29 years of experience in |
| agent (and lifelong friend of Cunningham's) | | | | the NBA both as a coach and a player, to be |
| Lewis Schaffel, who received their financial | | | | their new head coach. For the 1991 NBA Draft, |
| backing from Carnival Cruise Lines tycoon Ted | | | | the team selected Steve Smith from Michigan |
| Arison, who would be the majority shareholder | | | | State, who provided an agile guard to a more |
| of a potential franchise but defer the | | | | mature Heat team. With the help of rookie |
| day-to-day operations to minority | | | | Smith, Rony Seikaly, and a more experienced |
| shareholders Cunningham and Schaffel. | | | | Glen Rice, the Heat finished in fourth place |
| | | | in the Atlantic Division with a 38-44 record |
| In April 1987, the NBA expansion committee | | | | and made the playoffs for the first time. |
| endorsed the bids of the cities of Charlotte | | | | Playing the league-best Chicago Bulls, the |
| and Minneapolis. However, the committee was | | | | Heat were swept in three games. Steve Smith |
| split between awarding the third and final | | | | made the NBA All-Rookie team and Glen Rice |
| franchise to Miami or Orlando, causing | | | | finished 10th in the NBA in scoring. |
| representatives from both cities to toss | | | | |
| barbs at the other. Finally, it was decided | | | | The 1992-93 NBA season included the additions |
| that the NBA would expand by 4 teams, with | | | | of draft choice Harold Miner of the |
| the Charlotte Hornets and Miami Heat debuting | | | | University of Southern California as well as |
| for the 1988-89 season and the Minnesota | | | | trading a 1st round pick (which would turn |
| Timberwolves and Orlando Magic beginning for | | | | into the #10 overall pick the following |
| the 1989-90 season. | | | | season) for Detroit Pistons forward/center |
| | | | John Salley. While Salley's addition was |
| For their first head coach, Miami hired Ron | | | | first met with optimism because of the role |
| Rothstein, who was a longtime assistant coach | | | | that he played on two championship Detroit |
| under Chuck Daly in Detroit and who was | | | | Pistons squads, it became apparent quickly |
| credited with being one of the architects of | | | | that Salley was a quality role player for a |
| Detroit's stifling defense. | | | | good team, but not a quality player for a |
| | | | mediocre team like Miami was at the time. |
| The Heat came into the NBA for the 1988-89 | | | | Salley would eventually have his playing time |
| season with an unproductive first year, with | | | | diminish, ultimately resulting in his being |
| a roster full of young players and | | | | taken by the Toronto Raptors in the 1995 |
| journeymen. Among the players on the | | | | expansion draft. As for the season itself, it |
| inaugural roster were first round picks Rony | | | | started off poorly, with Smith missing time |
| Seikaly and Kevin Edwards, fellow rookies | | | | with a knee injury and Burton being lost for |
| Grant Long and Sylvester Gray as well as NBA | | | | most of the year with a wrist injury. Upon |
| vets Rory Sparrow, Jon Sundvold, Pat | | | | Smith's return, Miami posted a winning record |
| Cummings, Scott Hastings, Dwayne "Pearl" | | | | in February and March, but it was not enough |
| Washington and Billy Thompson. The team | | | | to dig themselves out of the 13-27-hole they |
| started out the season by losing its first 17 | | | | began in. They finished 36-46 and would not |
| games, an NBA record. It did not help that | | | | return to the playoffs. |
| the Heat were placed in the Midwest Division | | | | |
| of the Western Conference. This forced them | | | | A healthier squad fared better in 1993-94, |
| on the longest road trips in the NBA; their | | | | posting the franchise's first-ever winning |
| nearest divisional opponent was the Houston | | | | record at 42-40 and returning to the playoffs |
| Rockets, over 900 miles from Miami. The team | | | | as the #8 seed versus the Atlanta Hawks. |
| ultimately finished with a league-worst 15-67 | | | | After Miami had a 2-1 series lead, Atlanta |
| win-loss record. | | | | rallied from the deficit to win the best-of-5 |
| | | | series. After that season, Steve Smith would |
| To help address Miami's league-low point | | | | be selected as a member of the 2nd Dream |
| production, the Heat picked Glen Rice from | | | | Team, the collection of NBA All-Stars who |
| the University of Michigan in the first round | | | | were selected to compete in the 1994 World |
| of the 1989 NBA Draft, and Sherman Douglas of | | | | Basketball Championships in Toronto as Team |
| Syracuse University in the 2nd round. The | | | | U.S.A.. Dream Team II, also made up of future |
| team also moved to the Atlantic Division of | | | | Heat players Shaquille O'Neal, Alonzo |
| the Eastern Conference for the 1989-90 | | | | Mourning, Dan Majerle and Tim Hardaway, would |
| season, where they would remain for the next | | | | go on to win the tournament. |
| 15 years. However, the Heat continued to | | | | |
| struggle and never won more than two | | | | In 1994-95, the team overhauled their roster, |
| consecutive games, en route to an 18-64 | | | | trading away Seikaly, Smith, and Grant Long. |
| record. | | | | In return, the Heat obtained Kevin Willis and |
| | | | Billy Owens. |
| The 1989-90 season saw Miami awarded with the | | | | |
| 3rd pick overall, only to parlay via two | | | | Also, at this time came a power shift in |
| trades (first with the Denver Nuggets and | | | | Heat's front office. On February 13, 1995 |
| later with the Houston Rockets) into getting | | | | Cunningham and Lew Schaffel were bought out |
| the 9th and 12th picks, with which they | | | | by the Arison family of Carnival Cruise Lines |
| selected Willie Burton of the University of | | | | fame, who to that point in time had been |
| Minnesota and Alec Kessler of the University | | | | silent partners in the day-to-day operations |
| of Georgia. Both picks flopped, as the Heat | | | | of the franchise until the buyout. Micky |
| tried to turn Burton, a college small | | | | Arison, son of Carnival founder Ted Arison |
| forward, into a shooting guard without much | | | | was named Managing General Partner. He |
| success and Kessler was bogged by injury | | | | immediately fired Loughery and replaced him |
| problems and was not physical enough to be a | | | | with Alvin Gentry on an interim basis to try |
| quality NBA power forward. | | | | and shake up the 17-29 Heat. Gentry went |
| | | | 15-21 for the remaining 36 games of the |
| While Rice, Seikaly and Douglas all showed | | | | season for a 32-50 record overall, 10 games |
| improvement from the previous year, Miami | | | | off the previous year's mark. |
| still only went 24-58 and remained in the | | | | |