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Everything about Territorial Pick totally explained

A Territorial Pick is a type of special draft choice used in the NBA Draft from its inception in 1950 until 1965. As the NBA was still trying to build fan support in its local markets, players from teams' local areas seemed to be a natural way to draw fans to the arena. A draft of first-year players made that difficult, however, as a popular local player could be drafted by another team. To help teams acquire local players, territorial picks were instituted. Prior to the league's draft, a team could forfeit its first round draft pick and select a player from within a 50 mile radius.
   Territorial picks were eliminated when the draft was revamped in 1966.

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