To me the question comes down to what skills the Rams are trying to put on the field ... can anyone else on the roster do what he does? And to me the answer is yes -- we have TEs that catch better and block better already. Cook is the bigger receiving threat but can't block. Harkey is the better blocker but not a big receiving threat (arguably because of use, not talent, as he's flashed some good skill). That leaves Kendricks as the utility guy that can be plugged into either role adequately well.
Given that utility role, I do not think it was worth paying that much for him. I also don't think any other NFL team would have paid that much, his market value was probably $2-3 million, not over $4million per year. Finally, I think Alex Bayer could have filled this utility role just fine at 1/8th the cost, perhaps even better as a receiver, and the Rams will (should) bring in another fullback/blocking TE anyway since Kendricks' blocking is inconsistent at best (just please not awful J.Cunningham).
I understand that Cig might use him better, but it's not like Kendricks is going to become Gronk or Graham and put up 1,000+ yards. He won't be the answer when Cook leaves, the Rams will be looking for another elite receiving TE again anyway.
As I posted elsewhere, the Rams were already 2nd in the NFL in spending on the TE position. This will vault the Rams to #1 TE position spending. Is our TE production elite? Is the blocking road-grading & dominant? I just don't see the return on value for this money, it should have been applied to more important areas of need. Bayer should have been promoted to this role while the Rams looked to get a better blocking TE/H-back solution.
Sorry to be so Debbie Downer. I like Kendricks and I'm glad he's back, he's a useful player and I really have no problem with him -- just the decision making here to invest so much in him. He's one of those "not part of the problem but not a Pro Bowl piece either" that the Rams seem to be so satisfied to stock at every position, I'm getting impatient wondering when the talent is going to cross the threshold of a better standard of expectations of an elite playoff team.