Austin Reaves contract: why an $89M extension wasn’t enough—and how a 2026 opt-out could unlock a $200M+ deal
The Austin Reaves contract picture sharpened in the past 24 hours, with fresh chatter around two realities: the guard already turned down a four-year extension worth about $89.2 million this summer under restrictive CBA rules, and his best path is to opt out in 2026 to access a significantly larger deal. With his play spiking again this week, the numbers—and the timeline—matter more than ever for the Lakers and their emerging star.
The contract he has vs. the one he wants
Reaves is in Year 3 of the four-year pact he signed in July 2023 (about $54 million total). The deal includes a player option for 2026-27 at roughly $14.9 million and a 15% trade bonus. Because of extension limits tied to his current salary, the largest in-season extension available in 2025 was about four years, $89.2 million—a tidy raise, but well below what his open-market value projects to be if his trajectory holds.
That gap explains the decision to pass on the extension. Under the current rules, a player in Reaves’ situation can earn far more by reaching free agency with full Bird Rights in hand than by extending early at 140% of his present number.
Why 2026 is the leverage year
Barring something unforeseen, the most likely route is:
-
Play out 2025-26 (the last guaranteed year).
-
Decline the 2026-27 player option by late June 2026.
-
Hit the market as an unrestricted free agent with the Lakers holding full Bird Rights (and thus the ability to offer the longest deal with the biggest annual raises).
Early cap forecasts suggest the five-year max available from his current team in July 2026 could land in the $230–$240 million range if the cap keeps rising as projected. Even if Reaves doesn’t reach full-max territory, multiple cap-space teams are expected to have $30–$40 million per year available for prime-age perimeter creators—well beyond the extension cap he declined.
Austin Reaves contract: performance is shifting the math
Reaves’ case isn’t just about timing; it’s about production. Over the past week he’s delivered clutch shot-making and late-game creation befitting a lead guard, and his three-level scoring has stabilized an offense missing stars on certain nights. That blend—efficient pull-up shooting, secondary playmaking, and composure in crunch time—travels in any lineup construction, which is why projections on his next deal have crept higher.
Two benchmarks to watch this season:
-
On-ball usage vs. efficiency: If his assist rate rises without a dip in true-shooting, the market will view him as more than an off-ball connector.
-
Pick-and-roll reads against switches: Consistent creation versus switching defenses signals scalability deep into the postseason.
What it means for the Lakers
The Lakers’ path to keeping Reaves is straightforward but expensive:
-
Bird-Rights advantage: They can offer five years with higher annual raises than rivals (who top out at four years).
-
Tax planning: Retaining Reaves at a near-max number in 2026 would force sharper choices around depth, mid-level tools, and future draft capital.
-
Trade calculus now vs. later: As his value rises, so does the opportunity cost of any in-season move. The team’s best leverage is competitive success that convinces Reaves his prime years align with a winning window.
Key dates and figures (subject to change)
-
2025-26 salary: about $13.94M
-
2026-27 option: $14.90M (player option; decision due late June 2026)
-
Max extension he declined (2025): about 4 years, $89.2M
-
Projected 2026 open-market range: $30–$40M annually (team- and performance-dependent)
-
Potential five-year team-max (2026): approx. $230–$240M if cap growth tracks current estimates
Schedule and cap projections may evolve with league revenue updates.
The Austin Reaves contract story isn’t a mystery—it’s a math problem. The CBA’s extension ceiling made an $89M deal rational to decline, while a 2026 opt-out paired with Bird Rights could yield a contract two-to-three times larger in total value. If Reaves continues to pair high-leverage scoring with reliable playmaking, he’ll enter July 2026 positioned to command—and likely receive—the kind of long-term commitment that matches his ascent.
