Magic, Paolo Banchero agree to five-year max contract extension, locking up promising core

Paolo Banchero is getting a maximum contract extension to stay in Orlando.

This is not a surprise — the 22-year-old All-Star was a lock to get the max — and the Magic and Banchero’s representatives reached the deal, with some perks for Banchero, a deal broken by Shams Charania of ESPN and since confirmed by the Magic themselves.

This is a five-year, $239.3 million contract, but it can increase to $287 million if Banchero makes an All-NBA team next season (a distinct possibility, as he would have made it this past season if he had stayed healthy and played enough games). Banchero also got a player option in the final year of that contract, something rarely given in rookie extensions (the last ones were Luka Doncic and Trae Young). Banchero will play one more season under his current contract at $15.3 million, then that will jump to at least $41.3 million for the 2026-27 season.

Last summer, the Magic signed Franz Wagner and Jalen Suggs to five-year extensions (which kick in next season), and the recently acquired Desmond Bane’s contract runs through the summer of 2029. That means the Magic have locked up their core — a group that won 47 games last season and was the No. 5 seed despite injuries. This team is poised to make a leap next season.

The 2023 Rookie of the Year averaged 25.9 points, 7.5 rebounds and 4.8 assists per game last season, but only played in 46 games due to an oblique injury that sidelined him for months. If he and the rest of the Magic core can stay healthy this coming season, Orlando should be hosting a playoff round, at least.