Unsurprisingly, the Los Angeles Lakers and Luka Dončić have agreed to a three-year contract extension worth $165 million. As reported by ESPN, the third year is a player option.
Let’s put the deal into context and break down where we go from here.
The chase for another star begins now
With Dončić now signed, the Lakers will pivot toward identifying a secondary star who eventually will take over for 40-year-old LeBron James.
While the Lakers do have Austin Reaves, he’ll likely be a free agent in 2026 and his contract is worth dramatically less than his on-court production. Reaves, who is also more of a playmaker who needs the ball in his hands to be effective, isn’t necessarily a clean fit with Dončić, and the organization should be looking for either a big wing or an All-Star-caliber big man to pair with the Slovenian.
Deandre Ayton, who signed with the Lakers after a buyout with the Portland Trail Blazers, is likely to be given a real chance at establishing himself as the center moving forward, but given the uncertainty of their fit, it’s too soon to write his name into the lineup over the next few years.
With Dončić in the fold, make no mistake: The Lakers are on the clock with extreme urgency. They have no time to waste if they wish to maximize Dončić’s prime, and that means competing for a title from this very season on.
Dončić could be eligible for a $417 million contract in 2028
Dončić didn’t sign an extension for what is a full ride, and he can thus be a free agent earlier, if he so chooses, via his player option.
By 2028, Dončić will be eligible for 35% of the cap, as he then would have 10 years of service, meaning he’ll be eligible for a five-year deal worth $417 million, assuming the annual salary-cap increases don’t vary too much.
That said, it certainly appears Dončić is also keeping his options open. While the path toward nearly half a billion is now laid out, it’s also fair to consider Dončić’s own competitiveness in all of this, especially as someone who has been to the NBA Finals recently.
If the Lakers fail to build a proper team around Dončić in the coming years, having an out in 2028 would be a welcome asset for Dončić.
All in all, Dončić is betting on the Lakers to find him help. It’s a bit optimistic given the current roster construction, but the 26-year-old has decided to give the organization a real chance to prove his optimism right.
Now the onus is on the Lakers to realize those expectations.
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