Oklahoma City Thunder and Chet Holmgren agree on $250 million contract extension

The Oklahoma City Thunder and center Chet Holmgren have reached a five-year maximum rookie contract extension worth up to $250 million, confirmed by agent Bill Duffy of WME Basketball. This move is part of the Thunder's strategy to secure their young NBA championship roster for the long term.

Holmgren's extension, without any player or team option, follows a recent four-year supermax extension for Shai Gilgeous-Alexander, the team's star guard. The Thunder are now looking to secure Jalen Williams with a long-term deal, pushing their payroll beyond the NBA's salary rules.

Despite upcoming financial challenges, the Thunder are in a strong position after winning the NBA Finals and securing contract extensions for key players. They also hold multiple first-round draft picks for the next five years.

Holmgren, 23, is set to earn $13.7 million this season before his extension takes effect next year. His salary will increase annually and could reach 35 percent of the salary cap if he achieves certain accolades.

Having been drafted second overall in 2022, Holmgren overcame early injury setbacks to become a key player for the Thunder. His performance in the regular season and playoffs has been impressive, showcasing his value to the team.

This extension sets the stage for Williams' future contract negotiations, ensuring he receives a similar deal. Oklahoma City faces financial challenges ahead but remains optimistic about their roster and draft assets for future growth.

According to the source: The New York Times.