MIAMI — Pelle Larsson and the Miami Heat have agreed on a four-year contract extension worth up to $60 million, including a mutual option for the 2030-31 season, a person familiar with the negotiations said Friday.
Larsson will earn a starting salary of $13.5 million in 2027-28, with annual increases under the agreement, the person told The Associated Press. The contract remains unsigned, and the person spoke on condition of anonymity.
The Heat selected Larsson’s rights after Houston drafted him No. 44 overall in the second round of the 2024 NBA Draft and sent his rights to Miami in a three-team trade.
Larsson quickly earned a regular role under Heat coach Erik Spoelstra. He played 55 games as a rookie before appearing in 70 games last season, including 54 starts.
The 25-year-old shooting guard played college basketball at Utah and Arizona. He averaged 4.6 points on 44% shooting as a rookie before raising his scoring average to 11.4 points last season while shooting nearly 50%.
Miami has also highlighted Larsson’s development during his international appearances with Sweden. He averaged 26 points across four World Cup qualifying games this summer, including 31-point performances against Slovenia and Finland.
Larsson will earn $2.3 million during the upcoming season. Without the extension, he could have entered restricted free agency next summer.
