Orlando Magic and Paolo Banchero Reach Agreement on Monumental Five-Year Maximum Contract Extension, Securing the Rising NBA Star’s Future With the Franchise and Demonstrating the Team’s Long-Term Commitment to Building Around Their Talented Young Forward for the Foreseeable Future in the Eastern Conference.

The All-Star forward and former No. 1 overall pick averaged 25.9 points and 7.5 rebounds last season.

Paolo Banchero reportedly has agreed to a 5-year extension with Orlando.

Paolo Banchero has checked a lot of boxes since joining the Orlando Magic. Won rookie of the year, been an All-Star, helped the team to the playoffs twice.

And now, the Magic are betting on there being more — much more.

Banchero has agreed to the richest contract in Magic history, a five-year extension that is worth $239 million and could reach about $287 million should he become eligible for a supermax deal.

“We are thrilled to keep Paolo (Banchero) in a Magic uniform for years to come,” said President of Basketball Operations Jeff Weltman. “At just 22, he has won NBA Rookie of the Year, been named an NBA All-Star and is widely regarded as one of our league’s brightest young stars. This commitment reflects our belief in Paolo’s talent, character and desire to win at the highest level. It also reflects Paolo’s belief in our organization, our fans and the city of Orlando. We are excited to continue this journey together.”

ESPN, which first reported the agreement, said it also included a player option for the final year.

The agreement means the Magic have four players — Banchero, Franz Wagner, Jalen Suggs and the newly acquired Desmond Bane — under contract for the next four seasons. And in the cases of Banchero, Wagner and Suggs, the terms extend out at least five seasons.

Banchero was the 2022-23 Kia NBA Rookie of the Year and a unanimous selection to the All-Rookie First Team, living up to his billing after being the No. 1 pick in the 2022 NBA Draft. He was an All-Star in his second season and was well on his way to that again last season before an early-season oblique injury.

He finished the season averaging 25.9 points and 7.5 rebounds, both career highs, and led the Magic to the playoffs for a second consecutive year.

He’ll play the final year of his rookie deal this season, at about $15.3 million. His salary — depending on whether the supermax provisions are met or not — would then jump to either around $41 million or $49 million for 2026-27, when the extension kicks in.

The contract tops the $224 million extension that Wagner signed last summer to stay with the Magic. That was a team record at the time, though it was expected then that Banchero’s next deal with the Magic would surpass it.