Austin Reaves has become a fan favorite for the Los Angeles Lakers after joining them as an undrafted prospect back in 2021. A playoff monster who just had a breakout season, Reaves has consistently been involved in trade rumors due to the Lakers being short on assets to enter the market.

Still under contract with LA for another season with a player option for 2026-27, Reaves now looks set to enter free agency next season. In an unsurprising move, he has turned down a four-year extension worth $89.2 million, according to Dan Woike of The Athletic, and will most likely turn down his player option as well, according to The Athletic’s Dan Woike.

The $89.2 million extension was the maximum the Lakers could offer under CBA rules. However, considering Reaves’ development over the past few seasons, he should command much more as a free agent. 

Austin Reaves still expected to play for the Lakers in 2026-27

Article Continues Below
More Los Angeles Lakers News
Lakers forward LeBron James (23) reacts during the first half in game five of first round for the 2025 NBA Playoffs at Crypto.com Arena
Lakers’ LeBron James offseason video goes viralJosue Pavon ·
Jan 24, 2025; Charlotte, North Carolina, USA; Charlotte Hornets center Mark Williams (5) holds the ball against the Portland Trail Blazers during the second quarter at Spectrum Center. Mandatory Credit: Scott Kinser-Imagn Images
Lakers rumors: The 2 big men L.A. checked on last season before failed Mark Williams tradeJaren Kawada ·
Los Angeles Lakers guard Luka Doncic poses for photos with general manager Rob Pelinka and head coach JJ Redick at UCLA Health Training Center.
Lakers rumors: Luka Doncic still ‘motivated’ by stunning Mavericks tradeJoey Mistretta ·
image thumbnail
Lakers rumors: Where Austin Reaves, L.A. stand after rejected contract offerOwen Crisafulli ·
Lakers forward LeBron James (23) reacts during the first half in game five of first round for the 2025 NBA Playoffs at Crypto.com Arena with Jason Richardson in the background
LeBron James retirement timetable gets big update ahead of free agencyZachary Draves ·
Nike Kobe FC Barcelona, Nike Air Force 1, Kobe Air Force 1, Nike Kobe Barcelona
Kobe Bryant x FC Barcelona x Nike Air Force 1 first lookDominik Zawartko ·

Of course, the refusal does not mean Reaves will not continue with the Lakers. He can still choose to re-sign with his current team after turning down the player option. Sources close to the situation have revealed that the refusal has nothing to do with his overall situation with LA.

Instead, it is purely down to financial reasons. Rumors had previously suggested that the Lakers might view the 26-year-old as a prime asset, particularly as the Lakers continue their search for a starting center. The extension offer does signify that LA has no intention of giving up Reaves. Hence, he has likely refused the extension in the hopes of a much higher salary next offseason.

The shooting guard averaged a career-best 20.2 points, 5.8 assists and 4.2 rebounds per game last season. While his numbers dropped slightly in the first-round series against the Timberwolves, it is clear that the front office still values him. In games the Lakers’ trio of Luka Doncic, LeBron James and Reaves started together, they had a commanding 10-3 record. 

Back in 2023, Reaves signed a four-year, $54 million deal with the Lakers as a restricted free agent, which was also the highest salary that he could receive from LA back then as well.