As the Miami Heat will be led by Giannis Antetokounmpo and Bam Adebayo in the upcoming 2026-27 season, the pieces around the dynamic duo will be key to reaching the championship heights that the team has set itself up to accomplish. Aside from the Heat making signings for star shooter Klay Thompson, the latest transaction involves locking down a crucial piece for the rotation in the foreseeable future.

According to NBA insider Shams Charania of ESPN, Miami and guard Pelle Larsson have come to an agreement on a four-year, $60 million contract extension, which comes with a “mutual option for the 2030-31 season.” 

“Miami Heat guard Pelle Larsson has agreed to a new four-year, $60 million contract extension, with a mutual option for the 2030-31 season, Austin Brown and Steven Heumann of CAA Sports tell ESPN,” Charania wrote on X, formerly Twitter.

🚨Heat guard Pelle Larson has agreed to a 4-year, $60 million contract extension to remain in Miami, per @ShamsCharania.

Larson and the Heat will have a mutual option for the 2030-31 season. pic.twitter.com/ZvNteK0fmN

— ClutchPoints (@ClutchPoints) September 18, 2026

The 25-year-old is coming off a standout second season with Miami, averaging 11.4 points, 3.5 rebounds, and 3.4 assists per game while shooting 49.6 percent from the field and 32.3 percent from beyond the arc.

Article Continues Below

More on the contract extension with Heat's Pelle Larsson

The contract extension for Larsson “starts at around $13.5 million” and goes up by the year, via Ira Winderman of The Sun Sentinel. It will kick in with the 2027-28 basketball year, as Larsson will play under the $2.3 million salary for this upcoming season.

Acquired by Miami in the second round with the 44th pick, the University of Arizona product blossomed into a reliable piece for head coach Erik Spoelstra. Displaying his toughness on both sides of the ball while showing a willingness to shoot from three-point range, it appears only more improvement is coming, and he will be pivotal off the bench.

It's easy to see him filling the role that Jaime Jaquez Jr. excelled at last season, being the go-to sixth man in the second unit, giving the Heat an offensive punch with an ability to drive in the paint and either score at the basket or create open shots.

At any rate, Larsson looks to break out in his third season with Miami in the 2026-27 season.