HOUSTON — Jalen Green has reached an agreement with the Houston Rockets for a three-year contract extension worth $106 million, according to a source who shared the information on Monday.

As the second pick of the 2021 NBA draft, Green is about to enter the concluding year of his initial rookie contract. This new agreement is set to take effect next season, and it includes a player option for the third year. This feature grants him the opportunity to opt out of the contract before the 2027-28 season, giving him a potential pathway to free agency.

The details of the agreement were confirmed on the condition of anonymity since an official announcement regarding the deal has yet to be made. ESPN was the first outlet to report this information.

Last season, Green demonstrated his durability by participating in all 82 games, where he showcased his talent by averaging 19.6 points, 5.2 rebounds, and 3.5 assists. His performance was instrumental in the Rockets achieving a notable 19-game improvement compared to the previous season.

Green has become quite proficient in long-range shooting, nailing a total of 545 three-pointers so far, while also setting a personal record with 201 successful shots from beyond the arc in the last season.

At just 22 years old, Green embarked on his professional journey in the NBA after spending a season with the G League Ignite, drafted at the age of 19. In his rookie year, he averaged 17.3 points, 3.4 rebounds, and 2.6 assists. His scoring took a significant leap in his second season (2022-23), with a career-high average of 22.1 points per game.