With his team in the midst of a franchise renaissance, Sacramento Kings general manager Monte McNair has agreed to a contract extension, sources told ESPN on Tuesday.

McNair's deal comes with the Kings sporting a 27-19 record, sitting third in the Western Conference and atop the Pacific Division, 3.5 games ahead of the Los Angeles Clippers. Sacramento are heading towards ending a record 16-year playoff drought and are seeking their first division title since 2002-03.

McNair, who had entered the final months of his original three-year contract, has made several moves to put the Kings in position to reach the postseason.

Under his watch, Sacramento drafted and then later traded point guard Tyrese Haliburton to the Indiana Pacers for All-Star forward Domantas Sabonis, who is now enjoying a career-best season partnered with franchise point guard De'Aaron Fox.

Last offseason, the Kings drafted impressive rookie Keegan Murray and traded for sharpshooter Kevin Huerter, while adding sixth man Malik Monk in free agency.

McNair also hired coach of the year candidate Mike Brown, who has helped change the culture of the previously dysfunctional organisation.

These moves, as well as the the growth of Fox, have propelled the Kings to a league-best 120.3 points per game. That total would the highest of any NBA team since the San Antonio Spurs and Denver Nuggets in 1983-84.

Sacramento hired McNair after 13 seasons as a front office executive with the Houston Rockets.