Jalen Brunson signed a four-year, $156.5 million extension with the New York Knicks on Friday.

The figure is $113 million less guaranteed than he would have been eligible to receive next offseason, but it puts the Knicks in a much better position financially to build a championship-caliber roster around him.

The deal was first reported by ESPN, with Brunson’s agent telling the organisation his client chose the extension over a five-year, $269 million contract he could have received as a free agent in 2025.

It’s an unprecedented move for the All-Star guard who finished fifth in MVP voting last season after he averaged career highs of 28.7 points and 6.7 assists in 2023-24.

Those numbers were far better than expected when the former second-round pick signed with the Knicks in 2022, with some questioning if a player who had mostly been a backup in Dallas was worth more than $100 million.

Brunson, 27, helped the Knicks reach the second round of the playoffs for the first time since 2013 before falling to the Indiana Pacers in Game 7 of the Eastern Conference semifinals. Brunson broke his hand in the second half and the Knicks were already dealing with a plethora of injuries to key players.

He has blossomed into one of the league's most impactful players and leaders and earned All-NBA honours after totalling 11 40-point games in the regular season.

Brunson’s extension will begin with the 2025-26 season and his decision to take less money should help the Knicks manage their payroll after a busy offseason in which they re-signed OG Anunoby to a five-year contract worth more than $210 million and acquired Mikal Bridges from the Brooklyn Nets.