LeBron James has reportedly declined his $51.4 million player option with the Lakers for the upcoming season, choosing instead to enter negotiations for a new contract with the team. A source familiar with the matter revealed this decision on Saturday.

The terms of the new deal are expected to be finalized swiftly, according to the source, who spoke anonymously to The Associated Press because neither James nor the Lakers had officially announced their plans. ESPN, The Athletic, and the Los Angeles Times all reported on James’ decision earlier in the day.

This move comes just ahead of the NBA’s free agency period, which officially begins at 6 p.m. Eastern on Sunday, although teams have already agreed to over $1.2 billion in contracts under new rules allowing early negotiations with current players after the NBA Finals.

While it was widely anticipated that LeBron James would opt for free agency, speculation also suggested his intent to remain with the Lakers.

Recently, the Lakers drafted Bronny James, LeBron’s eldest son, in the second round, setting the stage for a potential historic father-son duo in NBA history. A new contract for LeBron James might involve accepting a reduced salary to provide the Lakers with greater financial flexibility for additional transactions.

LeBron James, a four-time NBA champion, is approaching the $500 million mark in on-court earnings, a milestone unprecedented in league history. Combined with his extensive off-court ventures and investments, his total net worth is believed to exceed $1 billion.

Approaching his 40th birthday in December, LeBron James will match Vince Carter’s record for the most NBA seasons played this upcoming season, marking his 22nd year in the league. Last season, he averaged 25.7 points, 7.3 rebounds, and 8.3 assists, solidifying his position as the league’s oldest active player.