ORLANDO, Fla. — Forward Franz Wagner has agreed to the largest contract in Orlando Magic history, a five-year extension that will be worth at least $224 million, a person with knowledge of the negotiations told The Associated Press on Friday.

The deal includes designated rookie language, which means the contract value could reach 30% of the team's salary cap, or about $270 million, or if he becomes eligible. Players need to be selected to an All-NBA first, second or third team twice, be selected an All-Star starter twice or be named MVP or Defensive Player of the Year for the extra 5% value of the contract to kick in.

The NBA’s offseason moratorium on such moves gets lifted Saturday.

During the 2023-24 regular season, Wagner averaged 19.7 points, 5.3 rebounds and 3.7 assists, all career highs. He shot 85% (271-for-319) from the free-throw line, but his 3-point average dropped to a career-low 28.1% (94-for-334). In the previous two seasons, Wagner had averaged 35.8% (226-for-631) from behind the arc. During his three-year career, Wagner has averaged 17.8 points, 4.6 rebounds and 3.4 assists per game and boosted his scoring average from 15.2 points as a rookie before climbing to 18.6 and 19.7 points over the past two seasons, respectively. He also is a strong defensive player.

Wagner, 6 feet 10 and 220 pounds, hasn't missed many games since entering the league either. He has played in 238 of the 253 games possible, including the playoffs, since the Magic selected him No. 8 overall in the 2021 NBA Draft. He missed 10 games in 2023-24, mostly because of a sprained ankle.

The 22-year-old helped Germany win the FIBA World Cup last summer and is slated to play at the Paris Olympics starting later this month.

He has teamed with forward Paolo Banchero to give the Magic one of the league’s top young frontcourts.

Wagner, who played at Michigan, has been part of the Orlando team that has improved its win total by double-digits in each of the past two seasons. The Magic won the Southeast Division title last season and earned their first playoff berth since the 2019-20 season. Orlando pushed the Cleveland Cavaliers to a seven-game series before losing in the first round.

Wagner’s extension begins with the 2025-26 season and would keep him under contract through the 2029-30 season.

Wagner's brother Moe, who plays center and power forward, also plays for the Magic and, according to multiple reports, has reached a new two-year contract with the team.

NBA players become eligible to sign rookie contract extensions after their third full season in the league.

Magic guard Jalen Suggs, who was selected No. 5 overall by Orlando in the same draft as Franz Wagner, also is eligible for a rookie contract extension, but the deal doesn't have to be extended before the upcoming season.