James Harden is staying in Los Angeles, but on his own terms. The 11-time All-Star has declined his $36.3 million player option for the 2025-26 season to sign a new two-year, $81.5 million contract with the Clippers, per ESPN’s Shams Charania. The second year of the deal includes a player option and partial guarantee, offering flexibility for both sides.

This new agreement not only secures Harden’s immediate future but also strategically aligns his timeline with fellow superstar Kawhi Leonard, who is also under contract through 2026-27. “That was the whole point,” Harden said earlier this year. “I want to be able to keep a core together for a few years… I’m here home, and I’m happy.”

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The move reflects the Clippers’ continued investment in a championship window that may be narrowing. President of Basketball Operations Lawrence Frank called re-signing Harden the team’s top offseason priority, and it’s not hard to see why. With Leonard limited to 37 games, Harden took on a central role, averaging 22.8 points and 8.7 assists over 79 games and earning All-NBA Third Team honors.

He also embraced a leadership role, telling Clippers on SI in February, “What goes in the back of my mind when I step in that gym every single day is building culture… Hopefully I can kind of mold that.”

Yet, his postseason inconsistencies persist. After a dazzling Game 1 performance against Denver, Harden faded by Game 7. Still, his regular-season impact and chemistry with center Ivica Zubac—who posted a career-high 16.8 PPG—highlight his continued value.

With a nearly clean cap sheet by 2027 and a new home in the Intuit Dome, the Clippers are positioning themselves for flexibility down the line—while giving Harden and Leonard one more shot to make it count.