The deal - which buys out two of Dozier's potential free-agent years - will pay him $25 million in guaranteed money, with the 2025 option being worth $10 million, sources told ESPN's Jeff Passan. It also includes escalators and bonuses for a potential maximum value of $49 million over five years, Passan adds.
Dozier hit .228/.344/.392 with six home runs and 12 RBIs in 44 games last season.
In 2019, he produced a .279/.348/.522 slash line with 26 homers, 10 triples, 29 doubles, and 84 RBIs. His .243 isolated power also ranked second on the Royals that season.
The 29-year-old owns a .253/.323/.455 line with 43 homers and 131 RBIs in four seasons since the Royals drafted him eighth overall in 2013.
The Royals have been busy this offseason as they try to return to relevance. General manager Dayton Moore and his front office signed Carlos Santana and Mike Minor to multi-year deals and acquired outfielder Andrew Benintendi from the Boston Red Sox in a trade.