The Denver Nuggets will decline the final-year team option on Nikola Jokic's entry-level deal and reach an agreement with the center on a five-year, $146.5-million max contract, sources told Yahoo's Shams Charania.

Declining the option removes Jokic from restricted free agency this summer and allows him to sign the long-term extension immediately. The Serbian center was a second-round draft pick, and had the Nuggets picked up next season's option, Jokic could have become an unrestricted free agent in 2019.

Denver, evidently, did not want to go that route as Jokic has become their franchise center. One of the best passing big men in the NBA, Jokic has improved in each of his three seasons. In 2017-18, he averaged 18.5 points, 10.7 rebounds, and 6.1 assists on 39.6 percent 3-point shooting.