What happened: The agreement keeps Larsson off the restricted-free-agent market next summer. Shams Charania described the 6-foot-5 guard as a foundation piece in Miami's offseason overhaul after the Heat found him in the second round of the 2024 draft.

Why it matters: Miami gets cost certainty on a young guard before the 2026-27 season instead of carrying the issue into next summer. The move also signals the Heat view Larsson as part of their core rotation rather than a short-term depth piece.

What to watch: Attention now shifts to how Miami finishes the rest of its offseason build before camp. Larsson's role heading into 2026-27 will be the first read on how big a part of the overhaul this deal represents.