Report: Nuggets close to 2-year, $34M extension with Gallinari

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The Denver Nuggets are finalizing a two-year extension worth $34 million with small forward Danilo Gallinari, according to Yahoo Sports' Adrian Wojnarowski.

Without the extension, Gallinari would become an unrestricted free agent next summer. The Nuggets are able to permit the deal under the salary cap after officially trading Ty Lawson on Monday.

The reported extension should kill any talk of the team dealing away the Italian, who turns 27 next month. Gallinari rebounded this past season after missing the entirety of 2013-14 with a torn ACL, and remains a crucial part of Denver's offense. He averaged 12.4 points per game and 35.5 3-point shooting in 59 games in 2014-15.

The Nuggets appear to be going all in on their current parts. They have now locked up Gallinari, Wilson Chandler, and Kenneth Faried for the long-term, and still have about $2.5 million remaining to re-sign power forward Darrell Arthur if they so choose.