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Report: Dodgers, Kyle Tucker agree to second-richest-AAV deal

January 16, 2026 by Blue Jays Nation

The Los Angeles Dodgers have done it again.

Pulling off yet another shocking off-season heist, the back-to-back reigning World Series champions have signed free-agent outfielder Kyle Tucker, as first reported by ESPN’s Jeff Passan on Thursday, landing the top available bat on the open market.

The ultra-rich are getting even richer.

BREAKING: Star outfielder Kyle Tucker and the Los Angeles Dodgers are in agreement on a free agent contract, sources tell ESPN.

— Jeff Passan (@JeffPassan) January 16, 2026

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Tucker’s contract with the Dodgers will be worth $240 million over four years, per FanSided’s Robert Murray, who first reported the contract details. It’ll also include an opt-out clause after 2027, which would allow the 28-year-old superstar — who’ll turn 29 on Saturday — to re-enter free agency halfway into his deal.

If the left-handed-hitting slugger forgoes that opportunity to return to the open market, he’ll receive another chance to do so following Year 3 in Los Angeles. As such, the contract breakdown essentially works out to $120 million guaranteed over the next two seasons, followed by a pair of $60 million player options.

Free-agent outfielder Kyle Tucker and the Los Angeles Dodgers are in agreement on a four-year, $240 million contract, according to sources familiar with the deal. It includes an opt out after year two.

— Robert Murray (@ByRobertMurray) January 16, 2026

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Tucker will now carry an average annual value of $60 million per season, surpassing Juan Soto’s present-day value record ($51 million) and placing behind only Shohei Ohtani ($70 million before deferrals) for the richest AAV in baseball history. However, the deal’s AAV will ultimately come in a shade lower after salary deferrals, with $30 million of the $240 million total being deferred, per the New York Post’s Jon Heyman.

According to FanGraphs’ RosterResource, the Dodgers’ projected payroll for next season now sits at approximately $413 million, with their competitive balance tax payroll (important for luxury-tax calculations) positioned at nearly $400 million — roughly $156 million above the $244 million luxury-tax threshold.

Los Angeles’ offence, which already features superstars such as Ohtani, Freddie Freeman, Mookie Betts, Will Smith and Teoscar Hernández, has added another in Tucker — who figures to move to left field next season. That is, by far, the most formidable one-through-six combination of hitters in the sport, and that’s before mentioning the likes of Max Muncy and Tommy Edman.

The Toronto Blue Jays and New York Mets, of course, were also seriously involved in the Kyle Tucker sweepstakes right up until the end, with reports indicating the latter of those two had offered a four-year deal worth $50 million per season.

Toronto’s front office, meanwhile, had preferred a long-term deal with Tucker, possibly extending as far as 10 years. But the four-time All-Star has, instead, opted for a short-term, high-AAV mega deal.

The Dodgers, who also made a splash in their bullpen by signing closer Edwin Díaz (three years, $69 million) earlier this off-season, have constructed arguably their best roster yet in their pursuit of becoming baseball’s third three-peat champions — joining the Yankees (three times) and Athletics (once).

Filed Under: Blue Jays

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