TUESDAY, 12:02pm: The Yankees are the favorites to land Beltran, but the veteran isn't expected to make a decision this week, writes George A. King III of the New York Post.

MONDAY, 10:40am: With Brian McCann on board for at least the next five years, the Yankees have set their sights on Carlos Beltran, making him their No. 1 free agent priority at this point, according to Mark Feinsand of the New York Daily News. Likewise, the Yankees are Beltran's preferred free agent destination, sources tell Feinsand. Their pursuit of Beltran is being prioritized as Robinson Cano gauges the market, Hiroki Kuroda weighs his future and Masahiro Tanaka remains in limbo with the new posting system still not finalized.

The hold-up between the two sides is that Beltran and his representatives at MVP Sports Group are currently seeking a three-year deal, and the Yankees would prefer to sign him for two years, writes Feinsand. The addition of a third year isn't a deal-breaker for the Yankees, he adds, noting that other teams such as the Royals, Mariners, Red Sox and Rangers have been in touch with Beltran's camp. The Orioles are also known to have interest in Beltran.

The Yankees have already sacrificed their first-round pick to sign McCann, which could make them more willing to part with their second pick in order to add another free agent that turned down a qualifying offer, such as Beltran. The Yankees could receive a new first-round pick, should Curtis Granderson sign elsewhere. They also had three first-round selections in 2013, picking up third baseman Eric Jagielo, center fielder Aaron Judge and left-hander Ian Clarkin.

According to Feinsand, the Yankees believe that even with McCann on the books, they can afford to retain Cano and sign Beltran while staying under the luxury tax threshold. The Yankees currently have offers on the table to three or four free agents, an official told Feinsand.