Dirk Nowitzki turned down max contract offers from the Lakers and Rockets to re-sign with the Dallas Mavericks for less money, according to ESPN's Marc Stein.

Originally, it was reported in early July that the Mavs and Nowitzki had reached an agreement on a three-year contract worth $30 million.

Reacting to reports of the agreement, SI.com's Ben Golliver assigned an A+ grade and wrote, "This is easily the early pick for best contract of the offseason. Even though Nowitzki remains one of the very best players at his position in the league, this new deal is so heavily discounted that it's almost comical."

According to Stein, the deal is worth even less than the original reported figure.

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Stein reported that the deal was finalized at $25 million over three years, with Nowitzki taking $5 million less to facilitate the Mavericks' signing of restricted free agent forward Chandler Parsons to a three-year, $46 million offer sheet.

The team officially announcedNowitzki had re-signed in a press release on Tuesday.

Nowitzki, 36, averaged 21.7 points, 6.2 rebounds and 2.7 assists per game in 2013-14, the final season of a four-year, $80 million contract. He has spent the entirety of his 16-year career in Dallas.

The Mavericks are coming off a season in which they won 49 games and earned the No. 8 seed in the Western Conference before pushing the eventual champion San Antonio Spurs to seven games in their first-round playoff series.

- Chris Johnson