After months of haggling and leaked contract proposals, the New York Yankees on Wednesday agreed to re-sign outfielder Cody Bellinger to a five-year, $162.5 million deal with no deferrals, a league source confirmed to The Athletic.
The deal also includes a $20 million signing bonus, opt-outs after the second and third seasons, and a full no-trade clause, the source said. ESPN first reported the news.
Bellinger, who ranked No. 8 on The Athletic’s Big Board and was projected by Tim Britton at the start of the offseason to receive a deal worth $182 million over seven years, will return as a left-handed threat in the lineup near star Aaron Judge and to solidify the defense in left field.
The Yankees and Bellinger’s agent, Scott Boras, spoke often in recent weeks about keeping the Arizona native in the Bronx. For a long time, the Yankees were the only team known to have made a formal offer to the 30-year-old. But as of late Tuesday, it appeared the Yankees and the New York Mets were the main suitors for Bellinger until the Mets ended their chase and acquired outfielder Luis Robert Jr. from the Chicago White Sox.
For the Yankees, the agreement resolves the biggest priority of their offseason and allows them to focus elsewhere on their roster. In particular, they may need starting pitching help, and they have been in consistent contact with the Milwaukee Brewers on Freddy Peralta. They also must decide what to do with former top prospect and switch hitter Jasson Domínguez, who doesn’t have a starting spot and could be their best major-league trade chip.
Quick thoughts here on Cody Bellinger returning to the Yankees.
This always made the most sense. pic.twitter.com/TaEsn5GZku
— Brendan Kuty 🧟♂️ (@BrendanKutyNJ) January 21, 2026
In early December, some around the Yankees believed Boras was indicating he might wait until fellow free-agent outfielder Kyle Tucker signed before becoming seriously engaged regarding Bellinger. But as the days flew by, the Yankees made an offer, and then another. Their second was a five-year deal worth between $155 million and $160 million, or $31 million to $32 million a year, without deferrals. At the time, the club was also willing to add opt-out clauses after years two and three.
But, for weeks, Bellinger’s camp focused on securing a long-term deal — for no fewer than seven years — and somewhere between $35 million and $40 million per season. During the staredown, the Yankees increased their efforts to find possible trade partners, reportedly targeting Robert and the Chicago Cubs’ Nico Hoerner. The Yankees also used the time to bolster their rotation, adding Ryan Weathers in a trade with the Miami Marlins for four lower-level prospects.
Before Bellinger’s deal with the Yankees, Tucker caused waves when he agreed to an unprecedented four-year, $240-million contract with the Dodgers last week, and the Mets signed Bo Bichette for three years and $126 million shortly thereafter. That left Bellinger as the highest-ranked remaining free-agent bat, according to the Big Board.
Bellinger’s contract puts the Yankees’ luxury tax payroll at approximately $324 million, according to Spotrac. That’s nearly $20 million above the highest threshold of $304 million, and it means the Yankees will be taxed 110 percent on every dollar they spend over it. They currently have the fourth-highest luxury tax payroll in MLB, behind the Los Angeles Dodgers ($412 million), New York Mets ($380 million) and the Philadelphia Phillies ($325 million).
Bellinger had a strong 2025, hitting .272 with 29 home runs, 98 RBIs and a .813 OPS in 152 games for the Yankees, who used him primarily in left field (85 games). It was his third straight season with an OPS+ of 111 or better after the Dodgers designated him for assignment following the 2022 season. He was much more productive at Yankee Stadium, where he posted a .909 OPS, compared with a .715 mark on the road.
The performance motivated Bellinger to opt out of the final season remaining on the three-year, $80 million contract he signed with the Cubs before the 2024 season. Bellinger was set to make $25 million in 2026.
Yankees projected lineup w/ Cody Bellinger:
1. Trent Grisham, CF
2. Aaron Judge, RF
3. Cody Bellinger, LF
4. Giancarlo Stanton, DH
5. Ben Rice, 1B
6. Jazz Chisholm Jr., 2B
7. Austin Wells, C
8. Ryan McMahon, 3B
9. José Caballero, SS
(Lotta lefties.)
— Brendan Kuty 🧟♂️ (@BrendanKutyNJ) January 21, 2026
The Yankees were pleased with what they received from Bellinger, whom they acquired in a trade with the Cubs last winter for right-hander Cody Poteet and the responsibility of paying all but $5 million of the $52.5 million that still remained on Bellinger’s deal. Bellinger made $27.5 million in 2025. He also seemed to embrace playing in New York City, where his father, Clay, was a role player for the Yankees for three seasons, winning World Series rings in 1999 and 2000.
Bellinger has been durable since undergoing arthroscopic surgery to repair a torn right shoulder labrum in 2020. He was the 2017 National League Rookie of the Year and the 2019 NL MVP prior to the injury. He has played at least 130 games in each of the last four seasons.
Bellinger still appears to have at least a few years of quality outfield defense ahead of him. He graded out well in terms of outs above average in left field (5 OAA) and right field (2 OAA). He even made what manager Aaron Boone called the Yankees’ “play of the year”: a spectacular catch-and-throw double play from left field versus the New York Mets on July 6. Bellinger was slightly below average (minus-1 OAA) in center field.
By his mid-30s, he’s expected to transition to first base, where he’s considered a good defender.
