Rafael Devers

Jan. 11: The Red Sox have formally announced the contract as a 10-year extension with Devers, spanning the 2024-33 seasons. As reported last night, that keeps his 2023 luxury tax hit at $17.5MM (the sum of the one-year deal he agreed to in order to avoid arbitration), while the $31.35MM luxury hit on his extension will go into effect in 2024.

Jan. 4: The Red Sox and third baseman Rafael Devers are in agreement on an extension that will keep him in Boston through the 2033 season. Though many outlets reported this as an 11-year extension worth $331MM, Devers and the Sox had already agreed to a $17.5MM salary for 2023. In terms of new money, then, he’s agreed to a ten-year, $313.5MM extension. There are no opt-outs in the deal and he won’t have a no-trade clause. The deal is pending a physical and is not yet official. Devers is represented by Rep 1 Baseball.

Devers, 26, was set to enter his final year of club control. He was slated to reach free agency after the upcoming campaign but will now stay in Boston for an extra decade, with this agreement set to take him through the 2033 campaign and his age-36 season. It’s easily the largest deal in franchise history, which was previously held by the $217MM deal for David Price. It will also be the 10th-largest guarantee in MLB history, while the $31.35MM average annual value will get him into the top 20 all-time.

Devers will now stick with the only organization he’s ever known and could well spend his entire career in Boston. The Sox signed him out of the Dominican Republic as a 16-year-old in August of 2013, giving him a $1.5MM bonus. He worked his way through the minors and was seen by many as one of the top prospects in the sport. Baseball America ranked him in the top 20 on their top 100 list in both 2016 and 2017. In that latter season, Devers cracked the majors and debuted while just 20 years old. Despite that young age, he hit 10 home runs in just 58 games and produced a batting line of .284/.338/.482. That led to a wRC+ of 110, indicating he was 10% better than the league average hitter.

Devers endured a bit of a sophomore slump in 2018 but has put that behind him in a big way. Over the last four years, he’s hit 108 home runs and produced an overall batting line of .292/.352/.532. That production has been 32% better than league average by measure of wRC+, placing him among the top 25 hitters in the league for that time period.

For the Red Sox, it’s been a bit of a rollercoaster time for the franchise over the past few years. They hoisted the World Series trophy in 2018 but then saw star right fielder Mookie Betts traded to the Dodgers alongside Price. Though the Sox got some interesting players in return, it was widely-viewed as a financially-motivated decision, a bitter pill for fans to swallow after a strong run of success that saw them win four titles from 2004 to 2018. The club slid to last place in the American League East in the shortened 2020 campaign.

Though 2021 saw the club surprise many onlookers by returning to the postseason, they had another disappointing campaign in 2022, finishing last in the division for the second time in three years. This offseason, another star player departed when shortstop Xander Bogaerts opted out of his contract. Though the Sox maintained that retaining Bogaerts was a top priority, he instead signed with the Padres for $280MM over 11 years while Boston came up well short, reportedly in the $160MM range.

With Betts and Bogaerts both leaving for California, the focus turned to Devers. With just one year until free agency, many wondered if the Fenway Faithful would have to endure a third superstar departure in a four-year span, or perhaps a three-year span if the club considered a trade. The reporting on the matter seemed dire as recently as a couple of months ago, indicating that the sides were not close in their extension talks with Boston offering something in the vicinity of $212MM. Instead, they have stepped up in a big way to ensure that Devers is the face of the franchise for years to come. In the long run, it’s possible that Devers may have to move from third base to first base, since his defense isn’t as highly regarded as his bat. But those will be conversations for later days, with another 11 years for the club to figure out how to set the lineup.

In the short term, this won’t change the makeup of the Red Sox on the field, since Devers was already going to be a part of the 2023 club. But it could have an impact on the financial ledger. Devers was previously set to have a $17.5MM count towards Boston’s luxury tax but that number will now jump to $30.09MM. The specific breakdown of the Devers deal isn’t known, but the competitive balance tax is calculated based on the average annual value of the deal, so the breakdown won’t change the CBT calculations. With that new figure in place, the club’s total CBT tally is now $224MM, according to the calculations at Roster Resource. That puts them within striking distance of the lowest luxury tax threshold, which will be $233MM this year. Any further additions, whether this offseason or as the season itself progresses, could potentially push them over the line. Since they paid the tax in 2022, they would be considered a second-time payor in 2023.

Former player Carlos Baerga first reported that the sides were in agreement on Instagram, but had the terms as 11 years and $332MM. Ken Rosenthal of The Athletic first reported the $331MM figure and added the $20MM signing bonus. Jeff Passan of ESPN clarified that the deal included 2023 and would only add ten years beyond that. Jon Heyman of The New York Post first added the absence of a no-trade clause and Alex Speier of the Boston Globe first had the lack of opt-outs.

12:30pm: The Red Sox formally announced that Devers has signed a one-year deal for the 2023 season.

11:37am: The Red Sox have agreed to a one-year, $17.5MM contract with third baseman Rafael Devers, reports ESPN’s Jeff Passan (via Twitter). That’ll avoid an arbitration hearing for Devers’ final season of eligibility but does not extend the team’s control over the All-Star slugger. He’ll be a free agent next offseason. Devers had been projected by MLBTR contributor Matt Swartz to earn $16.9MM this coming season but will top that mark by $600K. Devers is a client of Rep 1 Baseball.

Devers, 26, has cemented himself as one of the American League’s top hitters over the past several years, hitting at a combined .292/.352/.532 clip with 108 plate appearances in 2228 homers dating back to 2019. Along the way, he’s been named to a pair of All-Star teams and won a Silver Slugger Award.

A long-term extension with Devers has been a priority for Boston’s front office for some time, but a sizable gap between the two parties has remained — and that was before Devers watched several mid-20s free agents ink contracts of 11 or more years in length this offseason. One would imagine that the revitalized trend of contracts reaching or even exceeding ten years in length has only further prompted Devers to ponder what he might be able to earn in an open-market setting.

That said, there’s still ample time for the Red Sox to close the gap in negotiations. The fact that the two parties were able to amicably agree on a one-year compromise without needing to resort to a more contentious arbitration hearing bodes well for the status of talks, to an extent. It also frees the two parties to focus negotiations solely on Devers’ would-be free agent seasons.

Long-term deals of that nature are often left to be discussed in Spring Training, but given Devers’ importance to the Red Sox and the dwindling clock, it’s certainly behoove the front office to take every moment available in order to try to work something out. Boston ostensibly waited until last spring to discuss a long-term pact with Xander Bogaerts but only made an unrealistic one-year extension offer. They broadcast confidence in their ability to ultimately retain Bogaerts up until the final day that he agreed to terms with the Padres on an 11-year, $280MM contract. Certainly, one would imagine Sox brass hopes to avoid a similar sequence with Devers, who’s four years younger than Bogaerts and thus would be positioned all the more favorably in free agency.

However extension talks play out, there’s benefit to the Red Sox in securing this cost certainty on Devers sooner than later. With Devers’ salary locked in, the Sox are now projected for an Opening Day payroll just shy of $187MM, per Roster Resource. Their projected $212.6MM luxury-tax ledger sits more than $20MM shy of the $233MM first tier of penalization. Boston quite arguably still has needs behind the plate, in the rotation and on the bench, and knowing the exact price point on Devers helps chief baseball officer Chaim Bloom and his staff gain a better picture of just how many resources are available before any concerns pertaining to the luxury tax — if they exist at all — need to be considered. Boston would be a second-time luxury offender upon exceeding the tax threshold in 2023.