Cale Makar signs historic 8-year contract worth $163.2 million

It was a historic day for both the Colorado Avalanche and superstar defenseman Cale Makar as he signed his eight-year contract extension worth $163.2 million through the 2034-35 season.

This contract sets a NHL record in terms of total value and the cap hit, which is a $20.4 million Annual Average Value, currently set as the highest in the league at any position. This was only $400K off the maximum allowable cap hit which is 20% of the current $104 upper limit for the 2026-27 season.

Locking up this generation’s best defenseman is simply business the Avalanche had to get done, and they did. The eight years is security for both parties. Colorado won’t have to negotiate with Makar again against a rising salary cap until he’s 36 years old and Makar will get paid handsomely through his mid-30s considering Cale will turn 29 years of age right after the start of this contract.

The deal isn’t as front-loaded as Nathan MacKinnon’s $100.82 million contract extension but Makar does take advantage of the currently allowable signing bonus structure. All those 8s and 16s seem possibly a nod to his two favorite numbers, perhaps? More money in bonuses in the later years of the contract offer protection to Makar as well.

There was much talk about the September 15th deadline before the new Collective Bargaining Agreement kicked in which would reduce maximum contract extension term lengths to seven-years. But there’s also new rules and limits on signing bonus structure, which is more favorable to players before the change. Getting this contract done now gives both the Avalanche and the superstar defenseman advantages and ensures a long-term commitment for both parties.

As young stars are lining up to get paid well in the coming years, Makar’s record highest $20.4 million AAV likely won’t stand long. And who knows, fellow defenseman Quinn Hughes might get more than that out of the Minnesota Wild sometime soon. But the total value given to Makar of $163.2 million might hold for a while as the eight-year option will expire in just a couple weeks and the trend going to shorter contracts with more paydays ahead. Either way, the Avalanche and Makar have cost certainty and can now continue working on shaping that future together.