League sources told ESPN, The Athletic and the Atlanta Journal-Constitution on Wednesday that Capela's two-year extension is worth $42 million. According to the outlets, incentives could push the pact to as much as $46 million.
Capela had two years remaining on his current contract, and he is now set to earn $82 million over the next four seasons with the Hawks.
The 27-year-old Capela played a key role in the Hawks' run to the Eastern Conference Finals last season. He averaged 15.2 points and a league-best 14.3 rebounds in the regular season and played well in postseason series wins over the New York Knicks and Philadelphia 76ers.
Capela also played a pivotal role in improving the Hawks' defense in the 2020-21 campaign, ending the year with a 4.98 defensive real plus-minus, according to ESPN Stats & Information. He finished behind only Utah Jazz big man Rudy Gobert -- last year's NBA Defensive Player of the Year -- in that category.
The Hawks acquired Capela from the Houston Rockets in a 2020 trade. He spent his first six NBA seasons in Houston.
In 397 career games (337 starts) with the Rockets and Hawks, Capela has averaged 12.7 points and 10.4 rebounds per game.
Capela became the third Hawks starter to sign an extension this summer, joining All-Star guard Trae Young and power forward John Collins.