The value is approximately $25.6 million, marking the final year of a five-year contract Gasol signed with the Memphis Grizzlies in 2015.
Had the 34-year-old native of Spain not accepted prior to Thursday’s deadline, he would have become a free agent on Sunday.
Raptors star Kawhi Leonard also has a one-year player option on his deal with a deadline for a decision on Saturday, but he is expected to turn it down and become a marquee free agent on Sunday after leading Toronto to its first NBA title this year.
Guard Danny Green is the other Raptors regular slated to become a free agent.
The Raptors acquired Gasol in a deal with the Grizzlies in February.
Gasol averaged 13.6 points and 7.9 rebounds in 79 regular-season games with the Raptors and Memphis this season. The three-time NBA all-star went on to average 9.4 points and 6.4 rebounds in 24 playoff games.