Leonard averaged 26 points, 6.8 rebounds and five assists in his first two seasons with his hometown team.

He suffered a partially torn right ACL during the playoffs and missed the Clippers' first Western Conference finals appearance.

Leonard had surgery on his knee a month ago. The team has said there's no timetable for his return and it's possible he could miss a good portion of the upcoming season while rehabbing.

Leonard declined his $36 million ($A49 million) option last week, setting up his ability to sign a maximum contract worth 35 per cent of the team's salary cap and allowing him to earn upwards of $3 million ($A5 million) more for the 2021-22 season.

By re-signing Leonard, the Clippers are guaranteed to have him and Paul George in the fold for the next few seasons.

George signed a maximum contract extension last December.

A five-time All-Star, Leonard averaged 24.8 points, 6.5 rebounds and a career-high 5.2 assists last season, while shooting 51 per cent from the field and 88 per cent from the line. He was named to his seventh All-Defensive team and his third All-NBA first team last season.

Leonard was even better in the postseason. He averaged 30.4 points, 7.7 rebounds and 4.4 assists in 11 games. He first got injured in Game 4 of the Clippers' second-round series against the Utah Jazz. He was held out of the last eight post-season games, including the Clippers' 4-2 loss to the Phoenix Suns in the West finals.

He still had a presence around the team, despite being unable to play.

"Kawhi is a transcendent player and a relentless worker who improves himself every day," said Lawrence Frank, president of basketball operations. "We share many of the same goals, which include a long-term relationship."

Leonard joined George, Reggie Jackson, Terance Mann and Luke Kennard courtside to watch the Clippers' rookies in the NBA Summer League in Las Vegas this week. Leonard wasn't wearing a brace on his right leg.

Australian Associated Press