Financial details weren't disclosed, but Newsday reported Leddy will make $38.5 million US — an average of $5.5 million per season. His current two-year, $5.4-million contract is set to expire at season's end.
The new deal ties the 23-year-old, who's already in his fifth NHL season, to the club through the 2021-22 season.
“Nick has proven to be an elite defenceman in this league at a young age,” Islanders general manager Garth Snow said in a press release. “He’s the type of player on the ice, in the locker room and in the community that we’re thrilled to add as a cornerstone of our defensive core.”
Leddy has been credited with helping the Islanders, who missed the playoffs last year, to one of the NHL's best records since arriving in a trade with Chicago just days before the start of the season.
In 61 games with New York, he has 25 points (eight goals) and a plus-12 rating.
“We have something special in this locker room and I’m excited to be a part of it for seven more years,” Leddy said in the same release.