10:38pm: Josh Robbins of the Orlando Sentinel spoke with Nelson, who explained his decision.
"I would love to re-sign with Orlando," Nelson said. "I would love to. I have to make the best decision — what's best for myself and my family. But I want to continue to be a Magic player and be affiliated with the organization and the DeVos family and everything they're about."
6:51pm: Jameer Nelson has informed the Magic he's turning down his option for next season and will become an unrestricted free agent, Brian Schmitz of the Orlando Sentinel tweets. Nelson was in line to make $7.6MM in the final season of a five-year deal. Nelson joins a crowded class of veteran unrestricted free agent points that includes Deron Williams, Steve Nash and Chauncey Billups, among others.
Reportedly, Nelson has sought stability, and though he's expressed a desire to remain in Orlando for the long term, he wasn't sure opting in would allow him to do so, since his expiring contract would make him a valuable trade chip. He and the team extended the deadline for him to pick up the option from June 15 until today, and though new GM Rob Hennigan said repeatedly he wants Nelson back, the point guard has apparently decided to shop his services to other teams.
Nelson averaged 11.9 points and 5.7 assists last season. His decision to opt out leaves Chris Duhon as the only point guard guaranteed to be back with the Magic next year.