Wells holds a player option for the second year and fully plans to re-enter the free agent market next summer.

"This isn't about the money, this is about being in the right place," said Wells' agent, Merle Scott of BDA Sports.

After turning down a five-year, 36 million U.S. dollars offer from the Sacramento Kings last month, Wells fired his agent, Bill Phillips, and hired Scott a few weeks ago.

Attempts to work a sign-and-trade that might've allowed Wells to match or improve the Kings' offer failed because Sacramento refused to take back any salaries after signing John Salmons with the money refused by Wells.

Wells, a source said, originally wanted Phillips to land him a $50 million deal.

Denver, Boston, Charlotte and Miami also made offers but the Rockets did the best job of convincing Wells he was needed.

The Rockets go into training camp next week with a potential starting lineup of Rafer Alston, Tracy McGrady, Shane Battier (acquired in a draft-night trade for Stromile Swift and No. 8 pick Rudy Gay), Juwan Howard and Yao Ming, with Wells as the sixth man, but if Wells plays as he did against the Spurs he could challenge Battier and Howard for one of the starting forward spots.