The Nets, whose lease at Continental Airlines Arena is to expire after the 2007-08 season, are discussing an extension through 2011-12 with the New Jersey Sports and Exposition Authority, a person familiar with the talks said.

The deal being discussed, which could be announced within the next week or so, would include escape clauses if the Nets' proposed downtown Brooklyn arena is completed before then.

The Nets hope to move to Brooklyn for the 2009-10 season, a goal that appears uncertain as the project moves gradually through the political process and faces opposition from some in the community.