Their original four-year contract agreement was nullified Saturday based upon the league's over-38 rule that limits long-term deals, so Nene and the Rockets reached agreement on the new, shorter deal on Sunday.
Nene took to Twitter to share his enthusiasm about staying in Houston.
H-Town Let's do this!!!! 🚀🚀🚀🚀 🏆🏆🏆— Nene Hilario (@NeneHilario42) July 2, 2017
PJ Tucker, meanwhile, confirmed that he has agreed to sign with the Rockets, saying that he decided to commit to Houston for the chance to win an NBA title.
"I'm a winner. I want to be on a winning team," Tucker told KRIV-TV in Houston. "During my first free agency, I wanted to go somewhere I can have a chance to be on a team that's trying to play for something, and in Houston we're definitely trying to play for a championship."
Nene, 34, has had a career renaissance for the Rockets and became a free-agency priority for the franchise. He will be a key reserve on the bench for a team that now includes a starting backcourt of All-Stars James Harden and Chris Paul.
Tucker told KRIV-TV that he believes the Rockets "have a legitimate shot" to win the title.
Tucker agreed to a four-year, $32 million contract with the Rockets on Saturday, league sources told ESPN's Tim MacMahon. The fourth year of the deal is a partial guarantee, sources told ESPN's Brian Windhorst.
Tucker told KRIV-TV that re-signing with the Toronto Raptors was his "No. 1 option," but conversations with Chris Paul, whom he has known since they were children, and James Harden helped sell him on the Rockets.
"It's a big move for me, a big decision," he told KRIV-TV. "I had a bunch of interest from a lot of teams. For me, I wanted to go to a situation where I could win and I can have a significant role."
ESPN's Tim MacMahon contributed to this report.