"In a free-agent swap of forwards, the Lakers reached an agreement with Houston Rockets forward Ron Artest and the Rockets have reached agreement with Trevor Ariza, The Times has learned.

Artest met with Lakers executives throughout the day and agreed to terms of about $18 million over three years.

Ariza agreed to a five-year deal with the Rockets for about $33 million, roughly the same that the Lakers had offered in their effort to retain him.

"I had to do what was best for me and family," Ariza said. "I am happy with my decision. I'm glad this all worked out. The Rockets are going to give me a chance to improve my game and that's all you can ask for."

Ariza's agent, David Lee, said the 24-year-old forward passed up a more lucrative contract offer from another team with salary-cap space. "We decided to go with Houston anyway," Lee said. "It was never about the money. It was about going someplace where you felt appreciated."

Artest, who will be 30 in November, enjoys the Los Angeles lifestyle and was a presence in the courtside seats for some of the Lakers' games in the NBA Finals.

He is still a formidable defender and averaged 17.1 points last season, though he will take a pay cut from the $7.4 million he made last season because the Lakers don't have as much money at their disposal when it comes to other teams' free agents.

The addition of Artest basically ended the Lakers' pursuit of Ariza, who met today with the Rockets.

"I understand that they did sign Ron Artest," Ariza said. "They did what they had to do. I understand it's a business.""