The England striker's agent, Alex Black, met Leeds chairman Peter Ridsdale on Tuesday to finalise the deal and the player will sign the new improved contract within the next forty-eight hours.
Black said: "Alan always wanted to sign a new contract for Leeds United.
"Alan is totally committed to Leeds and he's delighted to have signed a new deal.
"He wants to win medals and he hopes to do so with Leeds and England as well hopefully."