The Lions have shown significant improvement in Fagan's first two seasons as a senior coach.

While they have only five wins - the same as last year - they have improved from last to 15th on the ladder and are much more competitive.

They are a chance to upset second-placed West Coast on Sunday at the Gabba.

Fagan's new deal was announced a day after Geelong re-signed coach Chris Scott on a three-year extension that runs to the end of the 2022 season.

"Chris has played a critical role in re-establishing a stable environment at Brisbane," chairman Andrew Wellington said in a statement.

"He has provided tremendous leadership to the playing and coaching group as well as being incredibly supportive of the off-field initiatives of the club."

Fagan was appointed on a three-year deal and the extension gives him scope for long-term planning as the Lions aim for a finals return.

Brisbane last made the finals in 2009 and this is the fifth-straight season they have languished in the bottom four.

But this season, other than a 93-point pummelling from top side Richmond in round four, the Lions have had only one other loss by more than 50 points.

Last year there were eight.

They also have had five losses this season by seven points or less.

"For the club to give me the opportunity to go on for a couple more years ... is really exciting," Fagan said.

"I feel like by that time we should be a really strong, highly respected club."

Brisbane have some exceptional young talent on their list, including Eric Hipwood, Cam Rayner, Harris Andrews, Alex Witherden and Hugh McCluggage.

Fagan also pulled off a masterstroke last year when he lured Hawthorn great Luke Hodge out of retirement to join the Lions in a playing and mentoring role.

Fagan was a key lieutenant under Alastair Clarkson at the Hawks before joining Brisbane.

At 57, he is the AFL's oldest current senior coach.

Australian Associated Press