The player is said to be on the radar of Arsenal, Tottenham Hotspur and Crystal Palace.
On the face of it that is great news for the Addicks as they continue their fight for Championship survival. However a report from the Daily Mail earlier this week suggested that even if the 18-year-old forward put pen to paper (as he subsequently has) Charlton would still consider selling him at the end of the season.
If the report turns out to be true it would not be the first time a club has tied down a player to ensure they get the best possible transfer fee when he does eventually leave the club, and the Mail claims that Arsenal, Tottenham Hotspur and Crystal Palace will all be circling if and when he does leave The Valley.
Tottenham are making a habit of signing some of the brightest young talent in the lower leagues with Shilow Tracey signing from non-league Ebbsfleet United last month and Dele Alli moving from MK Dons the previous year, so it would be no surprise if they were interested in Lookman.
Indeed a report from the Mirror back in December claimed Tottenham scouts were keeping a close eye on the teenager, and now the Mail suggests that Charlton will sell to the highest bidder this summer.
Those bids are likely to be a lot higher now he is tied to the club for the next four years, but it remains to be seen how things will play out.
Lookman has played 13 games for Charlton to date, scoring four goals in the process, and if he did join Tottenham he would be competing with not just Harry Kane but with the next generation of strikers at White Hart Lane including Shayon Harrison and Kazaiah Sterling.
That said, he already has far more first-team experience than the latter two players so he could be propelled instantly into the first-team squad to act as back-up, with his ability to play on either wing also likely to come in very handy for manager Mauricio Pochettino.