Reports have suggested Larkin could get a five-year or six-year contract. He completed his three-year, entry-level contract last season.
"It is an honor," Larkin said of a long-term offer. "That doesn't go around very often. It's something that you can't hang your hat on, you've got to continue to work hard and want more for yourself, more for the team and the city, the organization. I'm still not really sure where it's going to end up, but if they're willing to give a commitment like that, it's going to be a pretty good honor."
Holland confirmed they are working on a multiyear contract.
"I'd say it's longer than a bridge (contract)," Holland said. "I'd consider a bridge 1-2 years. I would say longer than a bridge. Those are part of the discussions to find a solution that makes sense for both sides."
Detroit selected Larkin in the first round (No. 15) of the 2014 NHL Draft. He has 140 points (56 goals, 84 assists) in 242 NHL games and one goal in five Stanley Cup Playoff games. He has missed four games in his three NHL seasons.
"If there's opportunity there, and for myself, I need to build on last year and improve, for myself and for the team and be a big-time player where the game's one minute left, we're up by a goal or we're down by a goal, taking a big face-off to win it back and score the big goal or score the empty-netter, something just to win games," Larkin said.
NHL.com deputy managing editor Adam Kimelman contributed to this report.