Yes, he's turning 33. However, this season he averaged 10.3 PPG, 11.5 RPG, 1.2 BPG, 30 MPG, 66% FG, and 72% FT, while providing his usual toughness and interior defense.
We could give him a 3 year deal and he would instantly provide that rim protector we so desperately lack. His minutes would go down, which would be a good thing given his age, with Zeller still on the team and forming a nice 1-2 in the middle. The new CBA would mean that the first year deal is being paid at market value, but the following two would probably be considered a team friendly deal, even with a slight and expected decrease in production/ability as he ages.
This summer has a pretty solid FA agent class (Jordan, Lopez brothers, M. Gasol, Kanter, Monroe, etc.), which is a good thing because the position, especially with the limited amount of teams with cap space, wouldn't mean an overpay. In fact, the only other team that could probably have interest in Chandler, given their current state and cap situation, is Dallas. Which brings me to my next point.
Since we have Dallas' 1st rd pick next season, going hard after Chandler could be extremely beneficial from that standpoint. We could either cause the Mavs to overpay, which would then limit Dallas' ability to improve via free agency, or have a huge hole at center heading into the season. Both would only help the odds of that pick becoming a lottery selection.