The Spanish side hope an offer of £28 million, with a further £1 million dependent on the player's success at the Bernabeu, will be enough to put an end to the Spanish international's long-running transfer saga.
Florentino Perez, the Madrid president, is thought to have sanctioned the deal after coming under pressure from Manuel Pellegrini, the club's manager, and technical director Jorge Valdano to sign a player identified in June as one of the Spanish club's chief transfer targets.
Perez has remained steadfastly unwilling to match Liverpool's £30 million asking price for a player he sees as a cost, rather than an investment, but Real's pre-season displays have only served to heighten their need for a creative midfield player.
Alonso handed a transfer request in on Wednesday in a bid to expedite the move after coming under pressure from manager Rafa Benitez to end the stalemate. The Spaniard does not wish to lower his demands but is conscious of his need to plan for next season as soon as possible.
The Liverpool manager will be handed the bulk of that fee, plus the £8 million raised from the sales of Alvaro Arbeloa, Sebastian Leto, Jack Hobbs and Paul Anderson, as well as any money generated by the sale of Andrea Dossena, to strengthen his squad.
Florentino Perez, the Madrid president, is thought to have sanctioned the deal after coming under pressure from Manuel Pellegrini, the club's manager, and technical director Jorge Valdano to sign a player identified in June as one of the Spanish club's chief transfer targets.
Perez has remained steadfastly unwilling to match Liverpool's £30 million asking price for a player he sees as a cost, rather than an investment, but Real's pre-season displays have only served to heighten their need for a creative midfield player.
Alonso handed a transfer request in on Wednesday in a bid to expedite the move after coming under pressure from manager Rafa Benitez to end the stalemate. The Spaniard does not wish to lower his demands but is conscious of his need to plan for next season as soon as possible.
The Liverpool manager will be handed the bulk of that fee, plus the £8 million raised from the sales of Alvaro Arbeloa, Sebastian Leto, Jack Hobbs and Paul Anderson, as well as any money generated by the sale of Andrea Dossena, to strengthen his squad.
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