The 26-year-old was linked with Real this summer and the arrival of England full-back Glen Johnson from Portsmouth further fueled the speculation.

Arbeloa, who joined the Reds from Deportivo la Coruna in 2007, revealed that a return to the Primera Liga could be concluded this week.

"At the moment I am focused on Liverpool but it is true that the deal is close to being completed," he told Spanish daily Marca.

"We'll see what happens in the next few days, if we can all make an effort so the the negotiations come to a good end, and we all come out having benefited, which is what everyone wants.

"I insist that everything is going forwards and everyone is in agreement - I am the one who has the most desire to sign for Madrid.

"I don't know what the likelihood is in percentages, it's a question more for the clubs. But, as I understand, it seems everything is going well and there is little left to resolve. It could all be sealed this week."