The Sun reports that talks between Lukaky’s agent Mino Raiola and Madrid representatives are already taking place.
Lukaku is on the top of several of Europe’s top clubs after scoring 25 goals in 37 games for Everton this season.
The 22-year-old is reportedly keen on Champions League football for next season and would be interested in leaving the Toffees.
Reports claim Everton will resist offers for the striker, but they could be tempted to sell for around £60million.
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The start of the 2017-18 Premier League season is just around the corner and is shaping up to be one of the most competitive yet.
As always it is the so called “big clubs” that have splashed the most cash in the transfer window so far this summer. Manchester United or City? Arsenal or Tottenham? Who are the winners and losers of the transfer window so far?