Chelsea have reportedly identified Isco as a potential transfer target.
It is believed that the Spanish playmaker is eager to leave Real Madrid, having started just nine La Liga matches this term.
Both of the Premier League's Manchester clubs were said to be keen on the 23-year-old, but they could now face competition from their West London counterparts, according to the London Evening Standard.
The report adds that while the Blues would look to sign Isco this month, Madrid are unlikely to consider any bids until the summer.
The attacker joined Los Blancos from Malaga for a supposed £23m in 2013.
