Nacho has reportedly agreed a new contract with Real Madrid until the summer of 2024.
The versatile defender has been with Los Blancos since the age of 11, progressing through the various youth teams before making his first-team debut in April 2011.
The 31-year-old has made 233 appearances for the capital giants in all competitions and was a key player for the club during the 2020-21 campaign, featuring on 33 occasions.
Nacho's future at the Bernabeu has been the subject of speculation in recent weeks, as his current deal is due to expire next June.
However, according to Goal, the Spaniard has agreed a new contract until June 2024, and Real Madrid are expected to make an announcement before the end of the week.
Carlo Ancelotti's side have already allowed Sergio Ramos to leave on a free transfer this summer, while Manchester United-linked Raphael Varane could be on his way out in the current market, which would leave the club short in the middle of their defence.