Bournemouth have agreed an initial fee of £21.4m rising to £25.7m with add-ons for Elche striker Alvaro Rodriguez.
The 21-year-old is set to complete his medical and sign a five-year deal at the Vitality Stadium on Monday.
Real Madrid will receive 50% of any transfer fee for the Uruguay youth international, who is also eligible to represent Spain, after selling him to their La Liga rivals last summer.
Bournemouth are looking to strengthen their squad after qualifying for the Europa League with a record Premier League finish under Andoni Iraola, who left to become Liverpool manager.
Former RB Leipzig and Borussia Dortmund boss Marco Rose has succeeded Iraola, with the Cherries targeting a striker and a left-sided centre-back this summer.
Any striker signing would provide competition and support for Evanilson, while the club are also open to selling Turkey forward Enes Unal for the right price.
Bournemouth are hoping for a more stable summer than last year, when three of the club’s first-choice back four and their starting goalkeeper departed.
Several clubs have expressed an interest in midfielder Alex Scott, who is reported to be valued at about £80m.
However, club sources insist he is not for sale despite enquiries from Arsenal, Manchester City and Manchester United.
Bournemouth hope Scott will sign a new contract on improved terms, potentially including an agreement that would allow him to leave in the future for a predetermined fee, similar to the arrangement that preceded Antoine Semenyo’s move to Manchester City for a fee in the region of £65m in January.
They have also finalised their pre-season tour in the last 24 hours, announcing games against St Pauli and Augsburg in Austria, along with Real Betis and Mainz away in an effort to get used to European trips, with Genoa also facing the Cherries at their training ground this summer.
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