Xabi Alonso has confirmed that he is leaving Bayer Leverkusen at the end of the season, with the Spanish coach expected to join Real Madrid.

In a news conference on Friday, Alonso -- who has spent three years at Leverkusen, guiding them to a historic undefeated league campaign in 2023-24 as part of a domestic double -- said that he will depart after his team's two remaining Bundesliga games.

Alonso refused to discuss his future, saying it was "not the moment," but a Real Madrid source told ESPN on Friday that Alonso is "close" to becoming the club's new coach, with Carlo Ancelotti expected to leave after Madrid's last LaLiga game against Real Sociedad.

"This week, the club and I have agreed that these two games will be my last as Bayer Leverkusen coach," Alonso said. "It's always about the moment, and now is the right moment to announce it. We've always had good, direct communication with the club, and now we have clarity.

"We want to have a proper farewell on Sunday [at home, against Borussia Dortmund]. It's emotional, I talked to the players this morning. It's been an unbelievable, fantastic three years, and now it's a moment to share with the fans on Sunday ... I think we can be proud of what we have achieved. We've been taking the club in the right direction."

ESPN has reported that Alonso -- a former Real Madrid midfielder, who began his coaching career with their academy -- has long been Madrid's preferred candidate to succeed Ancelotti.

Xabi Alonso has told Bayer Leverkusen he is leaving the club at the end of the season.

The Italian has come under pressure after Madrid's elimination in the Champions League quarterfinals and defeat in the Copa del Rey final, although his team go into Sunday's Clásico at Barcelona still with a chance of winning the LaLiga title.

"After Mainz, once the season is wrapped, it will be the moment for the next thing," Alonso said on Friday.

It is not yet clear whether Alonso would take charge of Madrid immediately, to coach them in this summer's Club World Cup in the United States, or whether Madrid will appoint an interim coach for the tournament.

The club will make their debut in the competition against Al Hilal in Miami, Florida, on June 18. Alonso said he had "no idea" on Friday, when a journalist jokingly asked if he possessed a U.S. visa.

ESPN has reported that Santiago Solari, who is currently Madrid's director of football, is one of the options on the table, but the names of under-19s coach Álvaro Arbeloa and Castilla coach Raúl Gonzalez have not been ruled out.

Alonso took charge at Leverkusen -- his first top-flight job, having previously coached Real Sociedad's reserve team -- in October 2022 and transformed them from relegation candidates into one of the Bundesliga's best sides, completing an unbeaten domestic double in 2024.

This season, he led them to second place in the Bundesliga, while in the Champions League they were beaten by Bayern Munich in the round of 16.

"We have to finish the season, but looking back, it's been a development for everyone," he said on Friday. "Where we started, in the first year, that was the most difficult season, because of the situation ... The second season was the historic one, a dream season, we made history. And this season has been the most challenging one, we had to fulfil expectations, playing in the Champions League."

Alonso revealed that his behind-the-scenes relationships at Leverkusen, including with CEO Fernando Carro, had been part of his decision-making when he opted not to leave the club in 2024.

"It's one of the reasons why last year I decided to stay, because I felt really well [here]," he said. "That hasn't changed, but maybe the moment is different."

Manchester City manager Pep Guardiola, who won three Bundesliga titles during his three seasons with Bayern Munich, called Alonso's impact at Leverkusen "unbelievable."

"All the managers who had all the opportunity, the pleasure as a player always knew he would be a manager," Guardiola said of his former player.

"Going to Germany and fighting with Bayern Munich is so difficult. Last season was unbeaten except for the last game against Atalanta in the Europa League final and the way they played, him and Leverkusen have to be so proud of this partnership that they had for two or three years."