A deal for the 18-year-old has been agreed between Madrid and Tokyo FC for two million euros and the player himself will earn one million euros per season.
“Takefusa Kubo will come in to strengthen the Castilla ranks next season,” La Liga side Real said in a statement on their website.
“A technically gifted and hugely talented attacking midfielder, he possess wonderful vision, quick feet and has an eye for goal.”
According to Marca, the Japanese youngster dubbed ‘Japanese Messi’ is expected to pen a six-year deal with the club where he will play with Castilla under the orders of Raul Gonzalez.
Madrid went ahead of Barcelona to sign Kubo after the Catalans who had him in their ranks as a youth player were found guilty of youth transfer breaches and given a transfer ban in 2014.
Kubo, who is currently on duty at the Copa America with Japan joined Barcelona’s famed La Masia youth academy aged nine but returned to Japan following Barcelona’s 14-month transfer ban by FIFA.
The youngster is the sixth summer signing made by Real Madrid after the arrival of Luka Jovic, Eden Hazard, Ferland Mendy, Eder Militao and Rodrygo.