The defending LaLiga champions have been chasing the 30-year-old following his superb showing to lead Spain to the 2026 FIFA World Cup title in July.
After Real Madrid pulled out of the race, and Rodri informed City of his intention not to sign a contract extension beyond 2027, the final piece of the puzzle was a fee to be agreed between the two clubs.
That has now been settled at around €75M and City are not the only party set for a payday as Rodri moves on.
Former club Villarreal will land around €2M as part of the deal due to their role in his development prior to joining Atletico Madrid and then moving to City in 2019.
FIFA's Solidarity Mechanism rewards clubs who develop players and Villarreal will receive 2.5% of the transfer fee for the Madrid native. The mechanism redistributes 5% of the total transfer fee among clubs that trained players between the ages of 12 and 23. For each year between16 and 23, the club responsible for the development receives 0.5% of the total transfer fee.
Rodri joined Villarreal's youth academy in 2013 at the age of 17 from Atletico and left in the summer of 2018 (at 22). Having been registered for five seasons, Villarreal are entitled to 2.5%.
Villarreal also landed €7M when City paid his €70M release clause in Madrid prior to the move to Manchester as part of a previous agreement.