The Daily Mail says Los Blancos have given Arsenal the chance to sign Llorente.
Arsene Wenger was previously a fan of the Spaniard and was linked with a move in January 2018, mere months before his retirement.
Arsenal have also been offered the chance to sign Rabiot.
The PSG star will leave the Parc des Princes having spent the last 12 months out in the cold. He comes off contract in June.