The 2018 World Cup's Golden Ball winner has been heavily linked with the Italian side since his exploits in Russia, with sources in Spain claiming that the player's wife and agent offered him to the San Siro club.
Madrid president Florentino Perez, however, has deemed the Croatian untouchable - unless, of course, a club would be willing to meet the whopping €750m release clause in his deal with Los Blancos.
Italian journalist Fabrizio Romano is now claiming that Spalletti has indicated that the player is indeed a target for I Nerazzurri, who are putting things in place.
"The company has shown to work consistently, they are trying to put everything into place," the manager was quoted as saying. "It is clear that a player like Modric would be important for anyone, let alone for us... I keep dreaming with the fans."
#Spalletti a @SkySport su Modric-Inter: “La società ha fatto vedere di lavorare in maniera coerente, stanno cercando di mettere in pratica tutto. È chiaro che un giocatore come Modric sarebbe importante per chiunque, figuriamoci per noi... io continuo a sognare insieme ai tifosi”— Fabrizio Romano (@FabrizioRomano) August 4, 2018
Madrid are understandably hesitant to let go of the World Cup finalist. They have already lost Cristiano Ronaldo to Juventus this summer and letting another player of such status leave the club could prove tragic.
Modric's performances on the international stage this year went a long way in proving just how good he still is despite being on the perceived wrong side of 30. And losing him in the same summer as Ronaldo would potentially leave the Champions League holders in a very bad place.
It has been a transitional summer for the Spanish side and they have already witnessed two shocking exits, with manager Zinedine Zidane suddenly quitting after leading the side to European glory, then Ronaldo following him out the exit door.
Former Spain boss Julen Lopetegui has since replaced the Frenchman at the club's helm, yet Madrid would do well to hold on to their remaining starters, especially as rivals Barcelona have further strengthened their side.