The 28-year-old, who was a target for Manchester United, is flying to London to finalise terms on the transfer.
The Spain international is a product of the La Liga club's academy and has scored 99 goals in 326 appearances since his debut in 2008.
He will be Chelsea's second signing in less than a week after the arrival of Ghana defender Baba Rahman. Pedro's arrival could result in Colombia winger Juan Cuadrado leaving Chelsea after a disappointing seven months at Stamford Bridge. The Colombia international was signed for £23.3m from Fiorentina in January.
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