Stuttgart's new director of sport Fredi Bobic says Sami Khedira will have to be sold this summer if he does not commit himself to a new deal.
Bobic has made it a priority to sit down with the Germany international and discuss an extension to his contract beyond the end of the campaign, but he has also made it clear the 23-year-old may not be a Stuttgart player next season.
Real Madrid are reportedly interested in the midfielder and are believed to be ready to pay 10 million euros for him.
Should Khedira instead stay and sit out the last 12 months of his contract with the Swabians, he would then be able to leave on a free transfer next summer.
"That would not be good for a business like Stuttgart," admitted Bobic.
"We would like to extend Sami Khedira's contract, but it is up to him. We will hold talks in the coming days."
Should Khedira be sold, that money would be invested into new players, but not a like-for-like replacement.
"We don't need that - we have three players in our squad who can play in his position," explained Bobic, who added the same cannot be said for the rest of coach Christian Gross' squad.
"Certainly there will be some more players arriving," he added.
