According to report, the Red are looking at the Brazil international, as they try to beef up their midfield that has been depleted by injuries.
Newsonline report that the Gunners are hoping Mikel Arteta’s relationship with Luiz at Manchester City, could act in their favour.
Meanwhile, Hector Bellerin is close to finalising his free transfer to Barcelona.
The 27-year-old Spain international has mutually terminated his contract with Arsenal after a decade with the north London club.
READ ALSO Transfer: West Ham makes late move for Super Eagles defender, Aina
Arsenal holds a substantial sell-on clause for any future transfers of Bellerin.