According to the UK Independent, Arteta and his representatives have held advanced negotiations with the Gunners and are at a stage where backroom staff and financial packages are being discussed.
The former Arsenal captain, would seek to bring in at least three of his own appointments.
He will also offer Santi Cazorla a new player-coaching deal, with a role like Michael Carrick’s in his last playing season at Manchester United.
Wenger took charge of his 1,235th and last game as Gunners boss last Sunday, a 1-0 win at Huddersfield.
The 68-year-old is leaving after 22 years.
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