Crucially, unlike in the summer, Arsenal manager Arsene Wenger is reportedly willing to sanction the Chilean's sale in the current transfer window.
The Chile worldwide has entered the final six month of his Gunners contract, and his representative is free to discuss a pre-contract agreement with a foreign side this month.
And former Gunners man Mikel Arteta could step into the breach, ending his spell as Pep Guardiola's Manchester City assistant.
City were prepared to wait until the summer but were left with just Sergio Aguero as a recognised striker when Gabriel Jesus suffered a knee ligament injury that will rule him out for around six weeks.
They also said: The Gunners are resigned to losing Alexis in January and have informed City that they want around £35 million for the Chilean.
City's interest in Sanchez has been longstanding, as they failed in a late bid in the summer to bring him to the Eithad Stadium, as noted by Lee.
Having been knocked out of the FA Cup by Nottingham Forest on Sunday after resting key players, Wenger is intending to select a virtual full-strength team in the first leg of their League Cup semi-final against Chelsea on Wednesday night. That's lead many to speculate that Arsenal could sell Sanchez in January in order to recoup a transfer fee.
Arsenal's Shkodran Mustafi is reluctant to be drawn into a debate regarding the futures of "top class players" Alexis Sanchez and Mesut Ozil.