The 24-year-old former Getafe star has recently been linked with the likes of Malaga and Liverpool.
“Granero is going to continue with Real Madrid, 100 percent,” his management stated to The IBTimes UK Sport.
“He played 65 minutes in the last match in the Bernabeu against Athletic Bilbao and maybe the coach is going to consider him more for the future.”
Granero’s current contract with Real Madrid is set to expire in the summer of 2013.