The 20-year-old Brazilian defender will be a free agent when his contract expires at the end of January and Standard Sport understands West Ham are closing in.
Initially, Luizao is expected to join the club’s U21 squad, with his signing more of a long-term investment than an established first-team addition.
"If my cycle in Sao Paulo closes, gratitude is undoubtedly the word that stays, it’s been six years of a lot of learning and work,” he wrote on Instagram.
"I arrived a dreamy boy and left the club as a man with goals and goals to be met, I know many will judge the form I leave but I make it clear that above all I maintain my respect and love for the club.
"Thank you Sao Paulo Football Club."
West Ham spent heavily over the course of the summer but have struggled since, winning only four Premier League games all season.
Still, while David Moyes is under pressure, there are currently no plans to replace the Scot.
The first-team are stepping up preparations for the second-half of the season and are due to play London rivals Fulham in a friendly at Craven Cottage on Saturday.
Thilo Kehrer is due back in training on Monday after Germany’s premature World Cup exit, with Declan Rice and Lucas Paqueta expected back later in the week.
