Nigel Clough was one of the front runners to take over at Nottingham Forest.
The 21-year-old defender was released by Aston Villa on Wednesday.
The former Eagles striker is holding out hope that the club can spring a surprise on Manchester United in the "one-off" game at Wembley.
Reports claim Swiss international Xhaka is edging closer to a £30 million move to North London
The Foxes are said to be considering keeping the Croatian international.
Lees has not looked back since leaving the Whites for Sheffield Wednesday.
The youngster is out of contract at West Ham this summer.
The midfield talent reluctantly left Ibrox to join Mark Warburton at Griffin Park in January 2015.
The Southampton legend says the Sunderland striker's goal tally this season is "phenomenal" but believes his international days are behind him.
Jon Toral wants to achieve great things with Arsenal in the future.