The keyword term "Real Madrid" functions grammatically as a proper noun. A proper noun is a specific name used for an individual person, place, or organization, and it is always capitalized. In this context, it refers to the specific name of a professional football club based in Madrid, Spain.
This classification is based on its function within a sentence. The two words, "Real" (a Spanish adjective meaning "royal") and "Madrid" (a proper noun for the city), combine to form a single, indivisible nominal unit. This compound proper noun acts as a singular entity. For instance, in the sentence, "The team played well," "team" is a common noun. However, in "Real Madrid played well," the entire two-word phrase serves as the subject, functioning identically to a single-word proper noun like "John" or "London." It is not analyzed as an adjective modifying a noun but as a complete, named entity.
Therefore, identifying "Real Madrid" as a proper noun is the main point for any grammatical analysis. This determination dictates its role in sentence structure, subject-verb agreement, and capitalization rules. It is treated as a single subject, object, or other noun-related element, which is fundamental to constructing grammatically correct and coherent statements about the topic.