After their 3-1 aggregate win over Benfica on Wednesday in a tie marred by alleged racist abuse from Gianluca Prestiani towards Brazilian winger Vinicius Junior in the first leg, Los Blancos now take on Manchester City, who they faced earlier in the competition, falling to a 2-1 defeat at the Bernabeu.
Newcastle, who saw off Qarabag 9-3 on aggregate in their play-off win, now have a tougher task on their hands, as they face Barcelona in a tie that evokes memories of the early 2000s when the two teams battled it out in the competition.
Elsewhere, Bodo/Glimt, the fairytale story of this year's competition after beating Inter in the play-off, now face a tie against Sporting.
Atletico Madrid's reward for beating Club Brugge is a two-legged affair against Premier League side Tottenham Hotspur, and PSG, the reigning champions, have been pitted against Chelsea in the round of 16.
League Phase winners Arsenal face German side Bayer Leverkusen.
The final of the Champions League will take place on May 30th in Budapest.
Full Champions League round of 16 draw
The first leg of these ties will be played on March 10th/11th, with the second legs a week later. The first team in the draw denotes the home side for the first leg.
PSG vs Chelsea
Galatasaray vs Liverpool
Real Madrid vs Manchester City
Newcastle vs Barcelona
Atletico Madrid vs Tottenham Hotspur
Bodo/Glimt vs Sporting CP
Bayer Leverkusen vs Arsenal
Pathways revealed
Along with the last 16 draw, the brackets going all the way to the final were also revealed, giving us a glimpse of what we can expect on the road to Budapest.
Liverpool and PSG could meet in the quarter-finals, in a repeat of last year's classic tie, whilst Arsenal's route to the final has opened up with the Gunners, if they get past Leverkusen, set to play either Sporting CP or Bodo/Glimt in the last eight, before a potential semi-final clash against Barcelona.
For Real Madrid, the competition's most successful club, Bayern will be their likely opposition in the quarters if they dispatch Manchester City, before PSG or Liverpool could be waiting in the semis.