Tottenham chairman Daniel Levy has confirmed that the have abandoned any plans to move to a stadium next to their current home at White Hart Lane.
Spurs are bidding alongside West Ham United to take over the Olympic stadium in East London after the 2012 games.
Tottenham had previously been granted planning permission for a site next to their current ground.
However, the costing of the proposals mean Spurs no longer consider building a new ground as a viable option.
“That is absolutely dead in the water,” Levy told Sky Sports News.
“We have made it clear that the current stadium proposals at Tottenham are not viable so that is not something we are able to proceed with.
“At the moment we do not have an alternative.”
Levy also hit back at claims from West Ham vice-chairman Karren Brady, who has described Spurs’ plans to demolish the Olympic Stadium as ‘corporate crime’.
West Ham’s plans are to refurbish the Olympic Stadium and also include keeping a running track as part of an athletics legacy that the original London Olympic bid promised.
“I want to deal with facts and the original stadium was always going to be demolished,” he said.
Levy says that the promise from London’s bidding team to keep a running track as part of the games’ legacy did not have to be kept and their plans to refurbish Crystal Palace would more than suffice.
“We also promised no white elephants and that is far more important and we don’t want any form of government subsidies,” he said.
“We are proposing one of the most advanced, state-of-the-art stadiums in Europe that will deliver an exceptional spectator experience.
“Fans will be closer to the pitch than at any other comparable size stadium in the UK, while its acoustic design will ensure that the noise from spectators remains within the stadium.
“Accusations that we would ‘demolish’ £500million of stadium are hugely inaccurate and highly irresponsible and I want to be very clear on this issue.
“Our proposal will retain around £420million worth of the Olympic Stadium, and we will re-use or recycle the £80million that will be dismantled with zero landfill.
“It is also important to remember that two thirds of the Olympic Stadium, under the original legacy plan, was to be dismantled – it was not designed to be a permanent structure.
“Recent scaremongering conveniently forgets this fact.
“We would increase the current capacity of Crystal Palace by 9,500 to 25,000 and a new four-lane warm-up track and all weather hockey pitch would also be built.
“With these proposals, Crystal Palace would become a reinvigorated dedicated facility, bringing more activity to the area and be available to the athletics community every single day of the year.”