German club Hamburg are on the brink of signing the 33-year-old Holland international, while West Ham United and Stoke City have also made bids for the former Manchester United player.
Van Nistelrooy is set to take a pay cut to move to Germany, but he turned down West Ham's offer to match his current £100,000 a week and that level of outlay proved a huge stumbling block for Spurs chairman Daniel Levy.
Ruud awakening: Van Nistelrooy (left) asked too much money for Tottenham's liking
'We don't pay that type of wages here,' Redknapp said. 'Daniel, the chairman here, runs a good business and wouldn't be paying that sort of money.
'It would break our wage structure by an awful long way. He's probably worth it. He's been a great player and could still be that for someone.
'It's a gamble because he has been injured. A fit Ruud van Nistelrooy is world class but it's a gamble as to whether he's fit. If you have him for 18 months and he's not fit it's a big problem to have a massive wage on your bill.
'But if he plays and scores he can take the club to another level. I've always been a big admirer of him, he's a fantastic player, but that sort of basic wage wouldn't be a possibility at Tottenham. Not a chance.'
Jermain man: Defoe has been in white hot form for Spurs this season
The decision mirrors the situation revealed by Sportsmail in the summer transfer window when Spurs asked about Van Nistelrooy, only to pass up a deal because of fears over his long-term knee problems and the level of his salary.
Jermain Defoe, Robbie Keane and Peter Crouch are Redknapp's first-choice strikers at the moment and Roman Pavlyuchenko will be allowed to leave if the club receive an adequate offer.
'I've got four strikers at moment and I don't want five,' Redknapp said. 'I think I'll end the season with these four, although that could change next week, you never know, but it's more than likely that's how we will go.'
Spartak and Lokomotiv Moscow are interested in signing the Russia striker, but are holding out for Spurs to lower their price tag.
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