The search for a replacement looks sure to be a swift one, with less than six weeks to go until the start of the domestic season and with a squad desperately short on players following several departures at the start of the summer transfer window, particularly in defence.
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The list of candidates to replace Cotterill is a long one, with several high-profile managers available and Forest now offering the opportunity to manage a team with the financial resources and infrastructure to find their way back into the Premier League.
That's a factor which could heavily influence Redknapp, with Forest historically having had very stringent rules on their incoming transfers, a fact which famously frustrated previous boss Billy Davies and was one of the key factors behind his departure.
Mick McCarthy is also available following his departure from Wolves, who now also reside in the Championship after Terry Connor failed to keep them in the Premier League. McCarthy is at 7/2 (4.50) for the Forest job.
Current Peterborough boss Darren Ferguson is made a 5/2 (3.50) shot by bookmakers Paddy Power, leaving him as joint favourite with Redknapp in the early going.
Meanwhile, Neil Warnock, who had also been linked with the vacancy before the takeover was completed is a 14/1 (15.0) bet.
The 63-year-old recently took up a role in charge of Championship club Leeds, so any decision to approach Warnock may prove a costly one for Forest's new owners.
Warnock does have a good record of guiding teams back to the top tier though, as he showed most recently with QPR, overseeing their return to the Premier League two years ago.
Another high profile candidate who could be in contention is Roy Keane, the ex Sunderland and Ipswich man has experience in England's second tier and if he is ready to make another foray into club management, should be expected to be a serious contender for the role.
He is available at 6/1 (7.0) with Paddy Power. Alex McLeish is also available after leaving Aston Villa but is further back in the betting, priced at 12/1 (13.0).
MK Dons boss Karl Robinson and former Charlton and West Ham manager Alan Curbishley are both often linked with vacancies such as this one and are available at 16/1 (17.0) and 25/1 (26.0) respectively.
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Jim Knight is Betting Editor at Goal.com and has been tipping football games since he was old enough to place a bet. He is a Leicester City fan, writer and member of the We Are Going Up Podcast
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