The 27-year-old held talks with the north Londoners last month over a possible £9 million move but is holding out for a club which can offer him Champions League football
Tottenham have pulled out of the race for Loic Remy with Liverpool now the favourites to sign the wantaway QPR striker.
Remy had held talks with Spurs over a potential €11 million deal, but the France international is keen to move to a club playing in the Champions League.
Arsenal are the 27-year-old's preferred destination and are monitoring the player's situation but they have other priorities in the transfer market, having already bolstered their attacking options by signing Alexis Sanchez from Barcelona.
The Gunners are now targeting a holding midfielder and, after talks with Sami Khedira reached an impasse over the player's wage demands, have set their sights on Southampton's Morgan Schneiderlin.
All of this leaves the way clear for Liverpool. Brendan Rodgers was considering a bid for the QPR striker and Swansea City talisman Wilfried Bony as he looks to bolster his attacking options in the wake of Luis Suarez's €88m departure to Barcelona.
Remy scored 14 goals in 26 Premier League appearances during a productive loan spell at Newcastle last season and has an €11m release clause in his QPR contract.
Tottenham are the only Premier League club yet to make a senior signing this summer, and also appear set to miss out on Swansea City full-back Ben Davies to Liverpool after a lengthy pursuit.
Spurs sources have also categorically denied that the club are interested in signing 33-year-old free agent Samuel Eto'o, who was released by Chelsea this summer.
Liverpool boss Rodgers has already brought Southampton duo Adam Lallana and Rickie Lambert, Benfica winger Lazar Markovic and Bayer Leverkusen midfielder Emre Can to Anfield for a combined outlay of over €62.5m.