Verhoek came through the youth ranks at ADO Den Haag
Nottingham Forest's attempt to sign ADO Den Haag winger Wesley Verhoek has ended in failure after he decided to stay in the Netherlands.
Forest agreed an undisclosed fee with the 24-year-old's club on Monday and the Dutchman flew to Nottingham to have a medical and discuss terms.
But Verhoek did not want to leave his hometown club, family and friends.
Reds chief executive Mark Arthur said: "We are disappointed but we have to respect Wesley's decision."
Arthur added: "Wesley is very close to his family and at least has made it clear now that he's not prepared to leave them and move to England.
Nottingham Forest chief executive
“He already felt homesick and didn't think it was fair to the club or himself to proceed with the agreement”
"We would have had an even bigger problem had the transfer been finalised and he then concluded he could not leave Holland.
"He told us that although everything about the club was in his opinion fantastic he already felt homesick and didn't think it was fair to the club or himself to proceed with the agreement.
"It's disappointing because we had agreed a deal with all the parties concerned - the player, his agent and ADO Den Haag - in Amsterdam last Friday.
"I feel great sympathy for ADO Den Haag, who were expecting to receive a substantial transfer fee for the player and had also, we understand, already made a move in the transfer market to replace him."
Forest manager Steve McClaren has been looking to sign a wide midfielder for several weeks.
was one player who Forest were chasing but he has joined Premier League newcomers Swansea City.
McClaren first became aware of Verhoek when the former England boss was in charge of FC Twente in the Netherlands.
The versatile winger was also a target for new Rangers manager Ally McCoist, who confirmed in July that a bid had been made to Den Haag.
Forest have so far only completed three signings in the transfer window, bringing in Andy Reid, Jonathan Greening and George Boateng.