A rescue plan for the group which owns brands such as Topshop and Dorothy Perkins could be in doubt.
Arcadia's second-biggest landlord has indicated it would oppose a last-gasp rescue deal for the British-based group.
It is believed that Intu Properties, which owns several shopping centres in the UK, has informed Arcadia Group that a compromise deal aimed at winning over sceptical property-owners had not persuaded it to support a proposed Company Voluntary Arrangement (CVA).
The move inches Arcadia, which needs the support of 75% of creditors at a rescheduled vote on Wednesday, to the brink of administration, and casts renewed doubt over 18,000 high street jobs.
The company is set to shut 23 stores as part of a series of company voluntary agreements (CVAs).
This includes six Irish stores facing potential closure.
The retail group is also proposing rent cuts at nearly 200 of its remaining outlets.
Intu's decision, which insiders said would not be reversed ahead of the vote, makes it "very difficult" for Arcadia to win the vote even if other major landlords support the revised deal.
The group, owned by British fashion mogul Philip Green, announced on Friday that it would reduce the severity of proposed rent cuts.
Intu, which owns about 35 Arcadia shop units across Britain, will have the biggest single say at Wednesday's creditor meeting, accounting for an average of about 15% of the vote across at least six separate CVA proposals.
A source close to the company said Intu had not changed its view since last week, when its opposition to the original plan forced Arcadia to adjourn the vote until this week.
Intu is understood to believe that it would be unfair to substantially reduce rents on Arcadia units to the disadvantage of other retail tenants, and it would be better-placed to take its chances with an administration process.
A source close to Arcadia insisted that it could still win Wednesday's vote, even with Intu opposing it, but conceded that it would need the support of every other major landlord.
Landsec, British Land and Hammerson are thought to be voting in favour, while M&G Investments, Aviva Investors and Aberdeen Standard Investments will also have a vital say in the outcome.
