We report a quantitative atomic scale study of nucleation kinetics on an inhomogeneous substrate. Our model system, Al͞Au͑111͒-͑ p 3 3 22͒, reveals a distinct nucleation transition due to the repulsive nature of surface dislocations. Whereas for T , 200 K Al adatoms are confined to quasipseudomorphic stacking areas experiencing a very small diffusion barrier ͑30 6 5 meV͒, at T . 200 K surface dislocations, representing repulsive barriers of DE ഠ 560 meV, can be surmounted. The results illustrate the significance of surface dislocations as repulsive line defects in nucleation and growth.[ S0031-9007(99)