North Wales-based Coastal Homes has been granted planning permission for the demolition of the Rothesay Hotel building in Colwyn Bay, to be replaced with 40 apartments.
The former hotel had until recently been used as short-term accommodation for homeless people and recovering drug addicts, but earlier in the year was the location of a series of violent incidents and had been branded an eye-sore by locals.
Work is anticipated to start on the residential scheme later this month.
Coastal Homes' retained planning consultant is Manchester-based Hourigan Connolly.
Daniel Connolly, director, said: "This is another significant scheme in North Wales for Coastal Homes. The site had an extant planning permission which was burdened by significant and onerous commuted sum payments. We were able to negotiate their complete removal as part of the revised planning application, which means that work can start on site immediately to regenerate the site and bring this exciting scheme to fruition."