THE fire-damaged CBD Hotel will have to be demolished after structural inspections found the building could not be repaired.
The once popular Newcastle pub, which had not operated as a licensed venue for more than a year, was all but destroyed in a large fire on Sunday evening.
The front of the building remained standing but was deemed enough of a risk to keep Hunter Street and the Newcastle light rail line closed for the past four days.
There had been concerns the facade would collapse but it remained in tact.
Hunter Street was still closed in a westerly direction between Auckland and Union streets on Thursday, along with the tram line.
Buses have been replacing trams since Sunday night via an alternative route along King Street.
City of Newcastle engineers inspected the facade from atop the extended ladder of a firetruck on Monday but were not able to gain access into the site as it was deemed too unsafe.
Police then completed their examination of the premises and handed over the site on Wednesday.
Specialist officers had taken cadaver dogs into the hotel on Tuesday to search for potential bodies but those searches dispelled concerns that people may have been trapped inside the building during the blaze.
Their investigation into the cause of the fire continues.
City of Newcastle concluded its inspections on Thursday afternoon and determined the Hunter Street facade would have to face a wrecking ball.
"The City has issued an emergency order to the owners of the CBD Hotel to demolish the building where necessary and make the site safe again," a council spokesman said on Thursday.
"The owners have engaged relevant parties, such as a structural engineer and occupational hygienist, to carry out this work.
"Hoarding is being erected at the site today.
"Responsibility for Hunter Street and its reopening rests with Transport for NSW."
The Newcastle Herald understands the owner of the site has engaged a local contractor to proceed with the demolition.
The order from City of Newcastle specifies the need for the work to take place as soon as possible.
Transport for NSW, which manages Hunter Street and owns and ultimately determines whether the light rail line operates, is highly unlikely to reopen the westbound traffic lane on Hunter Street or recommence light rail services until the building is demolished.
The Herald contacted a representative of the hotel site's owner on Thursday night but they were not able to say how long it will take to demolish the building.
The property sold for $5.25 million in October to an undisclosed buyer, believed to be a Sydney-based developer.
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