BULLDOZERS went in to demolish a period townhouse in Darlington last week.
Chesterfield House, in Stanhope Road, was destroyed in work which began on Friday.
The controversial scheme was given the go-ahead in January following a battle by residents to save the building.
Darlington Borough Council backed the project, which will result in 30 luxury two and three-bedroomed apartments being built.
Hoardings have gone up featuring artwork which has promoted interest in the scheme.
MMP Construction (NE) Limited is carrying out the demolition and development work and the first residents are expected to move in by next May.
Darlington Homes, which owns the site, has assured residents that disruption during construction is to be kept to a minimum.
Chesterfield House was built in 1914 to accommodate doctors and nurses.
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