A report has identified slum homes to be bulldozed in a pit village.
The neglected properties are said to be beyond repair.
Wear Valley District Council has drawn up a list of 50 houses, in Eldon Lane, near Bishop Auckland, to be demolished under a £2m renewal scheme.
The condition of the terraces, in an area known as The Hollow, shocked Local Government Minister and North-West Durham MP Hilary Armstrong when she toured the area a few years ago.
The empty properties, mostly privately-owned, have been targeted by thieves and vandals and are to be cleared to halt further decline and encourage new investment.
It is estimated that more than three quarters of the 390 homes in the area were either unfit to live in or were in serious disrepair.
Homes in Brook Terrace, Elliott Terrace, Moore Street, Arthur Street and New Brook Terrace will be affected and the council intends to offer remaining residents a pay-out.
During the next ten years, more than £2m of council cash will be injected into the area, most of which will be spent on improving the remaining homes.
People living in the villages have also drawn up a list of other priority projects they want to reduce vandalism and litter, and provide more places for children to play.
Wear Valley council's assistant director of environmental services Jimmy Nutt said: "There's only five occupied houses in the area now and the next stage is to enter into negotiations with the owners and occupiers.
"Probably in the next few months, we will rehouse the remaining residents and we hope to demolish the homes during this financial year."
Councillor Margaret Ingledew said: "The quicker we can get moving now the better. We've had a number of fires down there. Even though the homes are empty, young people are doing a lot of damage to them."
Ward councillor Chris Foote-Wood said: "It looks like Beirut and I don't exaggerate. It's a dreadful eyesore and yet years ago that particular area was in relatively good condition.
"The only solution was to demolish and rebuild.
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