The Victorian era Rose and Crown - also known as The Rosie - at Holborn, South Shields is set to be demolished in just three months time.
A notice of the proposed demolition has gone up outside the building, which is owned by South Tyneside Council, with works due to start in September 2019.
However, the council has said that the pub will continue to trade over the summer, where it is due to host live music events, including Rosiefest on Saturday, July 6.
There was growing concern among residents after the pub was sold to the council in a multi-million pound deal last year, following the death of its former owner, Bob Overton.
His sister Pat Johnston, who lives in New Zealand, inherited the pub after his death, but had no intention of moving back to the UK.
Located in Hill Street, the building sits next to a stretch of land where the council is undertaking major development works.
Tenants Chris and Karen McKellar took over the running of the pub in August last year, on a two-year lease from the council, that was set to save the pub in the short term.
However, under the terms of the contract, either side is permitted to end the deal after a year providing three months’ notice is given.
A spokesperson for South Tyneside council said: “The council acquired the Rose and Crown pub last year as part of its plans to regenerate the Holborn riverside area.
“We subsequently let the building on a short-team lease to allow the pub to continue to operate while the plans were progressing.
“We have begun the process of procuring a residential developer and will shortly need to commence site remediation works, including demolition of the pub.
“The pub will continue to trade over the summer, with demolition scheduled for early Autumn.
“The tenant was made aware of the short-term nature of the lease at the outset and has been kept fully informed throughout.”