Cooks Hill's landmark Hotel Delany will undergo a facelift coinciding with Council Street upgrade works.
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The owners of the popular Darby Street pub have applied to Newcastle council to partially demolish and replace the 1924 building's downstairs awning and pub.
The project includes new glass louvres, a retractable awning and the removal of the automatic teller machine on the corner of Darby and Council streets.
The council is removing the road block in Council Street and making it one way heading west as part of a beautification program scheduled to finish late next year.
Other aspects of the upgrade include replacing stormwater drains, new footpaths, a separated cycle lane, bike racks, new trees and a "smart" light pole.