Scaffolding at the fire-damaged former Angel Hotel in Bridge Street is to be cleared from the carriageway early in the New Year.
The large scaffold and hoarding has been in place since the building was gutted in a blaze on January 2, 2012.
The structure is to be remodelled so that it is clear of the road in Bridge Street by the end of next month, according to Northampton Borough Council.
Talks will then begin with Northamptonshire County Council and businesses in the area about removing existing traffic orders and reopening the road to two-way traffic.
Councillor David Mackintosh, leader of Northampton Borough Council, said: “I know that this has been a tough time for businesses in Bridge Street, when the scaffolding has reduced passing trade and made already difficult trading conditions even worse.
“I am disappointed that businesses have had to live with this disruption for two years now and I have tried to keep up a dialogue with the landlords to make sure they understood the impact on other businesses.
“It is good to hear that the scaffolding will be moved and the process of getting the road back to normal can begin as possible in the New Year.”
The former Angel Hotel had been home to two separate businesses before the fire, which damaged it so badly that it was in danger of collapse.
Scaffolding has supported the buildings ever since and the protective hoardings around that have meant traffic flow in Bridge Street has been reduced to one way.
Although Balloon Bar has since reopened in July 2013, and is currently using a side entrance in Angel Street, Fat Cat Cafe Bar remains closed and derelict.
Northampton Borough Council said it has kept up liaison with the owners of the building in a bid to encourage them to remove the scaffolding as soon as possible.
The council has also held meetings bring together businesses in the area with the landlord’s representatives to discuss progress.