Supermarket giant Aldi has confirmed that work is finally due to begin on the former Kirkburn Mill site this week.
The flats on the site will be demolished to make way for the new store.
An Aldi spokesperson said: “Demolition work for our new store in Peterhead will begin this month, with construction to follow.
“We hope to open the store in Winter this year.”
Kirk Street will be closed for up to a month while the demolition work is carried out.
The scheme to bring Aldi to Peterhead has been ongoing since 2004, before finally getting the greenlight from Aberdeenshire Council in February 2016.
The supermarket is expected to create up to 30 jobs and bring a cash injection of £2.5million to the local economy.
The budget supermarket had been due to build the new store in Peterhead beginning in December of 2016, however the store could open as soon as October 2018.