The derelict former Polars Residential Home in Newport is being demolished.
The building has been empty since 2017 after it was sold by Somerset Care to its current owner, Laurie Gustar, and has since fallen into a state of disrepair.
Now work to clear the inside ahead of final demolition has begun.
A spokesperson for Ryde Demolition confirmed it has been awarded the contract to demolish Polars, including removing the foundations, and make the site suitable for building works.
In 2015, permission was granted to Somerset Care to demolish the building and replace it with a 67-bed care home and 12 houses.
However, the Isle of Wight Council says planning permission has since lapsed and in the authority's draft Island Planning Strategy the site has been earmarked to potentially yield 50 homes.
Next door neighbours to the dilapidated care home on Staplers Road, in Wallace Court, said in November last year they would welcome houses if it meant the site was made safe.
One resident, Tina Snow, is blind, and said she feared for her safety due to the state of the building as it had no CCTV or security guards and could be a fire hazard.
Tina described the building as falling to bits with lots of debris and it was just a matter of time until something happened or someone was seriously hurt.
Les, another resident who could almost touch Polars from his front door, said he was used to shooing people away from the building and had to take measures to stop people breaking in.
Moving into Wallace Court in 2017, before Polars was abandoned, Les said there has been a large amount of damage caused, with broken windows and the inside completely smashed.
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The spokesperson for Ryde Demolition said a soft strip of the insides was being undertaken with further work to knock down the building imminent.
The company was just waiting for the final green light from building control for the final demolition.
The spokesperson issued a warning, however, calling for people to stay away from the site and not to try and gain entry as the site is unsafe.
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