INNER-CITY Newcastle was covered in a thick blanket of smoke late last night after fire broke out in a derelict building.
Firefighters were called to Hunter Street about 11pm after reports of a fire in one of the abandoned buildings behind Newcastle City Hall.
The fire, believed to have started in the roof cavity, caused extensive damage to the two-storey building.
Firefighters battled the flames for almost an hour to stop them spreading to nearby properties.
Smoke covered most of Hunter and King streets and drifted to nearby Civic Park.
It also caused traffic chaos as dozens of motorists slowed down or stopped to see the fire.
"We came out and the entire street had just about disappeared," one resident said.
"You could hear all the fire engines and stuff going past and then it was crazy down Hunter Street."
It is believed no one was hurt during the fire.
The cause of the fire was still being investigated last night.