Mayor Marty Small announced Thursday plans to implode both towers of the building.
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The casino, once owned by President Donald Trump, has been closed since 2014.
Billionaire Carl Icahn took control during bankruptcy proceedings in 2016.
While the casino will be demolished, the Rainforest Café restaurant will be preserved.
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Mayor Small said he's looking forward working with Icahn or, if he sells, any other developer to create something new on the property.
"The city of Atlantic City is open for business and my administration means business," Small said.
There is no date set for the demolition, but Small said he hopes it is done by February.