Plans to demolish the former Andrews Lane Theatre have been given the go ahead despite objections.
The venue is to be turned into a low-cost hotel with pod-like rooms.
The theatre was opened in 1989 and has hosted plays by Roddy Doyle and Maeve Binchy.
It has operated on and off as a nightclub for years.
Last year it emerged a businessman wants to turn it into a budget hotel with 115 pod-like rooms, similar to accommodation which has taken off in New York and Tokyo.
The owners of nearby restaurants and a multi-storey car park have voiced concerns the construction will have on them.
However Dublin City Council has given permission to build the hotel subject to its height being capped at 8 floors.
An Taisce had previously voiced concerns about the plan but it's not known if the national trust will appeal the decision to An Bord Pleanála.
