The approved works involved the removal of asbestos from the building, which Cllr Siddons said had now been completed in his latest update at a meeting of the full council on Tuesday.
The works will also include the demolition of foundations and the pool structure.
Contractors are now waiting for Northern Powergrid to disconnect the former indoor swimming pool from the mains electricity grid, before demolition work goes ahead.
"The plan is to clear that site and to tidy it up with some grass," Cllr Siddons said.
"At the same time we are talking to a number of possible investors who have an interest in that site, but no formal agreement has been made."
Cllr Siddons reiterated that the authority is exploring fencing off the area after councillors raised anti-social behaviour concerns and that the open land could attract travelling communities.
The plans are part of a wider regeneration scheme for Scarborough’s North Bay, known as the Sands development.
It includes replacing the hoardings which surround the former Atlantis water park and the refurbishment of toilets at the Northstead Upper car park, which opened last year.