Strand Road has been closed between police station and lower Clarendon Road as emergency services have been called to the scene.
It broke out just before noon on Monday and large plumes of smoke can be seen over the city.Motorists have been urged to follow police diversions.
In a statement the fire service said: "Over 60 Firefighters are currently dealing with a large fire at a residential and commercial property in Lower Clarendon Street, Northland, Londonderry.“The call was received at 11.58am today . Ten Fire Appliances are in attendance including 2 from Crescent Link Fire Station and 3 from Northland Fire Station.
“Appliances from Newtownstewart, Maghera, Magherafelt and Dungiven Fire Stations, along with a Command Support Unit from Strabane, are also present.Want a quick and expert briefing on the biggest news stories? Listen to our latest podcasts to find out What You Need To Know.
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