While no injuries have been reported, physical damage to the building, located on Smedjegatan, is expected to be extensive.
More than 50 firefighters from six stations were working to extinguish the blaze, which broke out in the middle of the night and spread through the building’s attic.
Firefighters were forced to punch a hole in the roof in their efforts to put out the fire.
“It’s hard to put out and hard to get at,” emergency services commander Peter Engström told the TT news agency.
Engström explained that the attic runs across several stone buildings and that there are several nooks and crannies.
A number of art studios are housed in the part of the attic that was engulfed in flames, and several of them are believed to have been destroyed.
The floor below houses a number of offices, but it remains unclear to what extent they were damaged in the blaze.
Police have knocked on doors in the area but have yet to find anyone who was injured by the fire.
There was also no need to evacuate residents from the building and no one was believed to be in the attic when the fire broke out.
Emergency services expects fire crews to continue their work to put out the fire until midday Tuesday.