An Anthracene based fluorescent probe, 1-(Anthracen-2-yliminomethyl)-napthalen-2-ol (AIN), was synthesized via simple one-pot reaction from inexpensive reagents. Intriguingly, it exhibited novel AIE characteristics in H2O-THF mixtures at high water content. Size and growth process of particles in different volume percentage of water and THF mixtures were investigated using TRPL, DLS, SEM and optical microscope. The fluorescent aggregates exhibited distinct Hg2+-selective “on-off” type fluorescence switching upon binding. Additionally, the fluorescence quenching showed a linear correlation in the Hg2+ concentration range from 0.3 to 3.6 μM and the limit of detection was estimated as low as ∼3 ppb. The drastic decrease in emission intensity of AIN aggregates was observed in the presence of mercury ions via a complex interplay through the ground state complexation between AIN and Hg2+ ions and external heavy atom induced perturbation by Hg2+ ions to the excited states of the AIN. A large Stern–Volmer quenching constant was estimated to be 2.54 × 105 M−1. The proposed analytical system with clear AIE characteristics demonstrates a potential outlook for the on-site visual detection of Hg2+ in paper strips. Finally, the sensory probe was also applied to determine the concentration of Hg2+ in real water samples to demonstrate its practical applications.