The metal-free synthesis of phenols from diaryliodonium salts with water was developed by using N-benzylpyridin-2-one as an organocatalyst. In this process, sterically congested, functionalized, and heterocycle-containing iodonium salts were smoothly converted to the desired products, and the clofibrate and mecloqualone derivatives were also synthesized in high yields. In addition, the gram-scale experiment was successfully carried out with 10 mmol of a sterically congested substrate.