Council commissioned an independent economic study on the impact of implementing a level access tram stop on Fitzroy Street between Grey and Princes Streets.

The assessment was completed between August and September 2013.

The findings will inform and refine Council’s objectives for Fitzroy Street and the role that this upgrade project has in rejuvenating St Kilda Village and the broader precinct. The findings helped to inform our formal submission to PTV.


Council commissioned an independent economic study on the impact of implementing a level access tram stop on Fitzroy Street between Grey and Princes Streets.

The assessment was completed between August and September 2013.

Key findings

  • Pedestrians out number vehicles on Fitzroy St. The traffic survey in March 2013 found 1450 pedestrians compared with 1200 vehicles.
  • Some types of retail outlets on Fitzroy Street, including restaurants, shops and nightclubs, close to existing level access tram stops, experienced higher growth in property values relative to similar properties elsewhere between 2008 and 2012.
  • In general traders perceive trams stops close to their business as a benefit due to the convenience for potential shoppers.
  • Traders are concerned the tram stop upgrade and reduced car parking would lead to higher congestion levels and be a disincentive for shoppers who prefer to drive or cycle.
  • Car parking centres in the Fitzroy St vicinity might help to mitigate the impact of reduced car parking after the tram stop installation.
  • Tram users prefer boarding and alighting trams at a level access tram stop. Level access stops can even induce shoppers and visitors to visit a host street more often (could be as high as 14%).
  • Level access trams stops (on the surveyed and studied locations) are used by more people than other tram stops.
  • Other research undertaken by SGS on other prominent Melbourne shopping strips suggests that traders may not be accurate in their anticipation of the adverse impacts of removal of car spaces, especially when other ‘background’ factors are at play which might negatively influence trading.
  • Onsite surveys did not reveal any indication of significant changes to retail mix, day or night trading times that might occur after the introduction of the level access tram stop.
  • Estimate business and economic impact based on the four design options

(Note: time and resources did not support a precise measurement of the impacts of each option)

The report provides a summary of the impacts of the early design options

Conclusion

Early design option three is the best option. It performs best in influencing footfall compared to the other options. It performs on par in influencing amenity levels, property values, retail mix and day and night time trading compared with early design options one and two, and performs better when compared with early design option four.

Download the reports

Who completed this report for Council?

SGS Economics and Planning completed the Fitzroy Street Route 16 Tram Stop Upgrade Economic and Business Impact Assessment. It also completed a peer review of the summary of findings contained at the end of this document.