Community consultation begins on Monday over City of Newcastle plans for a six-month trial to widen part of the Darby Street footpath to enable more outdoor dining.
The plans include lowering the speed limit from 40kmh to 30kmh and moving 16 car parking spaces from the street to behind the nearby Newcastle Art Gallery.
Deputy lord mayor Declan Clausen said the plan involved expanding outdoor dining "with a raised deck platform over seven existing car parking spaces".
This would occur in front of the stretch of popular cafes from Goldbergs to Sanctum.
"It will provide a lot more outdoor dining for six months from September, covering that spring/summer period," Cr Clausen said.
He said the timber platform would be a temporary structure made level from the front door of the affected businesses, across the footpath and over the street parking area.
The platform would ensure people don't have to "step down the gutter".
Three Monkeys Cafe co-owner Ant Strachan backed plans to widen the footpath for outdoor dining.
"The street itself is looking tired. It has some great retailers and hospitality venues, but we need to attract more people," Mr Strachan said.
"In a town like Newcastle where the climate is so suited to outdoor eating, we're so restricted," he said.
"The issue is we'll lose car parks, but I think that will be more than made up for by the fact that we'll have the outdoor seats looking good.
"That will bring more people to the street, which will help the retailers. Everything will flow from there."
Mr Strachan said Darby Street "should look fantastic but it looks terrible".
"We're part of the tourism hub of Newcastle with Beaumont Street and Honeysuckle," he said.
"Beautification of the street has to be a good thing. The street will look a lot more alive, especially at night time. That will bring more people."
The speed limit change will be discussed during the one-month consultation period.
"We're still working with Transport for NSW about whether the 30kmh speed limit comes in, but it's about making it safer for people to be riding, walking and on-street dining. It's only covering a relatively short section," Cr Clausen said.
The plan also includes a drop-off and pick-up area for taxi and ride-sharing services. The 16 car parking spaces behind the art gallery will be changed from paid parking to two-hour free spots.
"So the net parking loss is zero," Cr Clausen said.
The project will bring new life to the Darby headphones courtyard area, with new street seating, paving, lighting and public art. Local and upcoming artists will create murals on walls and footpaths.
The NSW government has given $500,000 to the project through its Streets as Shared Spaces program.
Comment on the proposed trial can be made at newcastle.nsw.gov.au/yoursay.