From 700,000 to Decline: The Story of Lygon Street's Transformation (2026)

Once a bustling hub attracting 700,000 people in a single weekend, Lygon Street is now experiencing a period of transformation. The story of this iconic Melbourne thoroughfare is one of nostalgia and change. In the 1970s and early 1980s, Lygon Street was a vibrant hub, with its footpaths overflowing with people. Brunetti, a single shopfront at Lygon Court, and Readings, a bookstore, were just a few of the businesses that thrived during this era. Toto's Pizza, Australia's first pizza house, played a pivotal role in drawing Melburnians to the street. By the end of the 1970s, King & Godfree, a delicatessen, and Jimmy Watson's Wine Bar, established in 1935, were also thriving. However, the street's popularity began to wane, and the pandemic further exacerbated the decline. The average weekend pedestrian numbers stabilized at almost 1000 people, a 13% decrease from pre-COVID-19 levels and 30% below the 2015-16 average. Foot traffic during the week is also down, with a 16% decline from pre-pandemic levels and a 33% decline from a decade ago. The retail vacancy rate in Carlton is now around 9%, a significant drop from 13.5% in 2019 and 5.6% in 2018. This decline has led to a shift in the street's identity, with a focus on cultural preservation and diversification. Many traders are protective of Lygon Street's Italian heritage, while others see diversification as a way to save the area. The street's history is complex, with periods of success and decline. The Lygon Street Action Plan, introduced in the 1980s, aimed to limit the number of eateries, but it was abandoned in 2005. The City of Melbourne council's similar plan in 2005 was also short-lived. The street's future remains uncertain, but the council is in talks to bring back the Festa, a celebration that once drew a million people. The key to Lygon Street's revival may lie in embracing its diverse food offerings and creating a vibrant, inclusive atmosphere.

From 700,000 to Decline: The Story of Lygon Street's Transformation (2026)

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