The Royal Tram will remain in the Rosalind Park piazza in November.
Bendigo Heritage Attractions chief executive Peter Abbott said council had given permission for the tram's extended stay.
"It will stay through spring and look at moving out in early November when the Christmas tree (arrives)," he said.
The future of the tram-turned-cafe is unknown beyond November but the City of Greater Bendigo, Bendigo Heritage Attractions and local residents are eager to see it stay in the city.
On the Bendigo Advertiser Facebook page, readers a number of suggestions as to where the tram could be moved to.
Suggestions included the lawn at Sidney Myer Place, the Botanical Gardens or Garden of the Future in White Hills, near the Rosalind Park rotunda with a high tea service, Hargreaves Mall and Lake Weeroona.
"If people want to keep making suggestions, we are happy to hear them," Mr Abbott said.
"They can be quite a point of difference for Bendigo by placing one in the Botanic Gardens or wherever people think is viable.
"The feedback we have got is that they are very photogenic, it's a matter trying to make whats inside it viable but location is just as important."
He said the possibility of it being sold was also possible.
The Union Jack-coloured tram was installed in the piazza at Rosalind Park for the Bendigo Art Gallery's Tudors to Windsors exhibition, which closes this weekend.
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