Leaders at Stoke-on-Trent City Council have unveiled plans for the East-West development site in Hanley, which features a tram station as part of a Stoke-on-Trent network.
The multi-million pound plans include an indoor arena, new homes and a hotel in addition to the new public transport hub.
The tram could run from Tunstall, through Burslem, and then along Waterloo Road to Hanley. After passing by the East-West site, it would then split into two branches, with one heading towards Stoke station, and the other going to Longton.
Council chiefs say they accept that their proposals for a metro system and arena could take over a decade to come to fruition, but they need to start developing the plans now to ensure they are ready to go ahead once funding becomes available.
The council also plans to demolish the Meigh Street multi-storey car park and neighbouring Goodson Building, both owned by the authority to make way for a wider City Centre Regeneration Area.
Councillor Dan Jellyman, cabinet member for regeneration and transport, said the redevelopment would take place in stages, with a new multi-storey car park set to be the first stage, possibly followed by a residential scheme, a hotel, and food and beverage units.
Jonathan Bellamy, chairman of the City Centre Business Improvement District, welcomed the council's latest regeneration plans for Hanley.
He said: "The pictures look great, and the ideas, scale and scope of the development look ambitious, which is really important for taking our city centre forward, not only locally but regionally and nationally.
"It is also a huge chunk of our city centre space, much of which has been unproductive for at least ten years already, so it is vital we see these wonderful plans come to fruition as soon as possible."