Hamilton Central Business Association general manager Sandy Turner says the project to makeover Riff Raff Square isn't intended to make it a "streetie-friendly hang-out space".
Ms Turner said the plan was to enhance what is now an "ugly, dilapidated part of the city".
Embassy Park, as it's officially known, is a common meeting ground for Hamilton's vagrant population.
Mayor Julie Hardaker and councillors hosted a barbecue in the square earlier this month to include the streeties in the planning process. The project aims to build on the Rocky Horror theme.
"As far as including members of the community considered 'streeties' in the project, I don't have an issue with that," said Ms Turner. "As far as making it a streeties area, I absolutely disagree with that. That's not what the project was about.