The ferris wheel at the Esplanade Reserve will keep spinning for years to come, with Fremantle Council agreeing to offer the operator a 10-year lease of the site.
The iconic tourist attraction is set for an upgrade, with a new wheel being installed in early spring.
The new wheel will have 24 fully enclosed, weatherproof, six-seater, wheelchair accessible gondolas, providing unobstructed 360 degree views all year round.
At 35 metres high, it will be the same size as the previous wheel but will have two more gondolas than before, with one of these being a VIP gondola.
The new wheel will include improved safety features and the ability to withstand higher winds than the previous one.
The operator is proposing to serve food and drinks on the wheel to enhance the visitor experience.