Federation Council and NSW Roads and Maritime Services have built a new pedestrian refuge crossing in Sturt Street, just outside Oolong Hostel.

The change makes the walk to the shops in Hawkins Street much easier.

Works included the installation of storm water drainage and centre medium strip with blister islands either side of Sturt Street.

A no standing zone also restricts street parking.

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Oolong Hostel team leader Tina Anderson said many semi-trailers used the road and safety concerns had been longstanding.

"It gives our residents a much safer option of getting down the street now instead of the busy cross road," she said.

"They are really happy about it, they think it's wonderful."

Oolong Hostel resident Dorothy Roman said the crossing helped other users like school children as well.

"Because it's such a busy road, otherwise you can't get across, it's dangerous," she said.