Out of curiosity, what would be the installation challenges? There's got to be gondolas around the world on much more difficult terrain to work with than Tram line.That's not going to happen for several reasons, one of them being installation challenges.
Even with those challenges, I would think a gondola would be less expensive to install than a Tram.
Unfortunately I doubt it would even be considered because of the Iconic status of the Tram. But it really should be considered