The 50-yard-long vehicle successfully completed a test run from Haymarket along Princes Street to York Place in the early hours of yesterday morning.
It travelled at walking pace while it was checked by engineers and contractors.
Edinburgh City Council transport convener Lesley Hinds said: "Getting a tram on to Princes Street is the culmination of an intensive period of hard work to get this project back on track.
"With the first successful test in the city centre, we're ready for more frequent testing along the length of the route in the new year."
After six years of construction, the trams are due to begin transporting passengers by May.