Stone columns are constructed using stone aggregates of typical size ranging from 15 to 75 mm. Alternatively, building debris and shredded tyre chips can be used to replace the stone aggregates either partially or totally, which can be an environment-friendly solution to the disposal of solid waste materials. This paper presents the results of model tests on ordinary floating stone columns (OSC) and encased floating stone columns (ESC) constructed with a mixture of stone aggregates and shredded tyre chips. Tyre chips of 10 mm size, 2 to 3 mm thick after removing steel wires, were used in this study. Large size direct shear tests were also conducted for different mix proportions of tyre chips and stone aggregates to assess their shear strength properties. Model tests were conducted on ordinary and encased floating stone columns of diameter (d) 100 mm and l/d ratio of 4.5. Loading was applied through hydraulic jack and reaction loading frame. Model test results show that an ordinary stone column made of stone aggregates can be replaced by an encased stone column made of 100% tyre chips. This confirms the possibility of either partial or full replacement of stone aggregates with tyre chips in stone columns.