Developers are returning to Melbourne’s CBD following the city’s lockdowns, with more than $2.5 billion in new development applications this year.
Forecasts show the City of Melbourne is set to assess more than $1 billion of new developments in 2022, in addition to more than $1.5 billion of state-assessed development projects that have been proposed for the municipality so far this year.
The last time the City of Melbourne assessed more than $1 billion in new development applications was prior to the pandemic in 2019.
“It’s a testament to the resilience of Melbourne that the city has attracted more than $2.5 billion in new developments in a single year,” Deputy Lord Mayor Nicholas Reece said.
“After so much COVID disruption, it’s heartening to see developers continuing to invest heavily in the future of our city.
“With residential occupancy levels now back to pre-Covid levels and a record number of new hospitality venues opening in the city it is no wonder that development applications have taken off.”
Melbourne’s CBD remained the hottest property market with 200 new development applications – the majority covering new businesses and shop fit-outs.
Carlton sat second with more than 70 developments, primarily for residential properties or additions to heritage homes.
Development applications have also increased in Kensington within the new Arden and Macaulay precincts.
New development interest has continued to grow in West Melbourne since the gazettal of the City of Melbourne’s West Melbourne Structure Plan, including the $230 million development of the West Melbourne Waterfront Precinct.
Major state assessed developments for 2022 include a $750 million development over the Goods Shed in Docklands and a $264 million development at RMIT Village in North Melbourne.
“It’s particularly exciting to see developments popping up in the city’s newest suburbs of Arden and Macaulay,” Reece said.
“The vision to transform West Melbourne into the next Fitzroy or Collingwood is also gathering momentum with some distinctive planning applications approved.”
Photo: Andy Wang/Unsplash
