Developer Unveils $350m Tower for Melbourne’s Inner East

Melbourne’s Agosta family has unveiled plans to build a $350-million office tower in Burnley, a rapidly transforming suburb in Melbourne’s inner east that is emerging as a tech and creative industries hub.

Plans for the 14-storey tower at 484-488 Swan Street have been lodged with the City of Yarra after the family’s Bamfa Properties amalgamated the 3500sq m site, comprising three addresses, for around $33 million.

Bamfa Properties, led by brothers Adam and Luke Agosta, was established in 1975 and has interests spanning childcare centres—running Nino Early Learning centres, a major childcare centre developer and operator in Melbourne—as well as building supplies and property development. 

Bamfa Properties is also currently involved in delivering one of the largest masterplanned residential communities in Australia, comprising 15,000 lots with a value of circa $11 billion, in the Geelong region.

Its 27,000sq m Burley development, designed by Cox Architecture, will offer floor plates of up to 2400sq m and garden terraces on most floor levels as well as being carbon-neutral once in operation.

It is planned for the heart of a thriving tech and creative district that has developed in the past few years in the city's inner east across Burnley, Richmond and Cremorne.

Bamfa Properties managing director Adam Agosta said the project along with developments would combine to create a $750-million-plus office precinct on the last remaining parcels in the sought-after commercial hub, next to Burnley station.

“Business leaders are up against the work-from-home revolution,” Agosta said. 

“Certainly, making it easy for people to return to work is high on the agenda in the early conversations we are having with prospective tenants.

“Undeniably they’re also attracted to rents in Burnley when compared to the CBD. 

“For some of these businesses they could save up to a third of what they are currently paying.”

▲ An artist’s impression of Bamfa’s Swan Street tower proposal. Image: Cox Architecture

The proposed office project is tipped to be recognised as one of the area’s first true post-Covid designs and seeks to resolve the problems created as a result of the pandemic.

Another drawcard is the site’s transport connections, with a direct link at the rear to the local train station while the city’s major tollroad is also nearby.

Commuters will be serviced by Burnley train station—which is on four of Melbourne’s busiest train lines—trams, and uncongested access to the freeway and Burnley tunnel.

Bamfa Properties’ development application comes following the developer’s sale of neighbouring 480 Swan Street, the former home of its Mitchell Building Supplies business, to Charter Hall. 

That site is set to become a $400-million, 32,000sq m purpose-built head office for Australia Post, which will relocate from the CBD.

Australia Post will join a bevy of blue-chip names that have already opted to set up shop outside the CBD—Domain, Seek, Uber, Reece, Tesla, MYOB and Walt Disney are already in the area. 

Bunnings is another big corporate player to choose the neighbourhood, striking a deal last year with ASX-listed Growthpoint to take up space in an office tower at 570 Swan Street.

In May, ASX-listed hiring platform Seek completed construction of its new $150-million headquarters, designed by Hassell, at 60 Cremorne Street.

“This project, along with the Australia Post building, will add 60,000sq m of office space to the Burnley commercial precinct, which will soon become one of Melbourne’s most vibrant city fringe locations,” Agosta said.

The project, if realised, will offer views south over the Yarra, east to Hawthorn and Camberwell, and north to Richmond, plus views to the CBD. 

It will also be sustainably led, targeting best in class tenants and aiming for net zero carbon, 5.5 NABERS rating and 6 Star Greenstar energy rating. Plans are currently before the council with a decision expected this year.